Tanzania-Re profit surges 44 per cent

Tanzania Reinsurance (Tan-Re) pre-tax profit has surged by over 44 per cent to 5.23bn/-, despite being hit by larger claims from medical and motor class.

The reinsurance firm attributed its profit to gross premium written from three out of seven classes of motor 25.82bn/-, accident 18.12bn/- and fire 17.48bn/-.

In total, Tan-Re recorded a gross premium of 73.57bn/- in 2014 compared to 62.69bn/- of 2013. The statement made available to Daily News said the claim paid last year was an increase of 23 per cent over the previous year that climbed to 48.1bn/- versus 39.1bn/-.

“The company was hit mainly by claims falling within the company’s retention in medical and motor class,” Tan-Re said in a statement. The firm said during this year it strives to achieve a higher credit rating by internationally recognised agencies.

“The company will continue to increase its efforts to grow optional local and international business and will source for more subscriptions to the company’s share to enhance capitalisation,” it said in the statement.

The firm financial statement shows that the profit was also eaten by expenses that went up to 27.41bn/- in 2014 from 25.02bn/- in 2013 driven mainly by fees and commission.

On the other hand Tan-Re operating and administration expenses decreased to 7.54bn/- in 2014 from 8.78bn/- in 2013. Apart from expenses, the firm also paid slightly more taxes in 2014 compared to 2013. Tan-Re paid 1.46bn/- in 2014 as taxes against 1.38bn/- in 2013.

The statistics from Traffic Division of Police show that the rate of death as results of road accidents decreased in 2014 to 3,760 compared to 4,002 in 2013 but still the amount is almost similar to the 3,969 deaths in 2012.

The police data further shows that the number of road accidents reported in 2014 was reasonably low at 14,360 versus 23,842 in 2013. Despite the low number of accidents in 2014 the death toll was somewhat high.
Source: Daily News, reported from Dar es Salaam, Tanzania
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