Saham Assurances becomes Sanlam Morocco. Its managing director, Yahia Chraibi, explained, during a meeting with the press, the benefits of this membership of the pan-African group. These include new products and services resulting from the group’s expertise in South Africa, the export of Moroccan added value throughout the continent, great ambitions in risky companies, a new method marketing life insurance.
After 70 years of existence, Saham Assurances becomes Sanlam Morocco. The Moroccan company has joined the 20 subsidiaries of the pan-African group which have come under the same brand in 2021. In this alliance, Sanlam Morocco can both assert its expertise and seize opportunities. On the one hand, the insurance market in South Africa is way ahead of the rest of Africa. This will make it possible to offer innovative products and services on the Moroccan market. On the other hand, Sanlam Morocco, piloted by Sanlam Pan Africa whose head office is in Casablanca, will be able to export its know-how to 26 other countries on the continent, since the former Saham is historically an expert in the Non-Life branch: “At the level of the Sanlam group, there are 500 agents who sell life insurance whereas in Morocco, it is a specialty of the banks (…). But we think there is another way to sell life insurance (…), because our target is also VSEs and SMEs (…)”, underlined Yahia Chraibi, general manager of Sanlam Morocco, during a meeting with the press on June 16 on the occasion of the rebranding of the Moroccan company.
With great enthusiasm, the CEO of the Moroccan subsidiary of Sanlam evokes a successful career and almost balanced balance of power in this alliance with the first insurer on the African continent founded in 1918 as a life insurance company. Sanlam has been able to assess to become the largest non-banking financial services group in Africa, thanks to its diversification strategy. Enough to allow Sanlam Morocco to have access to a whole “toolbox” in terms of products.
“In life insurance, for example, ‘Lwoqt or Zmane Damane’ was a South African death insurance product which has been adapted to the Moroccan context: the insured pays a monthly premium for 15 years, if he dies during this period, the beneficiary receives the insured capital; this is the usual operation of this type of contract. The novelty lies in the case of survival of the holder after 15 years. In fact, the company then pays him the amount of the premiums he has paid throughout the period, with no risk whatsoever. It was a first on the developed Moroccan market”, Yahia Chraibi.
Pyramid selling for life insurance!
To distribute its life insurance policies, which are mainly offered in the Kingdom by bancassurance, Sanlam Morocco relies little on digital, but goes door-to-door. Thus, the company is in the process of developing a “completely new and innovative” distribution channel: about fifty agents called marketers are trained and then sent to the field. They begin by offering these products to their families and friends before attacking companies to sign contracts. “The more the business grows, the more we recruit. In this process, one person manages 6 or 7 others and for 4 or 5 managers, there is a Super Manager (…). It must be said that in our history, there have never been banks in our capital. This gives us today our position as the largest network of agents by its quality and not by size”, deciphers the CEO of Sanlam Morocco.
In a market where Non-Life insurance represents 55% against 45% for Life, Sanlam Morocco has historically established itself in “Non-Life” where it holds a 17% market share. In life insurance, the company represents 11.5% of managed capital. “For the automobile, we have a 20% market share, in health insurance we are very much ahead with 25% (…). Today, we are not looking for the same growth in illness as in business risk. The good news in 2022 is that all branches are driving our growth, but the best news is that we are moving to 15% market share in the business risk segment”.
Business risks: take the bull by the horns
Remaining passive for too long in the “business risk” segment, Sanlam Morocco has left other players taking positions that are today too important for the company. Sanlam Maroc has decided to take the bull by the horns while the financial capacities of the Moroccan subsidiary have never been so important. In fact, argue the DG, “Enterprise Risks will produce enormous financial capacities and these capacities, we have them today with the Sanlam group”. In terms of reinsurance, we have access to capacities superior to those of the national reinsurer. In terms of quality of service and support, it is also unrivaled”. On business risks, Sanlam Morocco has recovered tools that existed in South Africa. Last year, it developed an application called “Assurisque” which allows the customer himself or the intermediary to go into the field and fill out a questionnaire in order to obtain an assessment of his risk. In short, a very important strike force which also makes it possible to tackle new market segments.
Sanlam Morocco is a significant player in the African market (excluding South Africa). The CEO of the insurer specifies that it represents more than 35% of the total premiums. His conclusion is clear: “We have a real driving role in this area”.
The Moroccan “Auto Check” concept exported
The Moroccan hub, for example, makes its platform available to other African subsidiaries of the group to manage the ecosystem of garage owners. In this process of exchanging expertise, Sanlam Morocco has also exported its “Chèque Auto Express” concept, its innovation that it has been operating for more than a decade. It was thus exported to Angola, Ivory Coast, Togo and Mali, among others. “Of course, the Moroccan concept is adapted according to the needs of each market”. For car claims, the Moroccan subsidiary of the Sanlam Group is in the process of exporting the concept of its material claims management platform to other subsidiaries on the continent. A service that consists of taking care of the customer, from start to finish, in the event of an accident (Assistance, report, expertise, etc.). A real two-way highway!