Johannesburg – Discovery, the health insurance
administrator, says its new business for the six months ended December
increased by 15 percent to R8.2 billion.
The JSE listed company says new business led to a strong
performance in the period with normalised earnings going up by 13 percent to
R3.4 billion.
In its commentary, the company says the efficacy of ifs
Vitality Shared-Value Insurance model gives it confidence that it will continue
to accrue benefits for the company.
“The business model is now being employed across 14
markets, with Discovery accessing over 65 percent of the global life insurance
market by premium.”
The established Insurance business showed an 11 percent
growth in operating profit to R3.7 billion and the growth of new business went
up by 9 percent to R6.4 billion
Discovery’s four business units reported a strong growth
in the period. Discovery Life’s operating profit grew by 13 percent to
R1.7 billion, driven largely by individual new business that went up 10.2
percent.
Read also: Discovery readies move to banking
Discovery Health’s normalised operating profit increased
by 12 percent to R1.2 billion. Discovery Invest grew assets under management by
14 percent year-on-year to R64 billion, with new business growth of 9 percent to
R1 278 million. Discovery Insure showed significant new business growth for the
six-month period, up 23 percent to R495 million.
The company says it has made progress in getting a
banking license after it got authorisation from the Registrar of Banks
establish a banking presence in South Africa.
“Pursuant to this authorisation, Discovery has a period
of 12 months to fulfil the said conditions and make application for final
approval in terms of Section 16 of the Banks Act.”
BUSINESS REPORT ONLINE