The economic effect of the Covid-19 pandemic has affected all industries in South Africa in one way or another, from large corporations and Small Medium Enterprises to individuals. This has created unprecedented financial stress in our economy, placing strain on businesses and individual cash flow as lock down prohibits trading and movement apart from essential services. Government has called upon all industries to explore any means possible to provide relief to the economy, and this is Santam’s answer:
Santam has answered to the devastating effects of the two week extension of the nation-wide lockdown by providing commercial- and private-line clients with a 20% refund on their motor premiums for the month of April after recognising the reduces risk exposure in motor insurance with the legal limitation in movement; resulting in a relief of R155 million, totalling the Groups collective efforts to R400 million.
Lizé Lambrechts, Santam CEO, said: “We are absolutely committed to playing our part to help alleviate some of the devastating impacts of this virus. We are listening to our clients, monitoring the impact of this pandemic, and where we are able to provide additional assistance, we will do so in a fair and responsible manner. As a proudly South African business, we are dedicated to helping our fellow compatriots by implementing real solutions that make a tangible impact on peoples’ lives.”
Here is a further summary of Santams Covid-19 relief commitments:
- R135 million made available for qualifying Santam clients in financial difficulty with premium relief support over next two months.
- R20 million to assist vulnerable Santam suppliers with turnover under R10 million per year who experiences a material drop in turnover and cashflow
- R20 million contribution towards the established Solidarity Fund
- Continued compensation all employees with addition support to commission earning packages
Santam has made these commitments in line with their vision that all parties to the insurance value chain are dependent of each other to create a sustainable future for all stakeholders.