1. Mauritius South Africa Zimbabwe Swaziland Botswana Angola Malawi Mozambique Lesotho Zambia Namibia

3. The information provided in this presentation does in no way whatsoever constitute legal, accounting, tax or other professional advice. While Hannover Rück SE has endeavoured to include in this presentation information it believes to be reliable, complete and up-to-date, the company does not make any representation or warranty, express or implied, as to the accuracy, completeness or updated status of such information. Therefore, in no case whatsoever will Hannover Rück SE and its affiliated companies or directors, officers or employees be liable to anyone for any decision made or action taken in conjunction with the information in this presentation or for any related damages. © Hannover Rück SE. All rights reserved. Hannover Re is the registered service mark of Hannover Rück SE.

4. Agenda  Characteristics of the market  Zimbabwe  Zambia  Mauritius  South Africa

5.  Dominated by Group and Credit Life business New entrants Pricing challenges / Minimum rates  Growth in health insurance business Challenges due to fraud, frequency of claims and high costs  Individual Life business still a challenge Distribution channels Need for “cash back” products Lack of trust in insurers

6.  11 Life Insurance Companies  2 Life Reassurance Companies  81% of market share held by three players  Low consumer confidence in insurance/pensions  $159m net premiums written ($4.4m for reinsurers)  Sanlam entered the market - acquired 40% stake of Masawara  Regulatory reforms with GI companies  Consideration of risk-based capital requirements

7.  11 Life Insurance Companies A number of new entrants in 2014 / 2015  91% of market share held by 4 players  Stiff competition in Group Life business Pressure on premium rates FCL / Underwriting Minimum rates introduced  Innovation in the market Madison Life launched a diaspora funeral product

8.  Well developed insurance market High level of income Established financial sector Macroeconomic stability  8 life insurance companies – 90% market share between 3 companies  Largest insurer taken over by government in 2015  MUR 16.3 billion gross premiums written  MUR 13.1 billion claims paid

9.  Highest insurance penetration rate in Africa  Products sophisticated – dominated by Individual Life Split between risk and savings  SAM effective 1 January 2016