Africa: A growing insurance market

In November of last year, French insurer AXA bought control of Nigeria’s fourth-largest insurer, Mansard Insurance.

Low penetration across most African markets spell many opportunities for insurers, but success will depend on their ability to devise strategies to expand their foothold in a continent of 54 immensely diverse economies.

Numbers are pointing to solid economic and demographic dynamics in Africa.

According to the UN, the region’s GDP is expected to accelerate from 3.5% last year to 4.6% in 2015 and 4.9% in 2016 due to private investment and consumption.

Other key drivers such as increasing consumer confidence, an expanding middle class, improvements in the business environment and lower costs of doing business have also contributed to the continent’s economic growth.

Read more: Africa: In pursuit of growth