Santam has announced a solid increase in its earnings for the first half of 2025, with positive contributions from both personal and commercial insurance divisions. The company reported that all parts of its business performed better than the previous year.
The group’s insurance revenue grew by 12%, reaching R27.5 billion for the six months ending in June. Its headline earnings per share increased by 19%, amounting to R18.73. Following these results, Santam declared an interim dividend of 590 cents per share.
South Africa remains the largest contributor to Santam’s gross written premiums, accounting for 80% of the total. Premiums from the local market rose by 6% to R16.6 billion. The company’s conventional insurance net earned premium grew by 16% to R17.9 billion, with an improved net underwriting margin of 11.3%, up from 6.5% last year. The company attributed this positive momentum to low attritional losses and no major weather-related catastrophes during the period.
The Alternative Risk Transfer (ART) division also showed strong growth, with profits rising by 28%. This was driven by better operating earnings across most income lines and higher investment returns on capital. Additionally, Sanlam’s investments in its Indian and Malaysian businesses contributed positively, with an 18% increase in results, led mainly by Shriram General Insurance in India.
Santam also experienced a turnaround in its property portfolio’s performance, along with improved results at Santam Re. Meanwhile, MiWay maintained a double-digit underwriting margin despite ongoing investments in strategic initiatives.
Looking ahead, Santam expects economic growth to remain vulnerable to global geopolitical issues, with little improvement forecast for the second half of 2025. However, the company remains optimistic, citing easing pressure on personal disposable income and its strategic focus on higher-growth segments, including direct, partnership, and international markets. These factors are expected to support continued growth into 2026 and beyond.