inMag | 2009
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inMag| |2009 2008 inMag
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Dear
Life Orientat io n educators You work extensively within the four focus areas for LO learners, as detailed in the National Curriculum Statement, namely personal well-being; citizenship education; recreation and physical well-being; and career and career choices. All are important, but arguably the most critical learning outcome is the fourth: career and career choices. Decisions made in your learners’ lives right now will shape their careers in the future. South Africa is experiencing an unprecedented shortage of skilled workers and trained professionals, especially in the finance and insurance industry. What better place to find talent and guide learners towards becoming sought-after professionals than in LO classrooms around the country? This is where INmag steps in. INmag is designed to be an informative and useful guide to the world of potential offered by the insurance and finance industries in South Africa. INmag informs learners, in easy-todigest language, about the lucrative employment possibilities, bursaries, internships and career paths waiting for them in the financial services industry. Before you think this book is not for the learners in your class, read the preface to discover the vast choice of careers offered in finance and insurance, and get an overview of what INmag’s all about. Each chapter in the book presents a major player in the industry, their history and values, graduate development programmes, bursaries, career opportunities and examples of success stories. The relevant industry associations, the Financial Services Board, the South African Insurance Association, the Financial Intermediaries Association and the Insurance Institute of South Africa have come on board, recognising the importance of tapping into the country’s vibrant and promising youth. INmag allows and encourages learners to reflect on their own interests, abilities and study options through aptitude questionnaires, career guidance and a wealth of information, as they move towards finalising their choice of a career. No matter where their interests lie, and no matter what their gender, colour or culture, your learners are bound to find their niche within the pages of INmag. Give these young adults the best chance of launching a successful career in one of the longest standing industries in our country. Give them INmag.
Yours sincerely
Andy Mark
Editor of INmag
This publication would not have been possible without the enthusiastic support of many people involved in our industry. From when the first seed of the idea was born to finally seeing the first proofs in print, the level of support for the project has been overwhelming. To my wife, Nicky, who spent many night-time hours collaborating and following up material and proofs through to the entire creative team at COSA Communications: Gareth, Dries, Linda, Jeanne, Bianca and Margie, your proofing, writing and design talent have really given INmag edge, thank you. To Jordan and Mike, the COSA marketing pro’s whose tireless efforts brought the project to the attention of the right industry decision makers; your enthusiasm made this project financially viable. Without the support and advice of the following people and organisations, INmag would never have seen the light of day (and our industry might have been robbed of a significant injection of bright young talent over the next few years). Analine Rhoda Barry Scott Basie Wessels Ben Rossouw Bonga Zungu Carel Nolte Chantal Syce Chris Swart Debra Roussouw Dennis Stead Essan de Kock Heidi Kruger Huli Moliea Huta Adams Jabulani Sibisi Junior Ngulube Justus van Pletzen Krisen Govender Laurien Comyn Lyndwill Clarke Margaret Massie Mari Jansen Mokaedi Dilotsotlhe Olivia Davids Robert Thompson Shoki Motau Simon Phage Sonia Jamoulle Stuart Griesbach Sylvia Collins Theo Vels Viviene Pearson
Old Mutual South African Insurance Association (SAIA) Financial Intermediary Association (FIA) Indwe Risk Services Etana Santam Old Mutual Zurich Go Study Sanlam Insurance Institute of South Africa (IISA) RGA Old Mutual Indwe Risk Services Munich Re Financial Intermediary Association (FIA) Hollard Mutual & Federal Financial Services Board (FSB) Santam Telesure Mutual & Federal Financial Services Board (FSB) Cadiz Indwe Risk Services Telesure Cadiz Mutual & Federal Munich Re Insurance Institute of South Africa (IISA) South African Insurance Association (SAIA)
Andrew Mark Editor INmag
inMag | 2009
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Andy Mark
Production editor
Nicky Mark
Editorial team
Linda Scarborough Bianca Wright Margy Beves-Gibson
Art Director
Dries van der Westhuizen
Design and layout
Gareth Grey
Photography
sxc.hu 123rf.com
Advertising and Sales
Tel: 0861 555 COSA
MichaelKaufmann
michaelk@comms.co.za JordanGray jordan@comms.co.za
INmag is published by
Suite 31, Frazzitta Business Park, Cnr Freedom Way & Koeberg Road, Milnerton, 7441 PO Box 60320, Table View, 7439 Tel: 0861 555 COSA Fax: 021 555 3569 E-mail: info@comms.co.za Website: www.comms.co.za
copyright cosa communications 2008/2009. all rights reserved Opinions expressed in this publication are those of the authors and do not necessarily reflect those of this journal, its editor or its publishers, COSA Communications. The mention of specific products in articles or advertisements does not imply that they are endorsed or recommended by this journal or its publishers in preference to others of a similar nature, which are not mentioned or advertised. While every effort is made to ensure accuracy of editorial content, the publishers do not accept responsibility for omissions, errors or any consequences that may arise there from. Reliance on any information contained in this publication is at your own risk. The publishers make no representations or warranties, express or implied, as to the correctness or suitability of the information contained and/or the products advertised in this publication. The publishers shall not be liable for any damages or loss, howsoever arising, incurred by readers of this publication or any other person/s. The publishers disclaim all responsibility and liability for any damages, including pure economic loss and any consequential damages, resulting from the use of any service or product advertised in this publication. Readers of this publication indemnify and hold harmless the publishers of this magazine, its officers, employees and servants for any demand, action, application or other proceedings made by any third party and arising out of or in connection with the use of any services and/or pro-ducts or the reliance of any information contained in this publication.
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CONTENTS
Publisher & editor
THIS
in
IN_ Letter to Life Orientation educators Acknowledgments Preface
3 5 8
Part 1: Go study – the Pace way
14
Looking ahead
University entrance Career fields Making your choice
15 16 17
Grab the opportunity to study
18 19
South African Insurance Association (SAIA) 34 Insurance Institute of South Africa (IISA) 40 Financial Services Intermediary (FIA)
43
Part 3: Insurers A-Z Cadiz FSG
49
Hollard
60
INDWE Risk Services
72
Munich Re of Africa
78
Mutual & Federal Insurance Company
88
Study vs. work Types of qualifications Points to consider
19 19
What are skills?
20
Old Mutual South Africa
96
Skills check list
22
RGA – The Franklin Sonn Bursary Fund
105
Career guidance
25
Santam
108
Insurance – careers for champions Do you have an aptitude for this career?
26
Sanlam Life Insurance Limited
115
Quick quiz
27
Telesure Holdings
118
Zurich Financial Services
124
Glossary Index
128
Part 2: Insurance associations Financial Services Board (FSB)
31
130
by Andy Mark Are they mad? How on earth are you supposed to choose subjects for a career you haven’t even decided on yet? What if you make a mistake and end up in a dead-end job that you don’t enjoy? What if you end up earning half of what your mates are taking home? Do you even get a second chance to choose? The prospect of leaving school after so many years of study is exciting. No more uniforms, tests or teachers. I mean, how cool is that? Of course, there is the flipside: saying goodbye to friends you might not see again, choosing a career path and the studies that may be required to enter that career. Not everyone is fortunate enough to have parents in a position to pay for further study. For some, becoming a doctor or lawyer is a distant dream, far removed from reality. The book you now hold in your hand is designed to open your eyes to a world you may not have considered when planning your career. It is a world of well-paid jobs, without barriers of colour, gender or religion. It is a world of modern-day heroes stepping up to help people and companies recover from disaster. Sometimes their interventions make headlines and sometimes their interventions mean the world to just a few family members clustered around a hospital bed. From rescuing kidnap victims in Kenya to rebuilding the devastation at Ground Zero in New York after the Trade Centre terror attacks, insurance is there. Wherever in the world disaster strikes, insurers, assurers and re-insurers are the people who pick up the pieces. The really cool thing about a career in insurance is that the spectrum of jobs is vast. Let’s say you really enjoy art at school. You wax every art exam and your teacher says you have real talent. You would love to continue with art after school. But you also know that no matter how good you are, your chances of making a lucrative living in the art world are small. It is a fact of life that often an artist’s work becomes really valuable after they die (production stops and the completed works become the only pieces available and so values
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rise). What if there was a career in insurance, specialising in art and collectables? Imagine how cool it would be to be a part of the vibrant international art scene? Visiting galleries and auctions, checking out corporates with big art collections, helping them manage their art risks. It may not be quite the same as painting your own pieces, but the pay is great and you will be moving in circles which will keep you captivated and excited about your career for many years to come. And what if a career in art is not your thing? Well, if you love the great outdoors, there are careers with insurance companies and brokerages that specialise in agriculture risks, giving you an opportunity to visits farmers across the length and breadth of our country. Or if tourism appeals to you, there are people in insurance who design special policies covering inbound tour operators, game lodges, hotels and B&Bs. There are even companies offering high-end car insurance where the cost of hand making spares has to be factored in by actuaries for car collections that are no longer in production. This is all interesting stuff for those petrol-heads who love all things mechanical. And for the would-be aviators amongst us, there exists the rarified choice of a career specialising in aviation insurance. If numbers are your thing or maths is your forte, then the exhilarating challenge of actuarial science awaits you as a potential career path. Actuaries are the guys that carefully calculate the odds of an insurable event happening and then use their calculations to work out what clients will pay for their insurance cover. In our rapidly changing world, where we face increasing risks brought on by global warming, actuaries have a challenging but rewarding career path, with high demand for their services. Every year insurance companies around the world face an ongoing battle with fraudsters. What makes ordinarily decent folk turn into criminals when it comes to insurance is anybody’s guess. Teachers, doctors, lawyers and housewives are all amongst those who attempt insurance fraud every year. On occasion the bad guys get it right, with the result that the rest of us are forced to pay increased premiums as the insurers battle to recover their losses. The job of the insurance assessor is to make sure that claims are legitimate and the repair or replacement is made in accordance with the policy wording. I heard a story the other day about one assessor tasked with visiting a client who had allegedly suffered a loss of some household contents. Thieves had apparently burgled a home and stolen all the big ticket items, TV, home theatre setup, computers … everything electronic of value had been removed. When the assessor called the next day to asses the loss, he walked around the house while the home owner eagerly pointed out where all the missing items had stood. Now, the assessor couldn’t quite put his finger on it, but something about this claim just didn’t feel right. As the assessor was about to leave, the man’s young son, who had been following them around during the exercise, asked the insurance assessor, “Mister, if you are going now, is it okay for my dad to take our TV out of the roof so I can watch my show?”
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Busted! The homeowner had faked the burglary to defraud the insurance company. When the assessor poked his head inside the ceiling of the home, he found all the ‘missing’ items hidden away. Needless to say the claim was not allowed and the man had to answer some hard questions when the police called around investigating the fraud charge that followed. If you have a sharp eye for detail and detective work is your thing, then perhaps becoming an assessor is a perfect career for you? Lest you think that assessors are there purely to catch people out, let me put that right. My wife was driving to work one morning and found herself at the back of a queue of cars stopped at a red traffic light. She watched helplessly in the rearview mirror as a driver of a delivery vehicle drove into her. We claimed, an assessor came to our offices and carefully inspected the damage, taking photographs from every angle. When the vehicle was returned from the panel beater, I was not happy with the fit of the panel that had been repaired. The assessor again came out to look at the vehicle, compared the newly repaired panel to the photographs taken at the time of the claim and agreed that the workmanship was not up to standard. The assessor refused to sign off on the repair until the body repair shop had made good their work. The assessor is there to see that everyone gets a fair deal. Then there are the painful issues surrounding illness and even death. It is especially fulfilling to know that you have been instrumental in assisting a client obtain the right medial aid cover so that when a medical emergency strikes, the patient’s family has the means to pay for the best surgery at the best hospital. As distressing as death can be, imagine how fulfilling it could be to have played a role in ensuring that a bereaved family has the financial means to carry on when a key breadwinner passes away? Wherever disaster strikes, you can bet somebody from our industry was there to pick up the pieces. From lost luggage and cancelled holidays to piracy on the high seas and fender bender car accidents, insurance is there to lend a helping hand. Massive career choice is yours. From financial planning where you help folk invest money for a comfortable retirement, to a job in one of the many classes of insurance the industry has to offer, we hope that INmag will open a new window of opportunity for you, as you head out into the exciting world of your first job. By browsing the chapters contained in this publication, you will gather a deeper understanding of the dynamic and exciting companies involved in the industry. You will read of the exploits and success of individuals and you will learn a little about what this dynamic industry has to offer. What are some of the things that can be insured? Pretty much everything can be insured. You know those ‘win a million’ competitions where you follow clues and attempt to get all the clues right and find where X marks the spot? Well, often the organisers of those competitions don’t have to come up with the full million. In certain cases, it is possible to buy insurance covering the event of an entrant winning the contest. How it works is this: the organiser or promoter (usually
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a marketing company working for a big brand) will come up with the idea of the competition for their client. They will then approach one of the insurance companies that specialise in this kind of insurance. The insurance actuaries will calculate the chances of someone actually making it all the way to the end of the competition. They then use their calculations to calculate the premium. Depending on the rules of the competition, the insurance premium could be as little as twenty five per cent of the total amount. For instance, the company would have to pay only R250 000 in premium instead of coming up with a full million should someone actually win the grand prize. There is an insurance policy should a doctor make a mistake on the operating table and there is insurance for company directors should they be sued in their own capacity. There is insurance available for home owners who let their property to tenants that will reimburse them should the tenant default on payments. There is credit insurance for companies and top fashion models can insure their legs and, eh, other assets. This wonderfully dynamic and fast-changing world has also embraced new technology to reduce risk and keep premiums low. One innovative insurer in South Africa has even launched a product which measures how far you drive by GPS and then calculates your premium accordingly. Advanced vehicle-tracking devices have made things increasingly difficult for vehicle thieves and sophisticated forensic accident reconstruction techniques enable experts to explain, with surprising accuracy, the events leading up to an accident. All of these developments have opened up opportunities for newcomers to the industry in fields as diverse as call centre management and software development. I’ve even met a chap at an industry cocktail function whose job it is – and I kid you not – to negotiate with kidnappers. He is employed by an insurance company that offers its clients his services as part of the benefits of a special kidnap and ransom policy. (Kidnap and ransom or K&R insurance is unfortunately something not just reserved for the rich and famous. In South Africa, we have a high incidence of kidnap for ransom where relatively small amounts of money are required by the kidnappers.) So you can see that the insurance industry has much to offer as a fulfilling and lucrative career choice. From investments to medical aid, from life insurance to K&R, right down to household and car insurance, this is one industry worth considering when you are deciding what to do with your life. The INmag publication is supported by a dynamic website (www.INmag.co.za) which is kept up to date with the latest news on the learnerships and bursaries on offer. There you will find a comprehensive directory of the movers and shakers in the South African insurance scene, as well as contact details should you wish to apply for jobs at any South African organisation. Some of the highly specialised careers you will read about inside INmag do require further study. We recommend that you visit www.gostudy.co.za or consult the list of educational facilities on the INmag website for further information. Many organisations offer training and some offer learnerships and bursaries. The INmag website has a list of organisations offering study loans.
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PACE
CAREER CENTRE
THE
PACE
way
Looking ahead
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When deciding what you want to study after leaving school, be aware that the subjects you choose in grade 9 will determine what you can study, where you can study and even what job you will ultimately have in later life. Choosing subjects in grade 9 is therefore something that must be done after careful thought. 2008 is the first year that grade 12 learners will be writing the National Senior Certificate (NSC) exam. The NSC replaces the matriculation examinations and is based on the new curriculum. Tertiary institutions will be accepting learners based on brand new requirements for entry. What are the implications for subject choice? How do you go about making choices in this new environment? To qualify for the school-leaving certificate, a learner needs seven subjects, of which four are compulsory and three are of the learner’s choice. Of the four compulsory subjects, two must be languages, (one home language subject and one additional level subject) as well as mathematics or mathematical literacy and life orientation. The choice of the remaining three is up to the learner. There are 27 subjects to choose from, 20 of which have been classified as designated subjects suitable for tertiary study.
>
University entrance
T he government requirement for a pass in the NSC with university entrance is a rating of at least 4 (50–59 per cent) for at least four designated subjects. How ever, each tertiary institution will be able to set its own entry requirements over and above the minimum entry requirements. What are these entry requirements? Each university and higher education institution will have its own requirements based on points. The only difference from last year is that the point entry requirements have been adjusted to match the new scale of achievement. To get information on the new point system, go to the universities’ individual websites www.gostudy.co.za.
nsc scale 7 6 5 4 3 2 1
nsc % 80 - 100 70 - 79 60 - 69 50 - 59 40 - 49 30 - 39 0 - 29
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We’re going changes…
>
Make your choice
through
What makes things a little easier in the new curriculum is that there is no longer the choice between higher and standard grade. Higher education institutions will now need to select based on level of achievement according the curriculum’s new scale of achievement system. Many institutions, including colleges, are opting to go with an additional requirement of an admission/placement test for all qualifications. In terms of subject choice selection in grade 9 is concerned, there have been no major changes. Some of the subject names are different; for instance, computer applications technology replaces computyping, information technology replaces computer studies, life sciences replaces biology, and consumer studies replaces home economics. Mathematics is now compulsory (mathematics or mathematical literacy).
As a rule of thumb in choosing subjects, one should always try to keep as many options open as possible. However, it is better to choose a subject combination in
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which you can perform well. It does not help to choose subjects that appear to keep your options open but in which you perform poorly. You may, by default, not meet the minimum entry requirements for the tertiary institution or course you wish to do after school. A good subject choice combination is often a balance between the subjects that learners are interested in and perform well in. A common mistake in subject choice selection is to choose subjects based on a career. It is not necessary to settle on a final career in grade 9. Rather look at choosing a career field which has a range of related careers. It is more practical to select a career field rather than to choose from thousands of careers. What if you don’t get into that career? Where is the fallback option? A question that is often asked relates to the importance of subjects. Are some subjects more important than others? The answer is that all subjects are equally important. However, some study institutions require specific subject combinations for specific courses, and there are minimum compulsory entry requirements for certain subjects. To get some answers to these questions, let’s look at some of the career fields and their related careers. The great thing is
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that many degrees, diplomas and certificates will be relevant for the various fields under the great umbrella of the insurance and financial services industries.
>
Careerfields
I f you want to go into a business or commercial field, such as marketing, business management or human resources, the entry requirements are dependent at the level of study. For a certificate or diploma study there are no requirements for entry. However, for a BCom at university, mathematics is a prerequisite at most universities. It may be recommended that you also take one or two commercial subjects such as accountancy, business science or economics. These are not compulsory for any business field of study after school. For entry into social-type careers such as psychology, law, education, social work, journalism, communications, etc. there are no prerequisite subjects for entry. To study these for entry into a BA degree at a university, you will need a good university pass. Mathematics and science are not required. Entry into social service careers
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(which may later lead to the insurance industry) such as hospitality, health and beauty, travel and tourism, food services, require no compulsory subjects at school. However, you may wish to take subjects in line with your interests such as hospitality, consumer studies, visual art, design and tourism if these are available at your school. For entry into health sciences, ensure that you have mathematics (not mathematical literacy) and science. Preferably also have biology as a subject because this is an indication of your interest in human anatomy. Careers in the health sciences include, doctor, dentist, physiotherapist, surgeon, pharmacist, podiatrist, dietician, veterinarian, optometrist, dietician, etc. Selection standards for health science professions are very high and you will need good marks as well as a passion for this field. Occupations in health services, such a nursing, dental technician, clinical technology, optical technician, veterinary nursing, reflexologist, speech therapist, etc. have their own requirements for entry. Check the entry requirements at selected universities. Careers in the sciences include chemist, biochemist, entomologist, food scientist, geneticist, geologist, physicist,
zoologist, microbiologist, etc. Mathematics (not mathematical literacy) and science are compulsory subjects. This field requires an interest in science as well as an analytical mind. Biology may also be recommended for the biological sciences and geography for the geological sciences. For entry into the engineering field, mathematics (not mathematical literacy) is compulsory. For entry into the trades, a pass in grade 9 is required. Careers such as electrician, plumber, electronics technician, tool millwright, carpenter, etc, are in high demand. There are no other requirements for entry into FET college. However, you will need to have an aptitude for maths and an interest in careers that are practical by nature. Most colleges will be conducting entrance tests in 2008 for entry in 2009. It is worthwhile noting that there are very good financial aid and bursary packages for those who choose to study at FET college after grade 9. Careers in the artistic field require an interest and passion in the arts. These include careers such as artist, graphic designer, interior design, photographer, desktop publisher, ceramicist, clothing designer, cartoonist, film
production, etc. Entrance into these careers requires that you have a portfolio of evidence. This includes drawings, photographs and design work that you may have done over the years. Visual art or design at school is recommended. Related subjects like consumer science may also be useful. For careers in the dramatic arts, it may be useful to take subjects dramatic art or dance at school. For more information on your career interests, go to www.gostudy.co.za and www.pacecareers.com.
TEEAM O P R
G
IN H C A
RE IS
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R A YOU NTI
LLUR D U F O NG Y
I LIV
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therightchoice
Grab
2
the
opportunity
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study!
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decissions >
possibility choice direction
When making subject choices, keep in mind where you want to study after school. What type of institution will best suit you – university, university of technology, FET college, private college, distance learning or learnership? If at all possible, any young person should try to study further once they have left school. There are a few reasons for this. The first is that the chances of employment are generally higher for a person who has studied further. The second is that a person does not always get the opportunity to study later in life due to responsibilities that accumulate with age. Having a base of study provides a stepping stone for post-graduate studies down the line. A person may, for instance, do an engineering diploma after school and then at a later stage push on to do a management degree or an MBA. In other words, formal learning serves as building blocks for career path progression later. If at all possible, study when you are young. So where is the right place to study for me? The most important rules of thumb when selecting where to study are: What’s convenient? What’s affordable? It does not help to study in another part of the country if you can’t afford the accommodation and transport costs. In difficult economic times, parents should be looking at cost-effective ways of study. Some even consider studying by correspondence.
>Study vs.
work?
There is a counter argument to studying further after school. Many will say that it is not what you have studied that makes for success, it’s determination and hard work. This is true if you look at some examples: Richard Branson never had the opportunity to finish 8th grade, let alone study further. If Bill Gates had not dropped out of Harvard, Microsoft may never have been born. Success is a measure of passion and hard work. Further study for the sake of study is not good enough. The more experience you acquire over time, the less important what you studied. The reason for this is that experience that is evident by a person’s ability to perform on the job counts a lot more
than a piece of paper with a gold stamp mounted on a wall. What level of study are you aiming for? If it is a degree, you will need to meet the minimum entry requirements for degree studies.
>
of
Types
qualification
Universities of technology, or technikons as they were known, offer a more practical education than universities. The advantage of this is that graduates come out with knowledge that is career-focused and immediately relevant in the workplace. Universities of technology offer degree, diploma and certificate programmes in applied engineering, biological, chemical and physical sciences, applied commercial sciences; humanities, arts and teacher education. Universities that have merged with technikons are now called comprehensive institutions. The University of Johannesburg is one such institution which offers a range of degree and diploma programmes. FET colleges provide academic and hands-on skills-based programmes designed in co-operation with industr y. FET’s offer engineering, general ser vices, business studies, visual arts, agricultural studies and practical skills programmes in a variety of fields. The minimum entr y requirement for an FET college is usually a grade 9 certificate. Private colleges offer degree, diploma and certificate programmes that vary considerably in credibility and price. This makes it difficult to choose which private college to go to. Ensure that the qualification you are registering for is accredited by the South African Qualifications Authority (SAQA), or by the Council on Higher Education (CHE). Tel: 012 392-9100 or visit www.che.org.za Distance education, or home study as it is sometimes known, provides education by means of post, fax, telephone and computer. Sometimes course material is offered on various media including video, tape, CD, radio, TV or the Internet. In most cases, exams are written at exam centres. Because distance study requires a lot of self-motivation, there is often a high drop-out rate.
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Points2consider
So often learners choose where they are going to study before choosing what to study. It may be a more practical method to do this the other way round. Choose a field of study and then select the base of study based on the reputation of the faculty or programme offered at a specific institution. The reason for this is that an institution becomes known for the quality of education within a specific academic field of study. The credibility of the institution should not be confused with the credibility of the profession. A chartered accountant is a chartered accountant by virtue of the board examination, not by merit of the university at which you study. The same goes for engineers, doctors, lawyers, psychologists, quantity surveyors, architects or any profession that is governed by an approved accredited professional body. It is important to apply to more than one institution so that you have a fall back if you are not accepted into that institution. It is okay to apply to two or three institutions at the same time. Apply early.
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Whatskills? are
Skills are things we can do which are useful or essential to our lives. Knowing how to fry an omelette is useful if we enjoy eating eggs. However, knowing how to fry a perfect omelette is an essential skill for a person employed as a chef. Skills are developed through learning and experience, and we develop skills quicker when we have an interest or natural ability in that skill. A young person who has an interest in drawing will learn to draw quicker and better than a person who has no interest in drawing. Different careers require different skills or combination of skills. A preschool teacher will need to have a bag of techniques and skills in order to engage with children through play, singing and movement. A mechanic on the other hand will need to be able to dismantle an engine and put it together again. A paramedic will need a variety of skills to deal with injuries effectively.
>
What are your skills?
>
Example of Siya:
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How do I develop skills?
>
Your personal skills profile
Young people find it difficult to identify their own personal skills. This is because they have less experience in life and have had less time to develop skills. Learners at school are still finding their feet and learning about their interests, abilities, strengths and weaknesses. It is possible to begin identifying skills at a young age. Start by asking yourself, what do I enjoy doing? What are my interests?
Siya is a 15-year-old boy in grade 9. He does not know what his skills are. If you ask Siya what he likes doing, he says, “Playing soccer,” Question to Siya: “Are you good at soccer?” Answer: “Yes, I play striker and score lots of goals. I am also the vicecaptain of the soccer team.” So what are Siya’s skills? He plays soccer which means he has physical strength. Soccer is a team sport which requires participation and teamwork. He is vice-captain, so he has leadership skills and is possibly good at organising. He plays striker so he may also be a very competitive and goal directed person. Can you think of any more skills that he has?
School is a good learning ground for developing new skills. Participation with friends or in group activities such as sport gives us skills, as in the case of Siya. Speaking in front of the class teaches public-speaking skills and gives us confidence. Life science subjects give an understanding of the makeup of people, animals and plants and the way in which they work and interact. The paramedic would never develop real skills in dealing with an injury if he did not first understand how the body works. Often, skills are developed through difficult situations. Attitude plays an important role in developing skills. People, who are willing to learn, generally grow and develop faster than those who are negative and resistant to try new things. People who are more determined than others generally go the extra mile to conquer a difficulty and to learn. Further study after school provides more specific skills in a special field of study.
In order to make a career decision, it is important that you have a good knowledge of yourself. Read each of the skills in the skills profile below. Rate yourself on each of the skills listed on a scale of 1 to 5. Before ranking yourself, read each description and ask yourself: What are things I can do now? How would my parents, family or friends rate me on this scale? Would I like to develop this skill further? When you find out what your skills are, it will help you determine what career options in the insurance industry you could investigate.
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ck
Skills c h e
Read each of the skills in the profile below to learn more about your own skills. Section 4: 2 Pages
Skills check Tick √ the relevant column. Read each of the skills in the profile below to learn more about your own skills. Tick — the relevant column. SKILL
DESCRIPTION
Artistic
Ability to do creative work using art, music, crafts, design, decorating, desktop publishing or other media. Artistic skills can be used formally or informally in a variety of jobs.
Physical
Co-ordination, physical strength and physical skills, which can be applied to sports, dance, coaching or to physical work such as building, handling materials or working outdoors.
Investigative fact finding
The need to understand why and how things work. Also the ability to gather information to solve a problem, conduct a research project or make a decision. Investigative skills are used in a wide variety of settings, including business, law, medicine, and education.
Language
Ability to speak and write in more than one language. Bilingual skills include the ability to translate for others and the ability to communicate directly with others in more than one language.
Creative
Ability to come up with original ideas, find new ways to solve problems and put thoughts together in new and different ways. Creativity is important in everyday business planning and problem-solving, as well as in artistic and creative careers.
Leadership
The ability to lead requires that others want you to lead them. Others look up to you and you are able to influence others to do things and to delegate tasks.
I possess this skill currently
I use this skill regularly
I would like to develop this skill
Computer technology
Computer literacy includes the ability to learn new software and computer languages, manage files on a computer; to use computers to do research, manage data and produce a variety of products. Other abilities include writing computer programmes or fixing computers.
Interpersonal
The ability to get on with other people, to make friends easily and to make other people feel comfortable is a skill. Also the ability to work in groups, exchange ideas and resolve conflicts.
Mechanical skills
The ability to understand the way machines and equipment work; the ability to assemble, use, repair or design machines and equipment. This skill area includes the ability to work with one’s hands, tools, and equipment to produce or repair products or structures. These skills are used in carpentry, cooking, computer repair and other trades and professions.
Logical thinking
The ability to analyze information and use it to make well-formed decisions. Logical thinking is an important ingredient in problemsolving. It is also important in technical work, since computers rely on following a set of logical instructions.
Sales and negotiation
The ability to work with people to lead them to a desired decision. This skill set includes good listening and communication skills, along with logical thinking skills.
Social service/helping skills
This category includes the desire to work in a helping role, the ability to work comfortably with different ages and types of people, and knowledge of the most positive approaches to helping others. The ability to work well with children. Giving and caring.
Working with animals and/or plants
This skill set includes the ability to grow and care for plants, care for and understand animals, and the ability to understand and classify information about the environment. Caring for the environment. Caring for animals. Making plants grow.
Understanding yourself
The ability to understand one’s own thoughts and feelings. These skills can be helpful in managing one’s own career, and are important in people-focused careers, such as writing, religious work, psychology or social work.
Writing
Workplace writing skills include the ability to communicate with others through business letters or reports and the ability to keep notes related to one’s work. The ability to use word processing is also important.
Social science
Understand how people think behave and act. Good understanding of history and societies, politics and law.
Mathematics
You generally do well in subjects that involve numbers such as maths, accounting and science. Mathematical skills include the skills used in handling money, along with skills like measuring, estimating, budgeting, statistics and more. The ability to use spreadsheets on a computer is an important maths skill.
Scientific/experimental skills
The ability to learn through research and experimenting. These skills can be used in on-the-job problem solving, in learning about and programming computers, in research in health care, social services, and science.
Verbal communication
This skill set includes the ability to listen effectively, ask questions, present ideas and suggestion and convey professionalism through one’s words, tone of voice and body language.
23
S.J. (BASIE) WESSELS
BASIE CAREER GUIDANCE
WESSELS
career guidance
from the expert
INSURANCE – CAREERS FOR CHAMPIONS Basie Wessels
What a privilege it is to be young and looking for a flexible, challenging and financially viable career Often overlooked, insurance offers the right person much in the way of job satisfaction and financial reward. Key to making the right choice about your future lies in a word: passion. The reality is that if you don’t feel passion and real love for what you do, you may end up like many unhappy folk working nineto-five in a dead-end job with no satisfaction, a veriable pool of misery, and who wants that? Certainly no one I know of. So please think your choices through carefully… Passion really is central to your future success. Which of course begs the question: how do you get to experience real passion? The answer to this question lies in the following statement: You have to enjoy yourself to become a champion.
Do you have an aptitude for this career? Of all the aptitude tests I know, I believe that the use of creativity principles is the best guiding instrument to point the way toward a brighter future. It is of critical importance to make sure that the person guiding you has at least a modicum of common sense; it helps too if they have just a little vision. Be careful of where you get your advice when selecting your career path. People each have their own idiosyncrasies and personal likes and dislikes. If your mentors do not have the knowledge, experience, creativity, entrepreneurial thinking and wisdom required, be careful when seeking their opinion, especially when it could impact so severally on your future. Personally, I think that insurance is a wonderful choice to consider if you are serious about your future. With proper accreditation, doors will open for you – even in the international arena.
So what do the following jobs all have in common? Actuaries Agriculture Asset/fund managers Auditors Broker consultants Cellphone specialists Claims managers Claims technicians Computer science Corporate communication Creative development Developers Economists
26
Engineers Entrepreneurs Financial planners Holistic developers Human resource development Insurance administrators Insurance brokers International development Lawyers/legal experts Leadership champions Life claims technicians Life underwriters Loss adjusters Management Marketing Medical claims technicians Medical practitioners Motor assessors Procurement specialists Psychologists Quantity surveyors Reinsurers Researchers Risk management consulting Risk managers Salvage recoveries Secretarial Skills developers Social workers Surveyors Teachers/trainers Technical accounts Training and development Underwriters Underwriting managers You guessed it: all of the above jobs can be found in the insurance industry.
Here’s a quick quiz that will help you decide if you’re cut out for this wonderful profession: People with 15 or more of the following qualities are sure to enjoy their work, make a success of it and earn enough money should they choose finance as a career path.
inMag | 2009
Tick the qualities that sound like you:
Tick the qualities that sound like you:
–rate each answer
Do you have or exhibit:
Do you have or exhibit: Good communication skills Focus Analytical skills You want to make a difference Good organiser Interest in globalisation You like to work with people Team builder You like to work with and make money Objectivity/working with facts You like looking for alternatives Imagination Work according to a strategy Test new things You are practical Work according to regulations Enjoy working with facts/information Feelings/emotions are important to you You enjoy bringing things together Technical skills Design You are specific/critical Step-by-step thinker Focus on details The essence of an issue is important to you Put pieces together
5
rateout eachofanswer out ofone five with
1 and 5disagree being strongly agreefive
strongly withbeing being strongly disagree and
being strongly agree
If you scored five (strongly agree) in fifteen or more of the above scenarios, you could well have
If you scored five (strongly agree) in fifteen or more of the above scenarios, you could well an excting career in insurance ahead of you. Visit www.inmag.co.za for study requirements and have an excting career in insurance ahead of you. Visit www.inmag.co.za for study institutions. requirements and institutions.
S.J. (BASIE) WESSELS
Sebastiaan Jacobus (Basie) Wessels obtained a D.Phil in Psychology in 1980 from the University of the Free State. He then went on to become a lecturer at the university and head of department. He has authored various publications and over 80 presentations since 1975. Basie has travelled widely and has been invited to address audiences in the United States,
Europe and India. He is still involved in skills development as part of the National Skills Development Strategy and the rollout of the National Accelerated Skills Growth Initiative in South Africa. Basie is passionate about the personal development journey of individuals and holistic economical development and transformation around the world.
inMag | 2009
27
People with
ons
associations
associations a common purpose
While money is the name of the game for most learners, when it comes to career choices, the most frequently asked question in career guidance classes has to be, “How much will I earn?” Learning about financial literacy is often not high on a grade 10 or 11’s list of priorities. However, financial literacy and an understanding of money is one of the building blocks towards a lucrative career in the financial industry. This is why the Financial Services Board (FSB), in partnership with the South African Insurance Association (SAIA) and the Financial Services Consumer Education Foundation (FSCEF), has developed two resources to assist teachers to bring some of the principles of financial literacy into the classroom. The resources, Managing your money and Money in action, were developed in line with the National Curriculum Statement and the principles of outcomes-based education and are ready for use in the classroom. The Managing your money resource is targeted at mathematical literacy teachers of Grades 10 and 11, financial literacy covers about 25 per cent of the mathematical literacy curriculum and the booklets contain 10 lessons that cover three learning outcomes. Each booklet is accompanied by a poster, Money Management Rules for Grade 10s and Who do I complain to? for Grade 11s. The resource file also includes a CD-ROM with PDF versions of the booklets. The FSB’s well-known books, Make the most of your money, Make your money work for you and Use your money wisely, were used as a basis for the development of the Money in action resource. The project entailed the digitisation of the three booklets onto an interactive CD-ROM, accompanied by four booklets consisting of teacher guides and extra activities. The CD is designed to be navigated by phase and grade and covers selected learning outcomes in the economic and management sciences (EMS) curriculum for Grades R–9 and the mathematical literacy and life orientation curriculum for Grades
10–12. The booklets were also developed per phase and band. When you consider that the financial service industry, and the insurance industry in particular, is suffering from a shortage of skilled personnel, the importance of building a strong foundation in financial literacy becomes clearer. The negative image is slowly dissipating thanks to the work of the Financial Advisory and Intermediary Services Act (FAIS); legislation that aims to regulate the giving of advice and rendering of intermediary services to clients. These resources assist teachers to educate their learners about the FAIS and about issues related to financial literacy, building a solid base for future study in finance and business. South Africa needs these skills and learners who opt for this career path are investing in their future. Top salaries can be earned for the right individuals with the right qualifications, according to the Financial Services Board. The resources went through a rigorous review process which included the Further Education and Training Directorate (FET) at the National Department of Education (DoE), the Economic and Management sciences planners at the Western Cape Education Department and the consumer education departments at the FSB and SAIA. The resources were mediated to teachers through workshops in the nine provinces. The main purpose of the workshops was to orient teachers around the resource and to show them how to use it effectively in the classroom. By providing free, ready usable resources, the FSB aims to provide teachers with the necessary tools to stimulate learners’ interests into the world of finance and the life-skill they will need when exiting the school system. This stimulus could lead to learners’ exposure to possible careers in the financial sector and begin to address the dire shortages within the sector. Booklets and CDs can be obtained from provincial education departments or you can contact the FSB’s Consumer Education Department on 012 422 2819 for further information.
inMag | 2009
31
Saia
insurance
THE
SAIA
way
African Insurance Association (SAIA)
An industry
proud of!
to be
The short-term insurance industry is an industry to be proud of. Not only does short-term insurance make a difference in the economy of our country, but it also makes a difference within communities, and in the lives of individuals. Shortterm insurance is mainly about insuring your property and/or assets. This includes motor, homeowners’ and household contents insurance. Other types are insurance that you typically take out over a short (renewable) period of time, and include travel insurance, personal liability insurance and personal accident insurance.
Economy The insurance industry, as part of the financial services industry, makes a very important contribution to the gross domestic product (GDP) of South Africa. For instance, the total contribution to the annual GDP of South Africa by the insurance sector is in the region of five per cent. The short-term insurance industry specifically contributed 2.5 per cent to the GDP in 2005, and 2.1 per cent in 2006. If one considers that in 2006 (the latest available published figures), the short-term insurance industry paid R31 686 million in claims to individuals and businesses in South Africa, it proves that this is an industry the economy could not very easily do without. R3 932 million of this figure was commission paid to brokers, and a total of R21 720 million was paid to individuals and/or businesses who claimed for losses due to fire, theft, accident, floods and other causes. The total of investments of the short-term insurance industry in 2006 was R65 888 million.
34
Insurance in
business
Other sectors would find it difficult to operate without short-term insurance. For instance, banks will often give loans to people only if they have security such as motor insurance on the car for which you take the loan out. People and companies in the trade, manufacturing, tourism, agriculture, retail, construction and engineering, marine, aviation and other industries also rely on insurance to cover the risks of their business operations. The insurance industry provides many jobs to people in our country. A wide spectrum of job opportunities is on offer, from actuaries to brokers, from engineers and lawyers to administrative clerks, from public relations experts to receptionists, and many more. A world without short-term insurance at the level of the bigger economy is almost unimaginable. Suppose that farmers in the country could not rely on insurance pay-outs when they have lost all their livestock in a fire, or in a drought, or had a huge hailstorm destroy their crops. These farmers will not be able to continue with their businesses and might very possibly go bankrupt, which could in turn lead to a shortage of food in the country! If a big store or shopping centre burns down to the ground, and the companies affected were not insured, how would they rebuild their shops and restock their shelves?
Community The insurance industry creates opportunities for all, and is committed to the transformation of South African society. In fact, the financial services sector was the first sector that voluntarily undertook to address transformation issues through the Financial Sector Charter that addresses ownership, job creation and skills development, development of small, medium and
inMag | 2009
micro enterprises, making financial services products available to all people, educating consumers in financial matters, as well as social responsibility. The short-term insurance industry, for example, has spent a total of R32.7 million on consumer financial education in the lower income group. The projects that the industry have embarked on include financial literacy workshops in rural and other disadvantaged areas, financial literacy awareness creation at taxi ranks, in taxis and trains nationally, as well as inclusion of financial literacy concepts in the curriculum material for schools in South Africa. Topics taken to consumers include budgeting and money management, debt management, saving, insurance, and rights and responsibilities of financial services products consumers. Insurance companies invest millions of Rands each year in upliftment projects within the corporate social investment budgets. A world without insurance at community level would look very different. Motor vehicle crime figures, etc. would have continued to rise, many people would have not been financially literate, and financial services products might not have reached all consumers in South Africa if it weren’t for the short-term insurance industry’s efforts in these areas.
Fightingcrime The insurance industry is also very active in the fight against crime. Since 2002, when the industry suffered because of very high motor vehicle theft and hijacking figures, the short-term insurance industry donated between R2 and 3 million per year to Business Against Crime to use against vehicle crime. This money was well spent as – although vehicle crime is still too high – the figures since the interventions starting in 2002 show a steady decline and are still on average 25 per cent lower than prior to the interventions.
In 2008, the short-term insurance industry sponsored the training of 500 detectives in Gauteng in order to assist the Gauteng Provincial Police Service with the fight against crime. In addition, the short-term insurance industry has recently established the South African Insurance Crime Bureau (SAICB) that will focus on the fight against organised insurance fraud.
Indi
viduals
Short-term insurance is about buying protection for your property and/or assets. As discussed above, the short-term insurance industry has paid out a total of R21 720 million in pure claims in the year 2006. This translates into many claims of individuals who might have lost their cameras, their cars, their belongings or even their houses or businesses, and whose insurance cover enabled them to recover their losses. Consumers are protected through very strict legislation like the Financial Advisory and Intermediary Services Act (FAIS). A world without insurance at individual level would make many people’s lives much worse off. Should somebody steal your car and you still owe thousands, you will be held responsible for paying off the original car debt and you will have no replacement car and no money to fund a new car. Even worse, should your house burn down, without insurance you would not be able to replace anything. Or, if your house was flooded and all your furniture damaged, you will not be able to replace what you have lost if you do not have insurance.
More about the
South African
Insurance Association (SAIA)
The South African Insurance Association (SAIA) represents the short-term insurance
industry in South Africa. The SAIA has 53 member companies and has ser ved our short-term insurance industr y for 101 years.
Hi
story
in Phoenix House in Cape Town by the Insurance Council of South Africa was R188 per month plus a R12.50 cleaning fee. • In 1972, office space in Durban for the regional committee cost 20 cents per square foot.
One
The roots of the SAIA can be found in the early part of the previous century when the Council of Fire Insurance Companies was formed in 1907. Various other associated bodies were formed afterwards, including the Accident Insurance Council, founded in 1925, and the Insurance Council of South Africa. The latter body mainly controlled the various insurance tariff bodies until these tariffs were abolished in 1974. Not a lot of information survived these early days of typewritten and, in some cases, handwritten notes and letters, but here are some interesting facts and figures showing what life was like in the insurance industry and economy:
controlling body:
• In 1948, the combined premium income of the insurance industry, net of reinsurance, was R23 million. • In 1959, it was R69 million, an increase of more than R46 million over 1948. • In 1962, the opening function of the new offices of the Accident Insurance Council of South Africa, going all out as the then Minister of Finance Dr T E Donges was the guest of honour, cost a total of R234.63. • In 1967, the monthly electricity bill for 1 000 units was R7.25 in Johannesburg and R8.79 in Cape Town. • In 1967, the members of these bodies tell of the fact that although many South African companies were doing business in this space, quite a few foreign companies were involved. Such members included Netherlands/Bastion, New Zealand, Northern and Employers, Norwich Union – Scottish Union, Prudential, Royal Exchange, Royal, South British, Yorkshire, etc. • In 1971, the lease signed for office space
In the early stages of the joint body’s existence, it administered the following:
inMag | 2009
SAIA
SAIA, as one controlling body, was formed in 1973. At this stage, the association provided a forum for member companies to discuss matters concerning them, and it endeavoured to speak for the companies where consensus of opinion or representation was needed. The body aims to interact with all associations in the insurance and related industries operating locally and internationally and liaise with the Financial Services Board.
• Association of Marine Underwriters. • SASRIA (Political Riot). • Market Agreements. • Nuclear Energy Pool. • Liaison with the Registrar of Financial Institutions. • Growing Timber Pool. • The Automatic Sprinkler Inspection Bureau. • Fire Protection Association. • Statistics. • Recovered Stolen Vehicles. • Security Committee.
These days The SAIA, as a section 21 not-for-profit organisation, was established in 1998 with effect from 1 January 1999.
35
Mission “The South African Insurance Association promotes the short-term insurance industry in order to create awareness and understanding of the industry and to add value to all stakeholders.”
SAIA deals alsowith: • Legislative and regulatory related issues. • Transformation and especially the Financial Sector Charter. • The image and reputation of the industry. • Motor insurance issues. • Administration of the Association of Marine Underwriters in SA. • The Intermediaries Guarantee Facility. • Administration for the South African Pool for the Insurance of Nuclear Risks (foreign and local). • The South African Machinery Insurance Association.
The
future
The SAIA has survived the test of time by adapting and changing focus according to a changing environment. Here are some views on the future by the current SAIA senior management team:
Barry Scott (CE of the SAIA)
“The SAIA’s future priorities centre around four main pillars, namely legislation, regulation and related insurance matters, transformation, image and reputation, and motor insurance. The SAIA structure has been changed to accommodate this new strategy. We believe that this changed focus will allow us to serve our members, our industry and the greater economy.”
36
Refilwe Moletsane Deputy CE of SAIA and manager responsible for legislationand regulation as well as motor insurance issues “Legislation and regulation in our industry have increased at an enormous rate, changing the way our members are doing business almost on an ongoing basis. Although the SAIA supports effective legislation and regulation, it has a huge role to play in order to help ensure that legislation and regulation do not have unintended negative consequences for both our members and the consumers they serve. “SAIA will also focus on motor insurance issues, as this is the largest short-term insurance class. Road safety issues, as well as vehicle crime, will remain focus areas.”
Thabo Tlaba-Mokoena (manager responsible for transformation issues)
“The Financial Sector Charter, BBBEE Codes and the issues surrounding transformation matters, have been, and will be, the most important factors of change for financial services companies. The SAIA has been in the forefront of transformation issues since the negotiation and drafting phase of the charter and will continue to play an integral role in the transformation processes to assist our members.”
Viviene Pearson
(manager responsible for image and reputation issues)
“It is important that the image and reputation of the insurance industry, as well as the SAIA, is constantly enhanced. The shortterm insurance industry plays a huge role in many important areas of the economy, in communities, as well in the lives of indi-
inMag | 2009
viduals. It is vital that these crucial roles of the industry are communicated to all stakeholders. Stakeholders include government, parliament, fellow associations, members and consumers, amongst others.”
SAIA members The SAIA represents 53 short-term insurance companies. These companies employ thousands of people in a variety of interesting positions. The companies include:
ABSA Insurance Company Ltd Ace Insurance Ltd African Reinsurance Corporation (SA) Ltd AIG South Africa Ltd Alexander Forbes Insurance Company Ltd Allianz Insurance Ltd Auto & General Insurance Company Ltd Cardif Pinnacle Centriq Insurance Company Limited Coface South Africa Insurance Company Ltd Compass Insurance Company Ltd Constantia Insurance Company Ltd Credit Guarantee Insurance Corporation of Africa Ltd Dial Direct Insurance Ltd Emerald Insurance Company Ltd Enpet Africa Insurance Ltd Escap Ltd Etana Insurance Company Ltd GenRe Company Ltd Guardrisk Insurance Company Ltd Hannover Reinsurance Africa Ltd HDI Gerling Insurance of South Africa Ltd Hollard Insurance Company Ltd (The) Imperial Reinsurance Company Ltd (Flagstone Reinsurance) Indequity Specialised Insurance Ltd Intermediaries' Guarantee Facility Ltd Kingfisher Insurance Company Ltd Legal Expenses Insurance SA Ltd (Legalwise) Lion of Africa Insurance Company Ltd Lloyd’s Lombard Insurance Company Ltd McSure Ltd Momentum Short-term Insurance
Monarch Insurance Company Ltd MUA Insurance Company Ltd Munich Reinsurance Company of Africa Ltd Mutual & Federal Insurance Company Ltd Nedgroup Insurance Company Limited New National Assurance Company Ltd OUTsurance Insurance Company Ltd Regent Insurance Company Ltd Relyant Insurance Company Ltd Renasa Insurance Company Ltd SAFIRE Insurance Company Ltd Santam Ltd SASRIA Ltd SaXum Insurance Ltd SaXum Reinsurance Ltd Standard Insurance Ltd Swiss Re Africa Ltd Unitrans Insurance Ltd Unity Insurance Ltd Zurich Insurance Company South Africa Ltd Zurich Insurance Risk Financing Ltd
People working for the SAIA, and especially the senior management team dealing with industry issues, need to be able to understand all issues and topics at individual member company level, and see the bigger picture in terms of the impact, role and importance of such issues within the bigger picture of the industry, the economy, and the political and social environment in the country.
Career
opportunities at the
rit r ee
SAIA
pe
The SAIA is a very exciting organisation that operates in a different way than most others. As a representative body, and a notfor-profit organisation, the staff complement is lean and mean, and people working at the SAIA need to have the ability to do many different things. The SAIA represents the industry at the highest level, including parliament, at all levels in government departments, at all levels in the Financial Services Board, in the media, and with all other relevant stakeholders nationally and internationally. The senior management team at the SAIA therefore needs to have the ability to liaise with people at the highest level, yet still be able to communicate at other levels as well. In fact, all staff members at the SAIA need to have enough ability, knowledge and confidence to liaise with different levels of people in different stakeholders on different issues with ease.
s o r p
inMag | 2009
37
IISA
insurance
THE
IISA
way
INSURANCE DIAMOND –A
OF AN INDUSTRY
40
inMag | 2009
So why compare
insurance with diamonds?
> Variety > Brilliant >Desirable Few other industries offer so many career opportunities to meet your own personal talents and tastes. This is an all-sorts-environment, and this industry needs you for what you are. So whether you are creative or analytical, love nature or the city life, yearn to work from home or in a glass office tower, there is a job in the insurance industry with your name on it.
> Security
Insurance = Security. Simple. Want to start your own business? You’ll need insurance. Want to start a family? You’ll need insurance. Want to buy a car? No surprises – you’ll need insurance. What’s more, you will not only need insurance, but want the assurance that your assets will be protected if Dr Disaster should call your number. Millions of consumers want the same assurance, also known as insurance. To provide this service, thousands of professionals are required to create unique products, calculate premiums, write contracts, try to predict what will happen in the future and advise consumers on how best to protect their families and assets.
T he insurance industry employs thousands of talented people. Through their determination, innovation and ingenuity, new products are created every day to meet the needs of millions of consumers. By joining this exciting arena, you can also become a solutions discovering hero!
> carats Chips to
A fter leaving school, smart individuals who pursue further education in insurance can become professional members of the Insurance Institute in just a handful of years. These members are respected and acknowledged for their advanced skills and get descriptive titles after their names. Many companies will encourage you to continue your education while you work, helping you to pay the rent while shaping up to become a top exec. There is a wide variety of full-time and part-time courses, from certificate to degree level, offered by numerous providers, throughout the country. So, whether you would prefer to study full time first or earn-while-you-learn, there is a solution for you.
Insurance is practiced all over the world, so you can work wherever you want to. Whether you’re glued to your couch or a world traveller, this industry can match your style. What’s more, the IISA has good relationships with other insurance institutes in the world, making this little planet your playground.
> Rare
In tough economic times, opportunities are scarce. But the insurance industry remains alive with possibilities. Truly, a gem of opportunity!
Theo
Vels
Chief Executive: Insurance Institute of South Africa (IISA) www.iisa.co.za
> Multifaceted > Glamorous The insurance world consists of an intricate system of short-term and life insurers, reinsurers, brokers, underwriters, assessors, trainers, software developers, tracking system suppliers, repair and replacement networks, administrators, health officials, aviation technicians, marine experts … see where this is going? Somewhere in this vast array of services and suppliers, there is a place for you to harness the skills that you have mastered so far and where you can grow even further to explore alternative horizons. And you can do your job while practicing your hobby. How awesome is that?
I nsurance professionals love to party. And they love bling. That’s why institutes like the Insurance Institute of South Africa and other local institutes arrange regular events where likeminded people can get together to share their knowledge and experience. IISA hosts an annual conference at Sun City where hundreds of participants attend technical presentations, play a few rounds of golf and meet new friends and celebrities at glitzy gala dinners and vibey theme parties.
inMag | 2009
41
FIA: >
financial The value of the
services intermediary
tic result of dras complex as a e e th or th m e bo m ds co de, be et towar er the last deca ude of the man in the stre ices and advisory ov s, ha e nc ra tit e at Insu cial serv regulations. Th made the finan changes of the surance have in of st co d an intermediary te. ugh to negotia environment to
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>
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options per insurance ber that chea es, insured Expert adcovnsice ss em ce m ex re s of er um s in terms
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>
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e in Inte ries The Financial independent brokers. It cam ncial Services Intermedia finanna s Fi w y’ tr ne an un ic is fr co Th of the cil (IBC). the South A un of r Co ries ge rs er ke m ed ro e ts interm ia rance B following th ) and the Insu tative association represen ctions, over 60 IA FS A (S n io transa sociat represen rm insurance 80 per intermediary of all short te sactions, and cial services nt an ce tr r ts pe en m 80 st visit er ve n, in ov io e te at iv ra ct rm ne lle fo who ge For more in rance and co su a. as ic fr e A lif l h al ut per cent of siness in So ee benefits bu cent of employ a. www.fia.org.z
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CADIZ
THE
CADIZ
way
inMag | 2008
TBWA\H\L\CT P37385\SSY\E
4-4-2 4-5-1
The right strategy is everything.
Financial Strategy Group
Cadiz Wealth | Corporate Solutions | Securities | Asset Management
Visit www.cadiz.co.za or phone 021 657 8300 Authorised Financial Services Provider
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While you are still at school, you tend to think about career options from other people’s perspectives. Perhaps your own perspective may have already been formed by the careers of your parents, the parents of your friends, your older siblings and other family members or maybe your interest has been ignited by the general media, especially TV and movies. All these influences are, unfortunately, no substitute for what you are going to experience. Your reality will, because of your uniqueness, be completely unlike anyone else’s. That makes it very difficult to appreciate whether you are cut out for a particular career until you are actually out there working. But you don’t have to be daunted by this thought. The first thing to do is to consider what fits your particular personality profile. Because a career choice is a significant milestone in your life, it is worthwhile taking the time to decide why you are suited to certain types of jobs. When I look at the investment management side of the financial market, I believe these are some of the more significant aspects of what it takes to be successful: • Flexibility – this is a constantly changing environment with new investments, new regulations and new participants, so you are always up against new challenges. • Good maths, statistics and legal skills to navigate your way. • A well-balanced personality. You need to be someone who can blend together inter-personal and financial skills. • Amenable to some risk. This is a high-risk environment that brings high rewards. • Enjoying face-time with clients, as there is always a very personal aspect to investing. In my view, this is a really riveting career from the moment you arrive until the day you leave. Most people you will encounter will have some kind of exposure to investments, so just about everyone you talk to will be interested in what you are doing and how it may be to their advantage. Because financial services is quite a demanding career, there are many aspects which you may need to learn, but then once you are on your way you can specialise in an area that interests you. Fortunately, investing has so many; you are bound to find an area that suits your interests, your temperament and your desired lifestyle. Within Cadiz Wealth we cover many areas, from unit trusts, life policies and structured products to hedge funds. There are many different personalities who work here, but we are all driven by a consistent goal – creating wealth for our clients.
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TBWA\HUNT\LASCARIS\CT P37391\FANCOURT\E
MINIMISE LOSS MAXIMISE PROFIT
The right strategy is everything.
Conventional wisdom has always said you need to choose one or the other. We don’t believe the two need to be mutually exclusive. And we’ve got the results to prove it. To find out more, visit www.cadiz.co.za/wealth, email retail@cadiz.co.za or phone 021 657 8700.
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Authorised Financial Services Provider
I suppose you are interested in increasing your wealth? We are too; so perhaps that is a good enough reason to work at Cadiz Wealth. From my perspective, I think there are a couple of key issues you need to think about when deciding on which company you want to join. • Have you realised that during your working life you will spend about one-third of the time sleeping? • Of the remaining weekly waking hours, you will spend more than one-third of every 24-hour period at work (I have assumed an eight-hour day plus an hour on either side for commuting/preparing for work). Once you analyse these facts, it immediately suggests that: 1. When you have sufficient money, the first best investment you can make is the best mattress you can afford! 2. You need to choose your career very carefully, specifically because it is likely to take up most of the waking hours of your adult life.
g Director of Evan Jones, Managin ector of Cadiz Wealth and Dir Asset Management st rve Ha Cadiz African
Choosing the correct place to work is something that can take quite a while, and this often accounts for why so many of us have a number of jobs before we ’settle down’. During that initial period when you are trying to find your ideal career, I believe there are really two issues at play. Firstly, you need to find a career that suits you and your unique talents. Secondly, you need to find a company that shares your belief systems. Unfortunately, neither of these two issues is easy to resolve during interviews or arms-length interactions. It is only once you arrive and work at any organisation that you can start to appreciate what the scope and nature of your daily life will be. Because the people at Cadiz Wealth spend such a large part of their lives at work, we do what we can to ensure everyone here wakes up wanting to go to work and looking forward to the day. The environment is very challenging, fast and demanding but it is also very fulfilling. Think about working with a whole team who are highly regarded in the market for its innovation, client service and their ability to create wealth for clients. Add to that thinking a very open and engaging environment where everyone has the ability to learn and grow, without fear of ‘asking the wrong question’. Finally, add to that a company that provides breakfast and lunch, has a family day to which all employees and their families are invited and, I believe, you have a career that is exceptional. So if you are motivated, interested in asset management and wealth creation as a career, with a company that will make a difference to you, then Cadiz Wealth is one name you want to remember.
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Andrew Wolfson, oducts Head: Investment Pr In my 15-year career I have managed to remain married (10 years), to have four children, find time to cycle and to remain passionate about everything I do. I firmly believe too many people put work as top priority but noone ever dies saying, “I wish I had worked harder�. I left university at a time when jobs in the UK were very hard to come by. When I graduated, there were only a handful of students offered full-time employment. Working for a bank in London during my summer vacations guided me towards derivatives and a view that commodities and China were where it was happening. My first real job was in 1993, working under the ABN Amro umbrella, trading base metals. I then joined Rudolf Wolff Commodities with the intention of running the Tokyo office and setting up its Southeast Asia operations. This led me to run the commodity derivatives trading and structuring for Tokyo-Mitsubishi; at the time, the largest bank in the world, where I was exposed to nonferrous metals, precious metals and energy products. From there, I was offered an opportunity at a European bank to get involved in cross-asset derivatives trading and structuring and spent five years building up the business before deciding I needed a more balanced life for me and my family.
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What I studied at school: The hardest part about school is learning how to balance commitments, making time for sports, academia and a social life and knowing how to follow your personal pursuits while always being a team player. Getting that right helps your career. It’s incredibly important in any business to know how to interact and communicate with other people and to be a team-player. At school my strengths were English, maths, chemistry and physics. I also, out of choice, studied French, history, music and Spanish. Being rounded in languages and sciences is very important in a global marketplace. Tertiary education: I studied maths at the University of Aberdeen and my honours thesis was in astrophysics. Tertiary education trains your mind to look at problems in a specific manner and if you realise this fact, you will see why most of the globe cares more about your key transferable skills than your actual degree. For example, IBM carried out research that showed history graduates made better programmers than computer scientists – their brains
were used to dealing with data in a chronological order. While at university, I worked for a Canadian bank, giving me my first exposure to derivative instruments and working with financial rocket scientists. This helped shift my focus to applied maths because I wanted to know how things worked in real life and I always questioned why. In my four years, I studied subjects such as mechanics, general relativity, chaos theory, vector analysis, number theory and astrophysics. I did consider doing my PhD at the University of the West Indies in astrophysics because NASA does not care which university you attend. In the end, I did not get the Commonwealth scholarship to fund the degree and, given that I was passionate about derivatives trading, I became a financial rocket scientist! How I ended up where I am: I joined Cadiz in 2003 because having researched the market for nine months, I believed opportunities existed in SA. Cadiz teaches you that not everything in life is easy but if you are passionate and remain driven you can tackle any challenge thrown at you.
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Paul Hutchinson, estments Head: Collective Inv
How I became interested in financial services: Blind luck! I was unemployed, desperate for a job and would have taken just about anything offered, with the possible exception of selling encyclopaedias door-todoor (interestingly, this was the first job of the current chief executive of Cadiz). Fortunately, Old Mutual was employing marketing graduates and I was lucky enough to be selected. I say fortunately for two reasons; the first being that as a result I landed up in the financial services industry and the second, at Old Mutual. Old Mutual was a phenomenal training ground, to which many successful people in this industry can attest. I was able to work with and learn from some truly gifted people. What I studied at school: Mainly pick-up lines, at which I unfortunately failed miserably. Thankfully, I was more successful academically. My matric subjects were English, Afrikaans, maths, science, biology and geography. Key subjects are maths and English, and if I had to do it all again I would replace geography with accountancy and biology with computer science. If you are considering a career in business, then these subjects would give you a great grounding.
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Tertiary education: After school I studied for a Bachelor of Business Science degree, majoring in marketing and economics at the University of Cape Town. The traditional route for marketing graduates is to find a marketing position at a company like Unilever, Tiger Brands, one of the car manufacturers or a retail chain. What’s common among these companies is that they all produce and market physical items – toiletries, food items, cars, clothing, etc. I maintain that it is infinitely easier to market a physical (tangible) item to which it is far easier for someone to have an emotional attachment. Just think of Coca-Cola, BMW, Levi’s, Fossil, Nokia, Apple, etc. Then consider marketing a service, which is intangible (you cannot see it, touch it or interact with it) such as unit trusts or life assurance. In marketing these products, you are trying to get the consumer to defer instant gratification (buying that new car, going on that overseas holiday) to instead purchase an investment, which will realise a return only in a number of years or, even worse, pay out on your death! What a challenge! What an opportunity!
How I ended up where I am: It may be a cliché, but it really was a combination of education, hard work and experience, and putting myself in a position of opportunity. While my background is marketing, I ensured I always broadened my scope by fully understanding product, administration, client servicing, etc., so that when I was presented with the opportunity to become head of Cadiz Collective Investments I was prepared to accept the challenge. While the hours I work may appear excessive, I thoroughly enjoy the challenge of overseeing Cadiz’s drive into the unit trust environment and ensuring we meet our strategic objectives.
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HOLLARD
insurance
THE
HOLLARD
way
your dream
live
Are you wondering where the hot jobs are with the biggest future growth potential, opportunities, challenge, variety as well as highpowered earning possibilities? Then the place to start is by checking out the official statistics about the changes that have been happening in the South African economy over the last few decades and how things have changed since our parents left school. Which industry is nailing the rest in terms of growth in the 21st century? Where are top skills needed – meaning career opportunities galore?
which is the
FASTEST
the
GROWING industry in
economy has changed
SOUTH AFRICA?
of our south african
Which industry now leads the way in growth and development? Numbers tell it all! According to the South African Institute of Race Relations, which keeps a tight track of trends which affect people in all kinds of ways, there have been big changes in the structure of the South African economy regarding the growth and decline of different industries. These are their figures from a 2006/2007 survey, based on info from Stats SA:
MO
(e.g. hotels, catering, spare parts mnfg.)
RE
M ONEY
TO iNSURE
1951
2006
-83.7%
16.6%
2.7%
-34.7%
12.1%
7.9%
0.6%
18.1%
8.2%
0%
4.8%
4.8%
17.2%
37.9%
44.4%
136.6%
9.3%
22.0%
Other tertiary up
RE
MO
Agriculture down by Mining down by Manufacturing up by Other secondary up
GROWTH
(e.g. small businesses, corner cafe, second-hand car parts)
Finance up
(including insurance and banks)
Source: Stats SA and SA Institute of Race Relations
Why has the
finance industry including insurance
opportunit
grown so fast?
60
ies
The numbers show that the finance industry – this includes insurance – has grown by 136 per cent over 50 years compared with its nearest category rival at 17.2 per cent which represents various types of small businesses. Why is the financial industry outgrowing all others? The basic reason is that there is simply more money in today’s world. People have more possessions and the world of commerce and industry is expanding beyond recognition. Obviously this means there is much more to insure and protect against risk than in the days when, for the average person, owning a TV was a seriously big deal and owning one fancy outfit and one pair of dressy shoes did the job. With so much more to insure, you can see why insurance is a career choice with a big future.
inMag | 2009
136%
UP
Who needs
youmost? One result of massive industry growth is a skills shortage, a piece of good news for people on a career search where an important question is: Who needs me most? Need equals opportunity and a future with big potential. Another important career-question is: Based on statistics, where are the exciting possibilities in the finance arena? At Hollard, we believe it is in the insurance sector. Finally, the ultimate question is: Which insurance company can offer a career that stimulates as well as rewards … and also offers more than just a ‘job’? Where do I find a holistic support system to work within that will help me create the life of my dreams? Where do I find a company that includes ongoing free education and training with recognised diplomas, an in-house Academy, fifteen unique and specialist guidance teams that include talent and money management as well as health and physical fitness? We say Hollard is that insurance company – and we’ll tell you why!
Why is
Hollard
special?
Firstly, Hollard is particularly good at insurance, a claim which is proved by the fact that in the past 28 years of uninterrupted underwriting profits. So Hollard is economically strong and smart, moves with the times, is continually launching new products created by our entrepreneurial thinkers to meet the NOW needs of today-type people … and, very important, is SO not stuck in the 20th century. Our unusual and broad diversity helps with our strong financial results. No all the eggs in one basket for us! Right from the beginning, Hollard realised that specialisation as well as diversification is a powerful thing. We provide all the usual insurances like motor, household and life insurance. But in addition, we know that people and businesses have always, and will always, need genuine experts to advise them when their needs are unusual. Hollard gives it to them through our specialist partnerships who deliver true expertise to those who need it.
Being
Di
ferent
To deliver specialist insurance, Hollard has formed many partnerships with different kinds of experts and has created insurance products to meet unique needs. These include unique insurance for motor and quad bikes; high priced art and antique collectors; pet owners; high risk factories that make explosives and chemicals; unusually high-priced motor cars like Ferraris; hotels and their guests; engineering projects; trucks and truckers; taxis; adventure vehicles like 4x4s and boats – and loads more. Hollard also has many brokers who service the market in various ways. This means Hollard has become one of the most diversified insurance companies imaginable and Hollardites (that’s what we call our people) can end up working in many specialist areas which are far different from what the average person thinks of as ‘the insurance business’.
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It’s never been done before, but Hollard created a three-day fair for Hollardites to visit (during office hours!) and have some fun while finding out all the things Hollard does to help manage their talents, grow careers, be good money managers – and more. They could have written letters and e-mails, but that wouldn’t have been as much fun, or effective, as talking to the many support teams face-to-face while eating popcorn and candy floss. The Hollard Fair made sure that nobody is missing out on special help available to build a successful career and a full and satisfying life. Here are nine of the fifteen support teams and booths that explained some of the extras Hollardites get on top of their salary.
Get an
insidersview of life on the
CAREER
Hollard
DEVELOPMENT CENTRE
An experienced team helps Hollardites to grow their career according to a long-term vision. Reaching potential takes conscious management, goal setting, insight and focus to get where you want to go and make dreams come true. A career needs to keep pace with you as you develop and change throughout your life. Don’t think ‘job’, think long-term career. You can outgrow ‘a job’ but a well planned ‘career’ grows and bends and flexes as you do.
fun
Useful questions to ask are:
fair at the
• Do you know the difference between a career and a job? • Do you know what you need to feel fulfilled? • Are you in touch with your own passions, not somebody else’s? • Have you got a personal vision including short and longterm goals? • Do you know what skills you need to reach your goals? • Where are the skills shortages?
never lose mom
MANAGING
YOUR
a balanced
TALENT
Talent is a very valuable asset and Hollard knows it. That’s why there’s a holistic approach to managing the ‘life cycle’ of individuals who work at Hollard to ensure that talented individuals reach their potential. Specialised people identify people with special capacities and recruited them. They are developed, guided, rewarded and retained.
life
entum
THE
rn
a ha
opco ve P
Gott
IN-HOUSE HOLLARD GYM
Hollard’s fully equipped gym makes being fit as easy as possible – just a few steps from the office – with different levels of fitness training and various classes. Those who want to buff up the bod and look amazing have personal trainers available to inspire and direct.
THE HOLLARD
ACADEMY aiming high
62
Hollard has its very own Academy, right on the Hollard Campus, to learn the skills needed to reach career goals. The quality of instruction is so high we’re proud to say there is a 98 per cent pass rate for FAIS qualifications. All qualifications are recognised by the industry and other learning institutions. The insurance industry has grown so fast, there is a shortage of
inMag | 2009
careers can flex
skilled people and because public training facilities weren’t living up to Hollard’s expectations, standards, and needs we started our own Academy by forming partnerships with top academic specialists. Our graduates are outperforming the national average so the Academy guys are doing an awesome job and means Hollardites have free access to diplomas and skills that can shape their careers and their lives. The Academy is just one channel that gives Hollardites personal control over their careers and they can do this while earning an income on the way to their goal. Hollard has made sure there is no such thing as a ‘dead end job’ to get frustrated about. By having skills training laid on, if interests change, you simply get a new skill and change direction without interrupting your career building momentum. The academy offers a range of insurance specific courses and subjects as well as managerial and leadership programmes jointly with the University of Stellenbosch.
CONCIERGE
rvice
r se t you
a
To avoid some of life’s minor hassles and help keep mind-power for more important stuff, Hollard has its very own concierge who handles people’s requests for onsite car washing, shoe repair, dry cleaning, tailoring, clothing alterations and even clothing design.
BECOMING
MONEY SMART
wealth planners
Because nobody is born with money management and budgeting skills, a team helps people learn how to budget and handle money – if they need it. Being financially sorted is a vital skill in building a successful life and career and this support is to ensure that all Hollardites are as ‘in charge’ as possible.
free access to diplomas
healthy
living
WELLNESS FOR HOLLARDITES
dot commers unit
e
giving back
In addition to free access to nurses and doctors for medical care on the Hollard Campus, there is also emotional backup for when the wheels fall off and you don’t know where to turn for advice. Sometimes friends, family or work mates are no help in a crisis. So Hollard pays a independent counselling service (ICAS) to give confidential and expert counselling – 24/7 – about absolutely anything that keeps Hollardites awake at night. That includes: boss trouble, addictions, family hassles, love stuff, legal drama or trouble with money, literally anything. Confidentiality is guaranteed. If there’s a beef with the boss these guys don’t tell … they just advise.
HOLLARDITE
DOT COM
The IT guys explained how they are building a special platform to chat with people in Hollard offices in 10 different countries among exciting stuff.
HOLLARD
EMPLOYEE VOLUNTEERING Employee volunteering is about choosing individualistic ways to make a positive contribution to social change and give to those in need by giving time, skills or money to vital projects.
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What and who
makes Hollard tick and where might
you fit?
Getting an overview of who does what at Hollard could help spot a slot that might be appealing to career planners. Hollard is a multifaceted insurance company that reaches out creatively to meet people where they work and play. Our job is to fit easily into the lifestyles of all South Africans in ways that suit them best and makes life easier for them … whatever their lifestyle may be. This means there are plenty of different types of career opportunities to interest virtually every personality type, interests, talents and capacities including extroverts and introverts, people lovers or loners, mathematical wizards, marketers, communicators, researchers, telephone chatters, organisers, leaders, followers, accountants, lawyers, personal assistants, money handlers, many more. Hollard has never hesitated to do things differently. We sell insurance through brokers and partners as well as direct to the public through a call centre. Our policyholders can pay their premiums in ways other than by bank debit order – although debit orders are also fine with us. However, millions of South Africans don’t have bank accounts and so, if they choose, they can do business with us through a retail clothing account or on a pre-paid cash basis – depending on what suits them best. With two licences – short term and life – it is also possible for us to design innovative products that combine both types of insurance in creative ways to meet different needs. So to help understand who does what – and do some personal opportunity spotting – here is a list of our divisions and what they do.
Hollard Select Brokers
These guys help the brokers do what they do and support them in many different ways to serve the policyholders efficiently and well. Relationship management is an important part of this divisions activities as Hollard’s extensive broker network is very important to the business.
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Hollard Insurance Partners
This team deals only with the specialist where they provide the expertise on a subject, like motor bikes, and Hollard provides insurance administration. This way people who have unique insurance needs get the service they deserve, (see list of specialist partners).
Hollard Direct Solutions
Through a busy call centre and charming people on telephones, this division talks to the public about funeral cover and various other kinds of insurance. They deal directly with buyers of insurance and do not work through brokers.
Hollard Life
The business of this division is life insurance and apart from the obvious, insuring lives, businesses can have life insurance policies on the key people in their organisations who are essential to success and profitability. This is one of the less obvious uses of life insurance.
Hollard bank & Motor Division
Insuring motor cars and household contents is what this division does and they distribute products in different ways. One is through banks and motor dealerships. The innovative and new Pay As You Drive (PAYD) is sold direct and through brokers and is now even sold in Australia through Hollard’s office there. We’re feeling quite proud of ourselves that two of our unique creations are now being sold in Australia. The one is PAYD and the other is Petsure, insurance for pets.
New Business
division
These entrepreneurial thinkers develop new insurance products to serve new consumer needs
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diversity
flexibility
unlimited possibiliies
Hollard Wealth Management
This wealth management division helps people of high net worth to grow their wealth in various ways.
Hollard Central Services
This division contains everybody who makes Hollard function, communicate with the public and look great. This includes Marketing and Communications (brand building, advertising and design, public relations, reception and telephone operations, sports sponsorship) IT division, procurement/buying department, building maintenance and gardens, catering and event management.
Claims Processing
The ultimate purpose of insurance is the efficient payment and processing of claims and each division has a claims team that does this very important job. Good people skills and patience when dealing with those in stressfull situations is an essential part of this job and is satisfying to people who like to help others.
Actuaries
Crucial to the insurance industry, actuaries calculate the likelihood of losses happening so that premiums can be accurately and fairly calculated for every different type of protection
Legal and Compliance
Lawyers make sure that Hollard complies with all aspects of the law and that policy documents are worded correctly and fairly – among other things. Consumer protection legislation is part of their brief.
Corporate Social Investment
Manages projects in which Hollard helps those in need.
Corporate Affairs
They handle relationships with official bodies as well as current environment challenges. They are responsible for Hollard being the first insurance company to do a carbon emissions audit with a view to the company becoming carbon neutral.
Hollard Group Risk
This team designs group insurance packages for business to offer perks to their staff including group pensions, various employee benefits, life cover, funeral and accident protection.
Kaizer Chiefs Financial services
They offer specialised insurance products to 14 million Kaizer Chiefs supporters.
Hollard Products through Retailers
Through the Edcon Group (including Jet and Edgars) Hollard makes it possible for account-holding customers to pay for wellpriced insurance on their accounts instead of through debit orders. Through PEP stores, Hollard has introduced pre-paid insurance that is bought off the shelf for cash in a similar way to prepaid cellphone arrangements. Through partnering with Tiger Wheel and Tyre, Hollard has brought tyre insurance to consumers who are financially stressed because of tyre damage caused by potholes and other hazards.
Human Resources
This team identifies great people and matches them to tasks needed to be done to help Hollard serve the public in exceptional ways.
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e a divers
path 65
industree
THE MODERN WORLD
COULDN’T FUNCTION WITHOUT INSURANCE
info
66
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y l l a r e s t i everywhere nsurance li
I
Everyday people couldn’t afford the
risk of driving cars
grind
and commerce and industry would
to a halt.
Insurance makes the world go round Without it the modern world and the people in it, simply could not function. Everyday people couldn’t afford the risk of driving cars and commerce and industry would grind to a halt.
Insurance is everywhere and through its many specialist partners and extensive broker network, Hollard is positioned to connect with buyers of insurance whatever their individual lifestyle may be. Hollard is busy insuring the everyday things like cars, houses and possessions. With its specialist partners, they also insure engineering projects, cargo as it is exported and imported, high risk factories, a landlord’s rent, speciality businesses, taxis, construction companies, hotels and their visiting tourists, pets, adventure vehicles, high value art and antiques, memorabilia like a Madiba shirt, Kanye West’s watch or Beckham’s boots … together with loads of other stuff that the people of the world value and need to have protected.
Hollard provides the know-how on the insurance side and our partners provide the expertise in their area of specialty. All this means that a career in insurance can take you down
very interesting roads. inMag | 2009
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www.hollard.co.za
Adding real value, through sorted partners. An authorised Financial Services Provider
Indwe
risk services
THE
INDWE
way
Indwe
Ind
Risk Services
History
tives through our procurement policy. Preference is given to genuinely empowered organisations and our existing clients. As an accredited learning provider, we provide specific insurance training, giving all our employees the opportunity to obtain their required FAIS accreditation. We also provide loans for those wishing to study further through academic institutions. We achieve our enterprise development objectives through targeted programmes aimed at small brokerage concerns that need technical assistance in various areas. We provide these organisations with partnership structures, mentorship and access to our facilities, in a bid to ensure that the number of qualified and technically competent brokers grow. In a bid to create a more empowered society, we are committed to aiding in the upliftment in the communities in which we operate, through our focused community social investment programme.
Indwe Risk Services is a product of the merger between South Africa’s premier insurance brokerages, Thebe Risk Services and Prestasi Brokers. Thebe Risk Services began in 1903 as Hoskens Insurance. In 1992, it became the insurance arm of Thebe Investment Corporation, the country’s oldest black-empowered financial institution. Prestasi Brokers was established in 1972 and rapidly became known for its innovative short-term insurance offerings for individuals and small, medium and micro enterprises (SMME) sectors. It became a fully empowered organisation when Pamodzi Investment Holdings bought a controlling stake in April 2001. Today, Indwe Risk Services represents more than 120 000 individual, commercial and corporate clients.
Empowerment Our empowerment philosophy is to create a society in which each individual has the skills, resources and opportunities to give his best in building a prosperous South Africa. We embrace the principles of BEE and put them into practice through various initiatives. Since Indwe Risk Services is a black-owned company, one of our primary corporate objectives is to ensure that over time, our company achieves equal representation of women and men across all management levels. We strive for an equitable working environment that does not tolerate discrimination and supports the growth and advancement of everyone regardless of race, sex, religion, disability, political opinion or ethnic origin. In line with the Broad-based Black Economic Empowerment Codes of Good Practice, we aim to meaningfully support previously disadvantaged enterprises’ initia-
72
Ourvalues
}
Passionate
Positive difference
Create value Take responsibility
Initiative
Embrace diversity
}
Indwe is the Xhosa name for South Africa’s national bird, the Blue Crane. In Xhosa tradition, the feathers of the Indwe were awarded to warriors in recognition of their valour. Those who wore the feathers in their headdress were called upon to stand as the protectors of their communities. Today, Indwe Risk Services is proud to live out the values of these revered warriors in an effort to guarantee you peace of mind.
inMag | 2009
Graduate Internship Programme The project is managed by Vivienne Delaney and co-ordinated by Shoki Motau.
Background The graduate internship project was initiated by Indwe Risk Services due to the shortage of young black professionals in the short-term insurance industry, and to support the growth and development strategy of the organisation. As an accredited training provider, Indwe offers training and workplace experiential learning to the interns for a period of a year. This is supported by funding from INSETA. On completion of the internship, there is no guarantee of employment; but in most cases we will endeavour to employ each intern at different divisions in the company. The programme is designed in such a way that during training, the interns are exposed to all different departments, branches and divisions of the company. This assists them in finding their individual niches, and provides valuable work experience. As a result, the interns are prepared for future employment in the shortterm insurance industry, equipped with a sound understanding of how business operates within the South African economy. The programme consists of unit standard-based skills programmes. Interns are assessed formatively and summatively and, if found competent, awarded the relevant credits. At the end of the programme,
ndwe the recruited interns are deemed ‘fit and proper’ in terms of the workplace experience gained, and minimum credits required, in line with requirements as stipulated in the FAIS Act (Act 37 of 2002).
Project
aims
• To have a pool of black graduates who will be ‘fast tracked’ over the next few years. • To develop a knowledgeable and skilled Indwe workforce. • To equip graduates with expert knowledge of the short-term insurance industry. • Initiated on empowerment principles, the interns will acquire onthe-job training experience, which is critical for skills transfer.
Programme
duration The programme runs for twelve months and includes intensive theoretical knowledge about products, legislation and business; and involves assignments, case studies based on media articles, research, presentations and portfolio building towards FAIS-related credits.
Scope
During the four months of theoretical training and eight months of experiential learning at the different business units, the interns are equipped with the following information and skills: 1. Introduction to short-term insurance. 2. FAIS Act, Short-Term Insurance Act and related legislations. 3. Business ethics. 4. Personal financial planning and management.
5. Indwe short-term insurance products (personal, commercial and corporate). 6. Indwe data-capturing systems. 7. Customer interaction – planning and management. 8. Basic conditions of employment. 9. Business communication. 10. Time and stress management. 11. Customer service orientation. 12. Project/research methodology and feedback, based on PowerPoint presentations. 13. Analysis of annual financial reports. 14. Self-knowledge and self-empowerment.
Employment
prospects Thus far, forty-four interns have been trained. Most of them have been, or will be, offered permanent employment at Indwe Risk Services. The interns will be placed in various departments, such as the call centre, claims and commercial divisions, once their internships have been completed. There are, therefore, excellent employment prospects in the long-term for interns who impress the organisation during their training. Interns who are employed by Indwe are encouraged to further develop themselves and their careers, and Indwe supports them through continuous learning to improve their business skills by providing them with workplace coaches and mentors.
>
$ucce$$stories When I was selected for the programme, I was so thrilled to have an opportunity to work in a multicultural environment. I saw this as an opportunity to observe different views from various envi-
inMag | 2009
ronments. I am grateful to Indwe because of the value it added to my life by giving me another perspective of working in a diverse environment. I believe each and every person must take responsibility to ensure the peace and well-being of whatever area we engage in. Indwe’s internship programme prepares anyone seeking practical experience in the working environment as long as they remain openminded about things. My experience as an intern gave me a practical knowledge, which I intend to integrate with theory learned at university. The experience allowed me not to limit my personal freedom and balance both the professional and social life. Interns will realise that the difference between theory and practical on the ground can be quiet noticeable. My golden rule is to express my capabilities, know what is expected of me, and be one step ahead. This always works out for the best.
>
-Vera Solomons (2007 intern)
I would like to say it has been a privilege for me to be part of Indwe’s intern graduate programme. I believe that the programme has contributed a lot to my life. The programme was not only about working exposure, but life skills, too. The programme has provided me with the understanding of diversity. It has improved my presentation skills, negotiation skills, listening skills, and even selling technique. I am currently financially wise, after attending the financial and budgeting training at Indwe. I had a mentor advising me about how to handle pressure. She was so helpful and was always there for me. I would like to encourage graduates out there to engage with programmes like this because they are so helpful. I am really grateful for what Indwe has done for me.
-James Sikhosana (2007 intern)
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Indw >
The graduate internship programme sought to unleash the potential within me, a new entrant in a professional working environment. It also prepared me to participate actively in the mainstream economy. I joined the programme in April 2008 with no knowledge of the insurance industry and with the mindset that insurance companies lied to people. I soon realised that the mindset I had was very wrong. In the internship programme, I learned so much about the professional image of the insurance sector. During the training, I realised that insurance companies offer different opportunities at different departments. I was offered training in the underwriting department where I gained skills, knowledge, self-discipline and awareness in making the right decision for clients, regarding the conditions and terms of the contract. I take this moment to thank Indwe Risk Services for allowing me to participate in the internship programme which enhanced my knowledge and professionalism. I do believe that more people are required in the insurance industry, especially the previously disadvantaged.
>
-Timothy Tlhone (2008 intern)
Many of us think that after tertiary education, graduates think they are better than everyone else; they can get any job and choose any salary. However, when I joined Indwe, the training I got from INSETA really proved me wrong. The information I got was just another step to building the best future for me. The training allowed us to learn theory while practising.
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We were taught that although diversity exists, it is up to individuals how they want to threat each other. I am grateful for the programme that gave me a platform to explore my horizons in insurance. I wish the same thing to happen to our younger brothers and sisters. All they need to do is just open their mind and adapt to change. Not all of us graduates knew about insurance prior to this training, and now I am ecstatic to say I love my job as an insurance broker. Thank you so much for the opportunity.
>
-Antoh Mgobhozi (2007 intern)
“A nation without education is like a human without soul.� With the ever-increasing demands of modern living, risk factors have never backed down and insurance companies, traditionally dominated by non-black workforce, have worked hard to mitigate these risks. This is why Indwe Risk Services, in conjunction with INSETA, found it imperative to introduce a graduate internship programme. This aims to afford black graduates an opportunity to train and find positions in the insurance industry, where their representation is thin if not completely absent, particularly in managerial positions. Indwe and INSETA, your contribution is vitally important to the insurance industry and economy of South Africa.
>
-Tlotlo Mfolwe (2008 intern)
I see the internship as a good foundation, especially for the insurance industry. The programme acts as a link from studies to the world of work; it covers the gap between the two. People who have
inMag | 2009
experience from different industries are given the platform to learn and understand what the insurance industry is all about. Looking at our current economy, we see a lack of skilled and experienced individuals in the public and private sector. The internship’s duration of one year is enough to gain insight about the whole industry. I have a vision and I can see the light, thanks to the programme.
-Humbulani Mphaga (2008 intern)
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75
MUNICH
REINSURERS
THE
MUNICH RE
way
Junior John
Ngulube
CEO, Munich Re of Africa (MRoA)
>
Junior, you
originally studied
agriculture and have a BSc Agriculture (Hons), as well as M Agric. specialising in agronomy*. Why
the move into insurance?
The move from agriculture to insurance actually came after I had spent seven years in the agricultural field, including the time I took off to complete my Masters. I had been working with a department called Agricultural Technical and Extension Services within the Ministry of Agriculture in Zimbabwe which offered technical advice to commercial and small scale farmers. After gaining enough working experience, my ambition was to go into tobacco farming. However, my then new wife would not hear of life on a farm and there ended my direct involvement in agriculture. I joined Munich Re in 1987 as an agronomist to develop a crop insurance portfolio within the company. *Agronomy is the science and technology of using plants for food, fuel, feed, and fibre. It encompasses work in the areas of plant genetics, plant physiology, meteorology and soil science.
>
And is agriculture still a particular pas-
sion of yours?
Agriculture remains my first love and who knows, maybe one day I might retire to farming! After years of neglect, food production has suddenly shot to top of almost all governments’ agendas and, in the African context, food shortages will become an even more burning issue.
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Africa is fortunate in that we have the land, the climate and affordable labour and hence a competitive advantage in food production. What we need is government support and participation, a supportive policy framework and fair terms of trade in agriculture with the developed nations and this sector will take off.
>
Is the agricultural industry in Africa able
to adapt and cope with the effects of climate change? Is enough being done?
It has been said that there are still a lot of sceptics out there who believe global warming is a western invention or something similar which is exaggerated as to its impact on the African continent. Yes it’s true that there are still a lot of sceptics out there. However, the truth is that climate change is happening already. Natural catastrophes, especially weather-related events, are increasing dramatically in number and magnitude. Africa is not spared in this global phenomenon. Some of the adaptation practices would be diversification. Instead of being dependent on one or two activities (for example, cropping or fishing only), rather get involved in a range of activities. Investment in technological advances would certainly help as well. Another area would be in infrastructural development such as the construction of dams and employment of water-conserving practices. However, many of the above options come with a range of costs and constraints, including large transaction costs. Therefore the low adaptive capacity of Africa is due in
Local event.
Global impact.
The networking of the global economy sets new challenges for the insurance industry. Having a local presence close to our clients allows us to use our international experience, assess global relationships and develop the necessary coverage concepts. www.munichre.com PREFERRED PARTNER IN RISK inMag | 2009 79
large part to the extreme poverty of many Africans coupled with complex governance and conflicts.
>
Where does climate change rank in terms of the
challenges
facing the insurance industry –
what impact is it having/going to have on losses? There is no doubt that climate change concerns rank high amongst challenges facing us. This stems from the fact that there is going to be an increasing loss burden from natural catastrophes which presents major challenges to the insurance industry. According to our statistics, there were 14 500 loss events between 1980 and 2004 which resulted in a million fatalities. Only 16 per cent of these loss events were earthquakes or volcanic eruptions. These are natural hazard events which cannot be influenced by mankind apart from possibly a few earthquakes induced by mining operations. Otherwise five out of every six natural catastrophes throughout the world are due to extreme events, as are half of the catastrophe victims. Major weather-related natural catastrophes have increased strongly in recent decades. In the past ten years, there were almost three times as many occurrences of great weatherrelated natural catastrophes as in the 1960s. Real economic losses increased fivefold, insured losses no less than tenfold. This means on average that if we extrapolate the
80
inMag | 2009
figures to current values, the insurance industry now has to cope every year with the same burden of claims from greater weather-related natural catastrophes as it did in the entire decade of the 1960s. Reasons for globally increasing losses due to natural disasters are amongst others, increasing insurance density – one only need look at the population increases of the major cities in Africa like Accra, Lagos, Johannesburg, Maputo, Nairobi, Addis Ababa, etc. This coupled with better standards of living means squeezing more expensive assets into smaller regional areas.
>
You’re currently CEO of Munich RE of Africa (MRoA) and have been
with the company for over 20 years – that’s
a long time in the insurance industry. What keeps you
there?
Quite honestly, if you had asked me that question 21 years ago, I would not have imagined myself spending 21 years with the same company! However, there are several good reasons. The obvious one was that when I joined the company in 1987, I quickly found out how progressive MRoA was, even in those dark days when black staff needed a company letter to book a table at a restaurant in order to entertain clients. Munich Re was at the forefront of breaking down those barriers and I wanted to be part of such a company. In addition, the company offered countless possibilities for self development and
advancement for all its employees which I gratefully grabbed with both hands. As a result, I have literally had six careers within the company. I joined as agronomist, was head of Human Resources and Strategic Planning, headed Non-life International looking after our SubSaharan Africa markets (39 countries), headed Non-life Treaty looking after the South African market and proceeded to Munich, Germany, where I was head of Global Reporting, a department I created from scratch, reporting to the chief financial officer, Reinsurance Group. I returned to South Africa at the end of July 2007 and started my sixth career in October last year! 21 years? What 21 years – I never saw it pass!
>
Is enough new blood being brought into the insurance/ reinsurance sector? What can be done
>
And
looking ahead, what is the
vision for Munich Re of Africa?
Munich Re has always been the transformational leader in the South African market and we will continue to be so. We would like to be the employer of choice for all South Africans and provide the ideal environment in which the previously disadvantaged too can fulfil their ambitions. We have also been transforming the way we interact with our clients to become truly client-centric and this is still a construction site. We would like to move even closer to our clients and their business to better serve their requirements and become their problem-solving partners. That is why I refer to myself as the Chief Plumber!
to attract bright young things? I belong to a generation that entered the insurance/reinsurance industry ‘by-accident’. Very few of us set out to follow a career in this sector. It happened somewhere along the line. We have not done enough to position this industry as a ‘sexy’ industry to attract school leavers and graduates while they are still studying. We need to work more closely with the institutes of higher learning. We need universities to be part of the industry by participating in our problem solving via research into these areas. The USA is an excellent example where there is a continuous linkage between the needs of the market and training institutions.
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A glob
a l dilemma e how climatnececihnadunsgtry ra
nsu i e h t s t pac
im
Global warming is on everyone’s agenda these days as the realisation that we may have irrevocably damaged the planet on which we live starts to set in. Forecasts are grim and stern warnings echo through political, social and environmental organisations, calling for change before it is too late. Even the school curriculum focuses on the effects of climate change and your parents have no doubt commented on how global warming is changing the weather patterns where you live. But global warming affects every aspect of our lives; not only from an environmental perspective, but also from a business perspective. As future insurance brokers and financial advisers, a firm understanding of the impact of global warming on the sector is imperative, from both a personal and a professional point of view. Prepar-
82
ing for a career means more than merely understanding the day-to-day operations associated with the job, but also the context in which the industry operates and the current and future challenges facing the sector. Climate change is one of the most significant issues facing the economy as a whole. Global warming is a result of carbon dioxide emissions from factories, huge industrial projects such as mines and a host of other polluters such as motor vehicle exhausts. These emissions trap warmth trying to escape beyond the ozone layer and thus heat up the world. This type of global weather change impacts on traditional weather phenomena. Hurricanes, for instance, gather their strength from moisture over the ocean. The warmer the ocean, the more moisture to strengthen the hurricane
inMag | 2009
and so warmer seas lead to horrifically strong weather systems. Imagine a hurricane in Johannesburg or a tsunami in Cape Town. This spells trouble for sectors such as the agricultural industry, which will be impacted by changing climates, extreme temperatures and unpredictable phenomena. Greater erosion of farmland could mean crop failures. In fact, global warming is associated with a variety of potential disasters including mudslides, wildfires, hailstorms, blizzards, droughts, floods and heatwaves. Insurers will need to work together with affected industries, such as farming, to ensure that it can prepare for catastrophic risk associated with global warming. Increased risk is likely to translate into increased monthly insurance payments (known as premiums) for businesses in industries likely to be affected.
Internationally, big insurance companies have policies in place to address the issue of global warming and most are joining with the scientific and economic communities to research the impact that global warming is likely to have on risk and risk management. Junior John Ngulube, CEO of Munich Re, a global insurance company that reinsures the risks of oil rigs, satellites and natural catastrophes, says global warming is a major factor for the insurance industry to consider in future ventures. Reinsurers like Munich Re assume the risk from the smaller insurance companies that individuals and businesses deal with. “Innovative solutions and interventions to encourage consumers to cut down on emissions and pollution can play a key role in slowing down the ef-
fects of global warming,” he says. Munich Re, as an international insurance company with divisions all over the world, including in South Africa, believes it has a role to play in bringing exciting, innovative and responsible products to the industry. Essentially, they are the insurance companies that provide insurance to insurance companies themselves. This type of insurance is usually focused on highrisk elements such as natural disasters, which is where global warming and its consequences come in. Insurers can have a positive impact in trying to turn the tide against global warming. Products such as ‘pay-as-youdrive’ auto insurance, already offered by some South African insurers, encourage people to cut down on their driving; instead of paying for unlimited kilometers,
inMag | 2009
consumers pay for each kilometre driven. It’s like a reward for walking to the shop instead of driving. Other ways to encourage environmental awareness include cheaper premiums for those who drive eco-friendly cars or use eco-friendly materials to build homes or businesses. Insurance companies need to understand the potential impacts of global warming and develop possible solutions to the financial challenges that lie ahead. Munich Re, for example, has partnered with the London School of Economics to study the economic effects of climate change in a five-year project. In this way, they will be able to help the insurance companies which insure with them to manage the impact that global warming will have on the industry.
83
d rs to ns an onsume
cut
utieoncourageanc l o s iveions topollution c t a v Inntoervenstsions and in n emi
le cts of g o r effe key
a n the w y o a d pl lowing no
dow
g
min r a w l loba
in s
The project will focus on analysing the risks and opportunities of climate change for the insurance industry, looking at the economics of climate change and product trends in the finance industry; improving models to quantify the cost of a climate-related increase in natural catastrophes and economically efficient responses to this; identifying the consequences of emission trading systems; the appropriate design of such schemes and business opportunities. Although no current South African statistics are available, the cost of global warming on the insurance industry is already being felt. In the UK, for example, since 1990, weather-related insurance claims have cost an average of £825 million per year and have exceeded £1 billion in four out of the last 15 years, according to the Associa-
84
tion of British Insurers. That’s a lot of money to lose and highlights why an understanding of these issues is important for those wanting to move into the finance industry. And individuals will also feel the effects of climate change on their insurance premiums. Some South African insurance companies are already planning to factor climate change risk into individual premiums. Using geographic information system mapping, the insurer will be able to correlate a client’s physical address with climate change predictions, identifying higher risk locations. If a particular area is prone to flooding, people who live in that area may find themselves categorised as a high-insurance risk and face increased premiums. Managing the consequences and im-
inMag | 2009
plications of these changes is high on the agenda for the industry, which is seeking to react to the needs of the industrial and business communities as well as individuals without loss to the insurance sector. So, more than just colder than usual summers and extreme weather conditions, global warming will play a role in the future of industries and in particular, in the insurance industry. Forward-looking insurance companies like Munich-Re are leading the way in addressing the issue of global warming and its impact on the industry. Understanding that risk and role is part of preparing for a career in the financial industry and learners with the potential to provide solutions to this increasing challenge are sure to be hot property once they enter the industry.
The sun shines.
The sun burns.
Global climate change causes not only glaciers to melt. For their risk analyses, our experts use up-to-the minute knowledge from Munich Re’s climate data. So that no investment gets too hot. www.munichre.com PREFERRED PARTNER IN RISK inMag | 2009 85
Mutual
insurance
THE
MUTUAL
way
Federal
When you were still running around with ice cream all over your face (okay, that was yesterday, but we’re talking about when you were still cute) and people asked you what you wanted to be when you were ‘big’, you probably answered something like a lawyer, a doctor or an airhostess. Did you think short-term insurance? Probably not. So what makes over 2 300 staff wake up every day, amped for work at Mutual & Federal in South Africa, Namibia and Botswana? Besides the fact that we are one of the oldest insurance companies in South Africa, we are also one of the most prestigious, with a reputation for honesty, integrity and pushing beyond boundaries. What does this mean for you? You – who after 12 years of grafting at school can’t even get your head around next year, never mind the rest of your career! We’ve got a suggestion. Once you’ve got your finals under your belt, and you start thinking seriously about what you want to do next (or after the wild gap year you’re still trying to convince your parents to allow) – open your mind to the world of short-term insurance. Mutual & Federal is geared towards being a relevant, modern and dynamic market leader in the southern African insurance industry. When people think of short-term insurance, we want them to think of Mutual & Federal.
Company pro elif
We are constantly working to be the strongest and most successful short-term insurer in our chosen markets by providing top-quality solutions to protect our clients’ possessions. Mutual & Federal is committed to the South African transformation process and concluded a Black Economic Empowerment transaction in 2005 with Whiphold and Mtha-we-Mpumelelo to benefit staff, business partners and community development organisations.
History
Services We pride ourselves on having a fair claims settlement policy and a good reputation for paying claims. Our drive-in assessment centres and fast-track processing, where claims under R10 000 are settled within 24 hours, make things simpler for customers. In the case of a good claims history, the policyholder can be awarded a claimfree benefit (no-claims bonus) which reduces their spending every month on premiums.
Reaching
ourclients
Just how does Mutual & Federal make a connection to its clients? As an accredited financial services provider, our advice is professional, comprehensive and based on sound business principles. People can access our advice and services through brokers or intermediaries, branches, call centres and our website at www.mf.co.za. We have a solid relationship with the broker community which comes from years of good service. We encourage face-to-face relationships with independent intermediaries and Old Mutual personal financial advisers; they are knowledgeable and provide the clients with relevant info and stay in touch to understand the clients’ changing needs.
Learnerships at
Our history can be traced back over 200 years and involves the merging of many companies to shape Mutual & Federal as it is today. Our longstanding presence in the short-term insurance industry affords us the confidence to embrace the challenges ahead, look towards a bright future and focus on delivering outstanding service and quality products in an ever-changing market. The company operates through a national footprint of branches located in South Africa, Namibia and Botswana. All of these are dedicated to the delivery of innovative short-term insurance products and outstanding service.
Product
offering Our far-reaching product range is leading the market and provides insurance cover for both individual and commercial clients. Each policy is individually designed according to a person’s lifestyle and
88
their claims history. This profile allows us to work out the perfect monthly premium for each policyholder. Mutual & Federal specialises in short-term insurance products for personal, commercial and corporate needs as well as for the agriculture, engineering, marine and risk financing markets.
Mutual & Federal
For a school leaver, there are two ways of entering Mutual & Federal. One of these is through the learnership programme which offers grade 12s the opportunity to join the short-term insurance industry. As an accredited training provider, the company offers a 12month financial sector charter learnership which introduces learners to the industry and establishes a sound foundation for a rewarding career. The programme balances need-to-know theory with practical workplace training and coaching. Learners work under a mentor who guides and helps them while they complete the programme. This type of learnership is a meaningful change from the ‘old school’ method with only lectures and no practical exposure. You can also earn some cash in the form of an allowance while you are training. Are you in Grade 12, a black learner and interested in the Mutual & Federal learnership programme? Listen up.
inMag | 2009
Qualification
obtained
You will get a nationally-recognised Further Education and Training Certificate (FETC) in Short-term Insurance Level 4.
Employment
opportunities
Although Mutual & Federal is under no obligation to employ any of the learners who have completed the FETC course, in the past most of the successful learners have been offered permanent employment within the organisation. The qualification will make you more marketable and in high demand in the insurance industry.
Howenrol
Xolani Patuleni was unemployed, but after a friend told him
about the programme he decided to enter the world of short-term insurance. He completed his learnership and obtained a National Certificate in Short-term Insurance NQF4. He is now a personal lines underwriter at the Port Elizabeth branch and says, “The learnership has developed me personally, and the experience I gained has given me the right attitude to be able to do my job well and to satisfy customers and brokers.”
gone right… By day, Shahied Barnes is an underwriting clerk at the Paarl branch, and by night he whips out his pool cue and duels other challengers on the green felt. He is a prime example of one of our successful learnerships. In 2004, Shahied didn’t have a stable job and had little faith in his abilities. This was until he heard about the learnership at Mutual & Federal. He enrolled in the programme and earned himself a National Certificate in Short-term Insurance (NQF4). He says, “When I was exposed to the insurance industry, I immediately became passionate about it. It boosted my morale and opened doors for me. Suddenly I could reach for certain goals and prospects which were not obtainable at first. I could see the bigger picture.”
i Patuleni lan
Learnerships
Xo
The Mutual & Federal learnership programme is implemented in the beginning of each year. Check out the Mutual & Federal website at www.mf.co.za to find out more about the programme and who can apply. You can also get in touch with the INSETA (Insurance Sector Training Authority) on 011 544 2000 or at insetacallcentre@inseta.org.za to get the low-down on other learnerships offered in insurance.
Hubz
The second route of entry into Mutual & Federal is by applying for a position in one of our regional data processing or claims hubz. These hubz are based in our regional offices in the major centres such as Durban, Cape Town and Johannesburg. Our Bloemfontein and Port Elizabeth regional offices will have claims hubz only. These hubz are ideal starting grounds for school leavers who want to learn about the interesting world of short-term insurance as they offer entry level positions and the opportunity to earn an income at the same time. Better still! Use this as an opportunity to take your gap year in a major South African city. This way, you can earn while you learn, experience a new city (come on … get away from your dorpie) and decide what to do with the rest of your career … and life.
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Advertising
can be launched on a brilliant career path including grade 12s, graduates or self-starters. At Mutual & Federal, we strive to provide employees with rewarding careers and job security.
Towards the end of 2007, we launched a search for a fresh, new advertising agency and found The Firehouse. This agency is fun, funky, creative and original – all the ingredients that Mutual & Federal wanted to inject into its advertising. The agency works hand in hand with our marketing department and we recently launched a new advertising campaign called ‘Short Moments’.
This is
hownew ad campaign works our
What is a ‘Short Moment’? You know that split second as your coffee spills all over your keyboard, or just as the ring slips into the drain? That’s a short moment … and that’s the long and the short of the new campaign. Catch our new ads on radio, TV and online.
Check out
Mutual & Federalon
The public (that means you) have been invited to join the Short Moments Group on Facebook called M&F Short Moments. Capture a short moment in a digital photo or short video clip or add catchy comments to be eligible for awesome prizes. Visit www.mfshortmoments.co.za .
Just look at some of our
success stories
Mohau Molefe is one of our graduate interns who landed at Mutual & Federal a few years ago. He studied BCom at the University of Pretoria, but never even considered short-term insurance as a career. In fact, before joining us, he didn’t even know what short-term insurance was. He had to choose between further study to complete a CA qualification, or full-time employment. Finances were a key driver and he chose to start working. He says that it was the best decision he has ever made. He applied at an employment agency that was looking for ‘graduates’ and, after the screening, he was selected to join the Mutual & Federal Nelspruit office as a graduate intern. Mohau says, “I love it and am still here after three years! It’s an environment that exposes me to all types of industries. There are so many different functions which means that all types of skills and qualifications can fit into Mutual & Federal. I have a great development path because there are so many opportunities that I can use to sketch my career.” What is his advice to Grade 12s? “The short-term industry is a great platform for growth. Not many consider the industry for career purposes; but many people, top management included – land here by chance. Being part of Mutual & Federal can set you up for the future.”
Andrew Magata joined the company in 1992 as a driver.
Through completing several in-house training courses, he expanded his knowledge base, developed his skills and worked his way up the ranks. Today, he is an administration manager. Andrew says, “I stayed at Mutual & Federal because of the security the company offers, as well as the opportunities to grow. I would advise all school leavers to make use of any opportunities that come their way and to make the best of it!”
Faces of
Mutual & Federal The short-term insurance industry operates across a wide spectrum of fields which presents a variety of career opportunities. Interested in agriculture, engineering, marine, legal, IT or even marketing and communications? Anyone with enough drive and enthusiasm
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inMag | 2009
Samantha Miller went to varsity for one year, but realised that
studying wasn’t her thing. Instead she joined Mutual & Federal in 1987. Her passion for the industry has kept her motivated and today she is the general manager of business development and sales.
S
Mutual & Federal
AWARDSand SA Cricket Annual saCRICKET
a am
Inspiring a nation.
28668
ntha Mille r
We don’t like cricket, we LOVE it! Mutual & Federal hosts the biggest cricket awards ceremony in South Africa, honouring cricket players and administrators who have performed well during the season. We also produce the Mutual & Federal SA Cricket Annual which is a recognised source of local and international cricket statistics.
A
human
face
Mutual & Federal is very involved with sport sponsorship from schools, at varsity and through to national level.
Mutual & Federal
Agri Schools Rugby
Sponsorship
We support 13 schools across the country with rugby development. You’ll find us cheering on school teams in Paarl, Riversdal, Magaliesburg, Tzaneen, KwaZulu-Natal, Kimberley and the Free State.
Mutual & Federal Universities Boat Race The annual Universities Boat Race happens every year in Port Alfred, Eastern Cape in the second week of September. The event turns the sleepy little town into a hive of activity and excitement. Teams of men, women and novices compete for trophies and glory.
Whilst our sponsorship of cricket promotes the Mutual & Federal brand to cricket fans, we value the game’s greater significance. It’s a sport that stirs a sense of national pride that helps unite our nation. Cricket - it’s more than just a game. Mutual & Federal, proud sponsors of the South African Cricket Awards and the South African Cricket Annual.
Contact a broker or visit www.mf.co.za Authorised Financial Services Provider.
Mutual & Federal in the
community
Mutual & Federal is very active within the diverse communities of our country through an extensive corporate social investment (CSI) programme. Mutual & Federal contributes financially to 27 projects dealing with a range of issues from education, conservation, road safety and crime prevention to health and welfare.
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91
Old
Mutual insurance
THE
OLD MUTUAL WAY
way
Do you have what it takes
to shine as a financial facilitator for Old Mutual?
>
The Academy for Financial Planners
Located in Johannesburg, the Old Mutual Academy for Financial Planners was established to provide quality training to select black graduates who want to start a career in financial planning. The academy offers a 12-month ‘earn while you learn’ programme that results in a recognised qualification including: • NQF5 level accreditation. • Theoretical and practical training. • Infrastructure and facilities in which to work and learn. • A monthly living allowance. • Exposure to Old Mutual’s industry expertise.
• How to qualify
• How to apply Download the Academy for Financial Planners Brochure (137 kb pdfKB PDF) on www.oldmutual.co.za or phone 011 447 8184.
Financial Education Facilitators
Do you have what it takes to shine as a financial education facilitator for Old Mutual? Are you outgoing, confident and energetic? Do you have that special touch of star quality that makes people sit up and take notice when you enter a room? If you think you’ve got that X-factor, then Old Mutual wants to see you in action at our special audition workshops, where we’ll
96
• How do I get an audition? You must meet the following criteria: • You must have a post-matric or degree. • You must not be permanently employed. • Upon final selection, you must be available to be employed as a financial education facilitator for six months, with the exciting prospect of full-time employment within Old Mutual.
Visit www.oldmutual.co.za for more details. Life @ Old Mutual South Africa
You need • A tertiary education. • At least one-year’s work experience. • To be a black person between 25 and 32 years old.
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be looking for star presenters who will be chosen to facilitate financial education workshops in and around their local areas and communities.
At Old Mutual, we value teamwork and are committed to the principles of integrity, transparency and performance excellence. In addition we offer a stimulating work environment geared towards growth, innovation and appreciation. When it comes to our staff we are conscious of the new partnershipbased relationship that exists between employers and employees. In recognition of this new dynamic, we have created a role-based corporate structure with pioneering and flexible benefits. Employment equity and transformation are key to our culture. We aim to create a work environment that is as vibrant and rich as the broader South African community by developing the myriad talents of both existing and prospective employees. Our commitment to workplace transformation is reflected in the ongoing A Great Place to Work campaign. This campaign aims to ensure that Old Mutual SA is an employer that appreciates its employees, rewards excellence and offers cross-training and career-path opportunities. We are committed to skills development both internally and externally and offer a number of training opportunities.
inMag | 2009
Greenroom 04.2008 JB13845
How awesome are you really?
The Old Mutual opportunity You get support from the day you matriculate, throughout your actuarial studies to qualification and beyond. Our South African Managing Director, Paul Hanratty, began his journey as a bursary student – if YOU think you have what it takes, use the Old Mutual opportunity to SHINE!
The Old Mutual bursary package to start you off
The Old Mutual edge to keep you going
■ The full costs of tuition
■ Guaranteed employment after university
■ Residence fees and one annual return flight home for students who are not studying in their hometown
■ One-on-one mentoring by an experienced qualified actuary
■ Book and general allowance ■ A month of in-house holiday training from second year ■ The better the quality of your degree the more incentives you will be offered ■ Specialised tuition package
■ For the best of the best – further study opportunities and support (e.g. MBA or CFA qualification)
Being an Actuary requires ■ Sacrifice, dedication and hard work ■ Proven numeracy skills (Mathematics) ■ Communication skills (English) ■ An appetite for challenge ■ Drive, energy and initiative proves
the reward
the challenge
■ In-house rotation programme exposing you to various aspects of our business
■ Working with acknowledged industry-leading experts in different fields, shaping South Africa’s financial future
■ Networking
■ That special x-factor that you’re a cut above the rest!
■ The chance to gain experience internationally (e.g. India, US, UK, China)
■ At the end of the journey you will join an elite, talented pool. ■ You will be recognised as a top-earning niche professional with specialised skills in risk management across a range of financial arenas – fund management, investment product design, solution development and consulting, and retirement and risk planning – among others.
Contact us at 021 509 4861 or 504 7285
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Old Mutual is the largest and most respected financial services provider in Southern Africa. Our powerful position in the industry is shown in strong performances across all of our businesses, our financial flexibility and diversity of business. Our partnership with Nedbank and Mutual & Federal (two sister subsidiary companies under the Old Mutual public limited company (plc) name) enables us to offer a variety of products and services. These include investment, life assurance, asset management, banking, healthcare and general insurance. Individuals, businesses, corporates and institutions are our clients. Old Mutual (South Africa) plays a significant part in the South African economy. We remain committed to addressing Black Economic Empowerment and were actively involved in the drafting of the Financial Services Charter. We are committed to serving South African communities as well as our investors. Our products and services give clients what they need, and deliver this through collective skills, years of experience and our value-driven people.
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Southern Africa
The company operates the largest life assurance business in Southern Africa, through which it provides life, disability and health insurance, retirement savings and investment products to individuals and groups.
Life Assurance:
Old Mutual South Africa, Old Mutual Kenya, Old Mutual Namibia and Old Mutual Zimbabwe
Asset Management:
Old Mutual Investment Group South Africa Banking: Nedbank Group Ltd
General Insurance: Mutual & Federal
Investments:
Once upon a time...
Fairbairn Capital and Old Mutual Unit Trust Managers Limited
Old Mutual has a history of more than 150 years as a South African-based mutual society prior to its public listing in 1999. It all started in 1845, when the 166-member Mutual Life Association of Cape of Good Hope was founded, with no initial capital other than the premiums of its first policyholders. Gold was discovered in 1870 in what was then the Transvaal province and, in the same year, Old Mutual’s emblem was designed by the board chairman, Charles Bell. The company has been through some dramatic shifts to end up where it is today. 1982 saw Old Mutual becoming the first South African life assurer to receive R1 billion in premium income in one year. Old Mutual turned 150 on 17 May 1971, and in 1999, the company demutualised and was listed on the stock exchange. Since then it has grown from strength to strength.
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Health Insurance:
Old Mutual Healthcare
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Careers Centre
The Old Mutual Group is a multi-national financial services company that employs in excess of 50 000 people globally and is a leader in product innovation, service excellence and policy development. Find out more at www.oldmutual.co.za
inMag | 2009
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Bursaries & Scholarships
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Accountancy Bursaries
Well-trained and qualified accountants are important to the success of Old Mutual and South Africa. At Old Mutual, accountants are involved in all levels of our business from finance to human resources. To become an accountant you need to complete an internship when you have finished your academic training. You can take the traditional route and do your articles with a firm of chartered accountants; or you can train at approved organisations that are not chartered accountants, known as Training Outside of Public Practice (TOPP). Old Mutual accountancy bursaries are offered to those who want to select TOPP internships at Old Mutual. The bursary covers:
Actuarial Bursaries
The actuarial profession is at the core of Old Mutual’s operations and, as such, we are one of South Africa’s leading employers of actuaries. Ensuring that we have high quality staff is important and providing bursaries to actuarial students is one way of achieving this.
• The full costs of tuition at a South African University. • Residence fees and one annual return flight home for students who are not studying in their home town. • Benefit from a month’s in-house holiday training. • Incentives offered for the quality of your results.
Old Mutual actuarial bursaries cover: • The full costs of tuition at UCT, Stellenbosch or Wits University. • Residence fees and one annual return flight home for students who are not studying in their home town. • Book and general allowance. • A month of in-house holiday training from second year. • The better the quality of your degree, the more incentives you will be offered. • Specialised tuition package. • Networking. • An agreement that you work for Old Mutual for a predetermined period once you have qualified.
• How to qualify
• How to qualify
You need a matric with at least a C symbol for mathematics and English. You also need to commit to our TOPP internship programme after which you will work for Old Mutual for a specified period of time.
• How to apply Download the Accountancy (TOPP) Bursary Application Form (83KB PDF) on www.oldmutual.co.za and complete it in your own writing or phone 021 509 2656.
You need mathematics with a strong A-plus result and As and Bs for the rest of your matric subjects.
• How to apply Download the Actuarial Bursary Application Form (85KB PDF) from www.oldmutual.co.za and complete it in your own writing or contact 021 509 4861/504 7285.
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Old Mu
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How did you get involved in the industry? I gave my CV to a recruitment agency and they then asked me whether I would be interested in joining the learnership programme offered by the Insurance SETA. I agreed and went for an assessment. Soon afterwards, I got a call to inform me that I had been accepted into the programme and that I needed to report to the college the following day to start the learnership.
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What subjects do you need for a career in investments? We were required to have passed maths and accounting as subjects in matric, to qualify for the learnership.
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Is it true that, even with initiatives in place to provide learnerships, kids in rural schools are being overlooked? I think that a lot is being done to inform kids in the rural areas about the opportunities that learnerships offer them. It might not create opportunities for everyone but
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a number of kids who would not have been exposed to the insurance industry or would have been unemployed after leaving school are now given this opportunity.
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Is there an example in your company of someone rising through the ranks as a result of a learnership? Yes, me! I started with Old Mutual in 2004 as part of its first intake of learners. During that year, my role was that of a venue booking administrator. After the learnership, I was moved into a role where I was responsible for updating the website for Old Mutual Business School and provide support for the Learning Management System that was being rolled out to the organisation. This role started off as a contract position and was made permanent last year.
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What keeps you motivated? Not having received any prior training for the work that I am currently doing, means that there is a lot that I am still learning about the job. What motivates me is exploring the software that I am required to work with, and the challenge of acquiring the skills that my job requires of me.
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What does your company do to attract upcoming black talent? Old Mutual offers learnerships, internships, bursaries and graduate-accelerated programmes, amongst other initiatives. I’m passionate about skills development, as this is key to sustaining our company and, ultimately, our country.
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What is the best paying job in insurance?
Financial advisers are wellpaid. They get a basic salary plus commission, so the harder they work, the more money they get. Actuaries and underwriters are also quite in demand. Financial advisers, call centre agents, client support, administrative support, HR consultants, area and sales managers and IT have the coolest jobs, if you ask me.
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Can I get a job overseas in the industry if I am trained locally?
Yes. Old Mutual SA is an internationally-based company. Visit our website at www.oldmutual.com to find out more.
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Would you say there is a future in insurance? And should I study first?
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How did you get involved in the industry? Is it boring at all? Do you think some companies are better to work for than others?
I completed my actuarial degree and hence got involved in the insurance industry. Certainly not! Insurance is a dynamic industry, and since it’s governed by legislation with which we need to comply, it brings lots of challenges. Yes, all companies offer different benefits and perks. You need to ensure that the company’s values are in line with your personal values.
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What about the advertising we see on TV? Are middlemen really ‘stealing’ people’s money?
The middleman (broker or intermediary) is being paid for the financial advice given to an individual based on their individual need and circumstances. So, that’s a definite no!
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Give three reasons to pick this area of financial services as a career.
You get a wider variety of career/employment opportunities; it is exciting and dynamic; and you become thoroughly skilled in the financial services industry and are therefore more marketable.
Without a doubt. Insurance and investment are ongoing needs. Generations into the future, people will still need insurance and investment. Studying first would depend on your longterm goal and the positions you will apply for. But remember, experience also counts!
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Careers @ Old Mutual
■ ■ ■
Learnerships Bursaries General Career Opportunities
Are you an above-average Matriculant thinking about a career in financial services? Learnerships Old Mutual is opening the door to recent school-leavers to participate in their exciting 12-month Learnership Programme, offering a range of skills and in-house training in a variety of fields, whilst earning a salary in a fun, fast-paced environment. We’re serious about investing in enterprising young pioneers, who are eager to move forward. As a leading provider of investment and savings solutions, Old Mutual is alive with possibilities, offering proactive candidates work-place experience in a dynamic and highly stimulating financial services environment. Individual talents, creativity, enthusiasm, as well as a hunger for growth are recognised and equally rewarded. Your Matric qualification with an above-average grade in Maths, will grab our attention. You will also need a positive attitude and the ability to acquire new skills in a short period of time.
Bursaries Bursaries for Actuarial and Accounting students are also available … go online for more information.
General Career Opportunities We also offer a range of career opportunities in the following areas: ■ Client Service ■ Marketing & Communication ■ Investments ■ Financial Advice ■ Legal ■ Finance ■ Property Development ■ Information Technology
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Actuarial
If you are serious about taking control of your future as a number one candidate with a number one financial organisation, Old Mutual is calling YOU!
To find out more, visit our website www.oldmutual.co.za and click to the career of your choice.
Licensed Financial Service Provider
RGA Reinsurance Company of South Africa Limited is a subsidiary of the Reinsurance Group of America Incorporated, listed on the New York Stock Exchange. RGA Inc. is one of the largest life reinsurers in the world with over $2 trillion of life reinsurance in force and the only dedicated life reinsurer in South Africa. RGA South Africa has grown significantly in the South Africa market over the last eight years, with revenue in excess of R500 million during 2007 and total assets of over R900 million at the end of 2007. RGA wishes to congratulate Dr Franklin Sonn, a director of the Company, for receiving the National Order award - the highest honorary award that any South Africa citizen can receive by offering one Black South African a full bursary to study Actuarial Science at any recognised institution in the country. The selection of candidates would be based on the following criteria: • Financial need • Academic merit The successful applicant will be required to work at the RGA South Africa offices as a vacation student during university holidays. Applicants must submit an application letter with the following information: • Name and surname • Age • Race • Gender • Degree to study • Institution • Year of study • Annual household income
Candidates should attach the following to their applications: • Certified copy of identity document (ID) or birth certificate. • Certified copy of the latest academic results. • Acceptance letter from the relevant academic institution. • Latest academic results. • Motivation letter (not more than one A4 page). • Certified copy of parent/guardian ID.
Applications should be directed to Huli Moliea on hmoliea@rgare.com or by post to PO Box 13422, Mowbray, 7705 Telephone enquiries should be directed to 021 486 1700 Closing date: 30 November 2008
www.rgare.co.za
Santam
insurance
THE
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What do a cellphone, iPod, Louis Vuitton bag, earrings, scooter, designer jeans and DVDs have in common? Easy! These are all cool things most teenagers have and if they don’t have it already, it will most definitely be on their birthday or Christmas wishlists. Well, sadly these are all items that can either be lost or stolen. Unless these items are properly insured, you will have to wait a long time before you can replace them again. Welcome to the world of short-term insurance.
Shoes + bag +
short-term
insurance
So what, you may think. Insurance is a complicated drag that my parents can worry about. The interesting thing is that insurance is actually not that difficult to understand; and, let’s be honest, you may still be a teenager, but you already own great and very expensive assets like cool sunglasses and top-of-the-range cellphones. These things are hot property that criminals love to steal. Not having insurance is like having a great designer bag, but your shoes are tatty. The one goes with the other. You need matching shoes with your fancy bag. Now, you can add another essential item to your ‘look’ – short-term insurance. But not just any short-term insurance. You want the best of the best to match your designer labels. Santam is that brand.
Bestof the
best
If anyone knows brands, it is Santam. Think of all the millions of cars, household goods, watches, jewellery, boats, bikes and even planes that Santam insures on a daily and even an hourly basis. If any of Santam’s clients’ assets get stolen, Santam will either pay them out in cash or replace those items. That means if you, for example, have a Guess watch and someone steals it, Santam will make sure that your Guess watch is replaced by another Guess watch of the same make and model. It comes as no surprise that Santam has the largest network of suppliers in the country to ensure all its clients’ assets are fully covered.
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The
top
insurance brand
The best part about Santam is that we have been around for 90 years. Yeah, right … you may think why would I want to be associated with a company that’s been around for so long – 90 years is a long time? It’s about being the leader. Think about it. It’s quite easy to follow and improve on other people’s ideas; but to be the first to do something, takes some real clever thinking and leadership. Santam is undeniably the trendsetter in the insurance industry. Because we’ve been at it for so long, we have perfected short-term insurance, while others are still catching up. But there’s more to Santam than just protecting your assets. Santam can also be a great place to work. The one thing most of us have in common is the fact that we have to work for the best part of our lives to put food on the table. From the day you are born until you die, you will have spent at least 55 000 hours trying to earn a living. At Santam, close to 2 500 people are trying to do just that. But, why work at Santam?
Santam
cares about tomorrow
One of the reasons why so many people choose to work for Santam is because Santam cares about tomorrow. It’s a company where you are free to Think Big, be innovative and creative. It is also a place where people care about each other, the community and the environment. It’s a company that recognises people like you and me as their biggest asset. The fact that the average time any Santammer works at Santam is about 15 years, speaks volumes. That sounds all good, you may think, but you are so not into finances and accounting stuff, or whatever it is they do at short-term insurance companies. Probably one of the best-kept secrets in town is that Santam has one of the most diverse groups of people working for them. At any given time, you will find lawyers, accountants, graphic designers, marketing gurus, advertising executives, brand managers, engineers and even psychologists working for Santam. You could be the next Santammer!
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What’s in
for me?
it
The question that most people would want to have answered is: “What’s in it for me to work at Santam?” At Santam, we are constantly looking for ways to improve Santammers’ working life by introducing benefits such as: Santammers can, through this reward and recognition programme, receive on-the-spot recognition and awards-driven recognition. Staff can be nominated for awards in different categories linked to our values (e.g. Award for Innovation). A monthly prize and an annual prize (overall winner) will be given to staff members who come up with the most useful and innovative ideas.
So,
what makes Santammers
different
?
Santammers are special because they exude warmth, energy and passion. They reflect our values in the ways in which they embrace change and diversity and, through this, they actively support our brand positioning. At Santam we know that you want to be associated with strong brands, because strong brands have a good reputation. Santam is a large, stable and successful company. Our capacity to weather the hard times and to constantly re-invent ourselves is legendary. We did not become 90 years old through luck! We offer staff both security and innovation and give them a range of tools to position themselves for success, growth and happiness. We also know that you want to work for a company that values you and your contributions by giving you opportunities to achieve your own career ambitions. At Santam we are constantly striving to live up to the promises that attracted our people in the first place. Santam does not just care about its own people. Santam also cares about its clients, the communities and the environment. Gone are the days when we tell people what we are doing for the communities and the environment. We are now telling them what impact we have made and what real difference we are making in people’s lives. Our corporate social investment (CSI) programme is doing just that. We are making a real investment in society by caring about tomorrow. We do not support the concept of ‘cheque book charity’. Instead, we focus on forming meaningful partnerships with previously marginalised communities through the transfer of skills, to help people to help themselves on an ongoing basis.
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Gone are the days when a matric certificate guaranteed you a job. Entrepreneurial skills and the ability to create work for oneself are what will set young job seekers apart from the rest. In partnership with the Education Department, Santam established the Santam Young Entrepreneurs project six years ago. The project has made a remarkable difference in the lives of young learners at over 3 000 schools nationwide.
it Paint as it is Children from schools throughout the country recently submitted entries for Santam’s 45th Child Art competition. The competition is open to all learners from pre-primary to matric and attracts about 5 000 entries per year. So far, approximately 600 000 children have participated in the competition since it was launched 45 years ago. Each year, 12 artworks are chosen to be used as part of Santam’s corporate calendars. Each one of these child artists receives a framed copy of their masterpiece, as well as a donation to their school. The donations allow us to plough more resources back into the children’s communities and will enable their schools to buy more art materials. Other entries are framed and used in Santam’s offices countrywide.
Reach
out
The Tygerberg Outreach Programme in Blackheath, Cape Town, is a job creation programme involving basket weaving, needlework and crafts, as well as fabric painting. The programme has ten blind officials and an overseer. These blind weavers train HIV-positive women to enable them to generate in income.
Adopt-a-Shop In partnership with the Western Cape Business Opportunity Forum (Wecbof), Santam has identified emerging motor repair shop entrepreneurs who have each been partnered with an established and successful repair shop owner. Participants complete a skills training and mentorship programme, unique to each of their specific needs. The objective of the project is to raise their levels of service delivery to meet with acceptable industry standards so that they can create their own sustainable, independent and successful small businesses.
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Fast-tracking
fire-prevention Did you know that over 90 per cent of fires are caused by human negligence? With fire, prevention really is better than cure, which is why Santam is a proud sponsor of FirewatchSA’s fire-prevention initiatives. Their latest project, the first of its kind in the world, known as Working on Fire (WOF,) is an early fire-detection system that reduces the time lapse between the start of a fire and the response by fire and emergency services. FirewatchSA’s system uses three cameras, placed strategically in a particular area, that signal the first signs of a fire. The cameras operate on a 24-hour basis and alert local ground firefighting resources and aerial firefighting response units at the first sign of a fire. The image of the smoke and/or fire photographed by the cameras is plotted on a map to pinpoint the exact location of the fire, day or night. The cameras can be placed in high-density areas such as townships, or in forests that are prone to outbreaks of fire. In addition, Santam’s CSI section and FirewatchSA are discussing broadening the scope of the project by empowering communities with basic firefighting training and by donating fire-beaters to high-risk communities.
Our biggest
investment People are definitely our biggest investment and our biggest asset, that’s why we need young and aspiring individuals like yourself to join us. If we want to excel, we need to think big. If we want to do things that no other company has done before, we need to think like no one has ever thought before. We need to place our goals in high positions and achieve them. We will not become an extraordinary company by thinking ordinarily. We will not change our country for the better by doing the same things over again. People must look at us and say that we’ll never do it. It is up to us to prove them wrong.
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TELESURE
INSURANCE
THE
TELESURE
way
TELESURE INVESTMENT HOLDINGS (PTY) LTD
Insurance brands such as Auto & General Insurance, 1st for Women Insurance Brokers, Budget Insurance Brokers, 1Lifedirect and Dial Direct Insurance are among the country’s most popular insurance brands according to the Sunday Times Ipsos Markinor Brand Survey. What many people don’t know is that Telesure Investment Holdings (Pty) Ltd, an international financial services group, operates all these brands, which target different segments of the insuring public. From its humble beginnings in 1998, Telesure has grown into a powerhouse with over 600 000 clients across the brands, generating close to R4 billion per year in premium income, with a staff complement of 2 500.
Over the years, Telesure has introduced a number of firsts in South Africa including: • Paperless and telephonic insurance. • Electronic underwriting. • On-line quotes and claims, 24 hours a day, with claim tracking capability. • Direct short-term insurance. • Direct long-term insurance (1Lifedirect). • Voice logging to keep records of contracts. • Targeting the female market (1st for Women Insurance Brokers). • Plain Business Writing in all policy books. • On-line aggregator site (hippo.co.za). • Pioneered the invention of the first selfarming car immobiliser. • Launched affinity products with premium brands like AA, Clicks and Woolworths. • Launched a service charter for clients with self-imposed penalty payments. Telesure believes in finding a better way and is passionate about innovation. It is a progressive, forward-thinking and pioneering company that employs people who can challenge the mundane, are cutting-edge and revolutionary. For more information on Telesure, visit www.telesure.co.za or contact Telesure on graduates@telesure.co.za. AUTO & GENERAL INSURANCE: Auto & General Insurance has a proud and illustrious history of innovation and has been an influential player in the short-term insurance industry since its inception over 23 years ago. Over the years, the Auto & General name has become synonymous with service excellence and affordable, innovatively-packaged qual-
ity insurance products including car, home and business insurance. For more information on Auto & General Insurance, please visit www.autogen.co.za 1ST FOR WOMEN INSURANCE BROKERS: 1st for Women Insurance understands women’s unique insurance needs, offering not only up to 40 per cent off on car insurance and affordable home contents and buildings insurance, but also a host of free assist products. The company’s growth has exceeded all expectations, indicating that women welcome a short-term insurance offering that is tailor-made to meet their needs, not just a generic product in pink packaging. For more information on 1st for Women Insurance Brokers, please visit www.ffw.co.za DIAL DIRECT INSURANCE: In August 2008, Dial Direct was named the most popular short-term insurance brand in South Africa in the 2008 Sunday Times Ipsos Markinor Brand Survey. The survey is the only research-based, consumer-driven guide to brand royalty in South Africa. Dial Direct customers can submit and track their insurance claims online, as well as make changes to their cover 24/7. This system was recently voted as the most comprehensive online policy management system in the short-term insurance industry. For more information on Dial Direct Insurance, please visit www.dialdirect.co.za BUDGET INSURANCE BROKERS: For the past 10 years, Budget Insurance Brokers has provided the South African public with low, low premiums on their motor and household insurance and innovative value-added products such as funeral cover, personal accident cover, small damage cover and Exposure, which provides protection in the event of accidental exposure to HIV/Aids for the client and his or her family. The company also offers business insurance. For more information on Budget Insurance Brokers, please visit www. budgetins.co.za UNITY INSURANCE: Established in November 2004, Unity Insurance is a shortterm domestic underwriter which delivers specialist short-term insurance products that address the lifestyle needs of all South Africans. The company takes its products to market through various channels including a national network of brokers and affinity partners, thereby creating employment and contributing to South African business development. For more information on Unity Insurance, please visit www.unity.co.za
PROSPER: Prosper, a product of Unity Insurance, targets South Africa’s emerging middle class. Prosper offers motor and household insurance products as well as a wide range of value-added products including a product called Like New which was designed to cover small scratches and dents that are not usually covered by motor vehicle insurance. For more information on Prosper, please visit www. prosperinsurance.co.za HIPPO.CO.ZA: hippo.co.za is South Africa’s first insurance Internet aggregator site. It is an innovative search utility that allows busy consumers to solicit the most competitive insurance quotes from a range of big-name insurance providers at the click of a mouse. With hippo.co.za, consumers need only enter their details once, taking the burden of filling out reams of online forms off their shoulders. In a couple of minutes, hippo.co.za generates an insurance profile, shops around and delivers the top tailor-made solutions for comparison. For more information on hippo.co.za, please visit www.hippo.co.za 1LIFEDIRECT: 1Lifedirect was launched on 14 March 2006 with the vision of transforming and improving the South African life insurance industry. Because 1Lifedirect is 100 percent direct and has low infrastructure fees and no broker commissions, it can rebate commission usually paid to brokers back to the consumer. 1Lifedirect offers customers the opportunity to deal directly with their insurer – whether over the Internet or via the state-of-the-art call centre – which provides customers with personal control of their life insurance needs. For more information on 1Lifedirect, please visit www.1Lifedirect. co.za IS SERVICES: IS Services is Telesure’s information technology backbone for all the above-mentioned companies. It is responsible for developing new systems and processes to ensure that Telesure’s brands remain at the forefront of technology and innovation. UPSTREAM: Upstream is Telesure’s marketing, advertising, communications, media placement and public relations division. Upstream employs media planners and brand managers who are responsible for the brand positioning and messaging of Telesure’s various brands. Because Upstream is a registered advertising agency, it can aggregate the media spend for all of Telesure’s brands to negotiate better advertising rates with media owners.
2. What do your day-to-day responsibilities include? As a business improvement manager, I am responsible for reviewing and enhancing Telesure’s existing business processes and resources to make the channel more efficient and effective. I am also the project manager for all the new business initiatives in the broker channel and ensure that all the channel projects are successfully implemented. 3. What do you like most about working at Telesure? Telesure is a dynamic organisation that is driven by passion and goals. Telesure invests in its staff by implementing development and training programmes and provides a supportive environment in which staff can grow and succeed. 4. What advice would you give to students if they want to become an insurance broker in the future? Education is vital as it provides the necessary foundations for dealing with complex business challenges, decision making and strategic implementation strategies. Communication and social skills are equally important as brokers deal with many people on a daily basis. Discipline in meeting deadlines and enjoying a challenge are also key aspects that will help you succeed as an insurance broker. 5. What is the most challenging part of your job? Working within a team poses a few challenges. In a team you rely on other business units for the completion of your projects. You therefore need to ensure that everyone meets their individual deadlines. 6. What do you find most rewarding? The most fulfilling part of my job is the success of a business improvement project that shows positive results. I find it very rewarding to share the knowledge and skills I have obtained over the years with colleagues and business partners as well as learning something new every day. 7. What advice would you give students who are busy choosing a career? Research is key to choosing the right career. As a young student, you are not sure which path is best for you. Research will tell you what you are passionate about and what you will enjoy.
DES DESIREE SHIBAMBO MEET
RIC RICARDO COETZEE MEET
1. What is your job title? I am the general manager of business improvement for Auto & General’s broker channel.
1. What is your job title? I am the brand manager for hippo.co.za, South Africa’s first insurance Internet aggregator site. An aggregator site is an innovative search utility that allows busy consumers to solicit the most competitive insurance quotes from a range of big-name insurance providers at the click of a mouse. 2. What do your day-to-day responsibilities include? I am responsible for briefing the creative agencies, working closely with media planners, monitoring leads and sales, updating the sales team on exciting new initiatives, always checking to see what our competitors are up to and keeping track of project deadlines. 3. What do you like most about working at Telesure? I have gained experience that I would not have gained anywhere else. Working with retail brands, sales targets and extremely tight deadlines is good grounding for the future. If you succeed at Telesure, you are guaranteed to be the best in your field as Telesure gives its employees the opportunity to grow and expand their wings. 4. What advice would you give to students if they want to become a brand manager in the future? Your studies are very important as they will provide you with the necessary stepping stone you need for the future. So study and work hard and keep your ear to the ground on what is happening in the industry. Networking is a vital tool as it allows you to form contacts with people and build relationships that could benefit you in the future. So network, network and do some more networking! 5. What is the most challenging part of your job? I find meeting deadlines and targets a challenge. 6. What do you find most rewarding? When I see the final product on TV, hear it on the radio or see it in print I know that all my hard work has really paid off. Meeting my sales targets and completing work before deadline also gives me a great sense of achievement. 7. What advice would you give students who are busy choosing a career? I think that it is very important to take a year off and travel. By doing so, they will find themselves and become an individual. I would also advise students to spend time with people in their place of work, investigate various options and experience different sectors. Most students do not know what career path they want to pursue when they leave school, and many decide on a career before they know what it entails.
TELESURE BURSARY Telesure is awarding a bursary to a student who is interested in studying towards a diploma or degree at any tertiary institution in one of the following disciplines:
- Finance - Marketing - IT To initiate the application process, please submit a one page motivation on why you require this bursary, what discipline you want to study as well as your contact details, to Leonie Blatherwick at graduates@telesure. co.za by 31 January 2009.
DO
HAVE
YOU
AM NEEDAND BIT VIS ION A BURSARY ION ? ?
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singh&sons TELE/710/IN
We found a better way. At Telesure we always look for innovative solutions. Paperless insurance was one of our various innovations in companies as diverse as Auto & General, 1st for Women, Budget and Dial Direct. If you’d like a career in an innovative environment, save a tree and e-mail your CV to graduates@telesure.co.za. For more information call us on (011) 489 4000 or visit www.telesure.co.za.
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8/29/08 10:45:40 AM
ZURICH
THE
ZURICH
way
Whilst your folks were singing and jiving, or whatever dance they did to The Beatles and The Beach Boys, 1965 also saw the establishment of Zurich, a short-term insurance company. Maybe unawares then, your parents’ guardian responsibilities as well as your foresight have now kicked in and Zurich, now the fourth largest in South Africa, is here to look out for you. The insurance sector, more so recently, has been clamped down by the government and Zurich is well aware of the government’s promise to empower and protect the customer. Cover for your lifestyle As an individual considering insurance, have you ever wished a company would care about your lifestyle and hobbies just as much as you do? For example, maybe you enjoy cycling or maybe you are a pro-cyclist that tours nationally and abroad, then Cyclesure is an insurance package for you. Would you forget your head behind if it wasn’t attached to your neck? Then Collectibles is there to protect your valuables. Cross Country is for 4x4 owners and Perfect Delivery for bowlers and so on. To view more, check out the website www.zurich. co.za Tailor-made solutions For commercial and corporate customers, insurance solutions range from speciality lines of business such as aviation, engineering, marine and risk financing, whatever your interest may be. And, like the products above, tailored products such as BnB Sure for bed and breakfast and guesthouse owners; Collectibles for retailers, wholesalers and manufacturing jewellers, diamond or art dealers, are just a few more unique packages in its range of products and services. Industry fraudline Adding more to the promise of protecting its customers, Zurich supports the industry Fraudline. Established by SAIA in November 2002, in conjunction with the Life Offices Association and SAFSIA, the Insurance Fraudline is outsourced to a professionally managed and independent reporting service. The contact centre is equipped with state-of-the-art technology and is managed and operated by a team of dedicated, skilled and experienced professionals. It operates 24 hours a day, 365 days a year and in five languages – English, Zulu, Afrikaans, Xhosa and Sotho, which is very relevant in this day and age. The objective of the Insurance Fraudline is to combat fraud emanating from customers, service providers as well as employees. The benefits to an organisation such as Zurich include an improvement to its bottom line. The facility will flag the weaknesses in processes and place the company in a position to tighten controls. For the customer, the greatest benefit is that as fraudulent activities decrease, the need for insurers to take drastic remedial action will, to some extent, be alleviated. The Fraudline logo is displayed wherever possible by its members to assist SAIA to market this facility via websites, letterheads and as many other applications as possible. Headquartered in Johannesburg and listed on the JSE Limited (our stock exchange), Zurich offers insurance products and services that are the answer to the needs of individuals, commercial and corporate customers. To date Zurich has a network of 11 sales areas and a series of service outlets across the country, including subsidiaries locally, as well as in Botswana and Zimbabwe. Considering a career with Zurich? With its noteworthy innovative ways, learners with the correct requirements and an interest in the insurance field could
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have the opportunity to join the current 1 000 pioneering employees that are on board. A BEE deal with Royal Bafokeng Finance ensures issues of ownership and equity within the industry are taken care of. “As a strong global brand, Zurich endeavours to attract people who will embrace the company DNA, people with dreams of a global career,” says Clifford Zungu, General Manager: People Management. While academic qualifications will vary according to the level and the department, Zurich employs people with a matric qualification up to post-graduate diplomas and degrees. The company offers bursaries to its current employees as well as opportunities for learnerships in general insurance. Take the GAP! One of the exciting programmes which the Zurich Group has put in place as a means to mentor future leaders of the organisation is its Global Associate Programme (GAP). This programme focuses on providing in-depth on-the-job training both locally and overseas. For this purpose, GAP recruits university graduates who want to start a career with Zurich. More than fifty participants, known as associates, are brought together from many countries around the world in which the company operates and are exposed to this 44-week intensive course. Every associate signs up for a core business area from a variety of disciplines such as underwriting, claims, marketing and distribution or IT, wherever their passion may lie. The 44-week programme includes three different assignments in two different countries (yes, two exciting countries) to further develop and deepen your knowledge. Most talented people who have the travel bug biting and dream of an international career have the option to work in a highly professional environment abroad as Zurich has offices serving customers in more than 170 countries. GAP also gives you a great opportunity to meet and interact with people from other cultures. There is no doubt that experience abroad will develop a person’s career and life holistically, this too being Zurich’s strategic priority. A highlight of GAP is the graduation ceremony that takes place at the group’s headquarters in Zurich, Switzerland. Take for instance a young man by the name of Masonwabe Maku. He is a graduate of GAP and has started his career in the actuarial department. A 10-week stay in the claims environment gave Mason the opportunity to gain hands-on experience and knowledge of the claims process. Then followed a change of scenery when he had a six-week stint in broker services, attending high profile meetings and gaining insight as to how the business is run. Mason says, “GAP is a remarkable programme. I would recommend it to anyone. It’s an experience of a lifetime and, if you’re willing to put in the effort, a lot can be gained from both a personal and professional perspective.” Not leaving it there, the group travelled to Zurich, Switzerland, for a month to work on growth initiatives; and for Mason, this was followed by several weeks in Sydney, Australia. Not just another insurance company Zurich is not just another insurance company, it’s a working environment for ambitious, vibey, innovative and passionate people; people who take responsibility for themselves and genuinely care about others. Are you willing to grow and expand your knowledge as the world changes? Do you have a fascination for the insurance industry? If so, you share the same principles as Zurich and its vital quality … being extremely relevant in today’s day and age and responsible enough to insure your fears and dreams!
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actuary
financial planner
A social mathematician who uses mathematical skills to define, analyse and solve complex business and social problems involving insurance and employee benefit programmes. The work of actuaries involves the various possibilities that face human beings: birth, marriage, sickness, accident, loss of property, legal liability, retirement and death, and the financial effects which these have on various insurance and benefit programmes.
An entity that offers direction and advice regarding finances, investments, retirement income and various other aspects in handling the overall finances of the individual.
A licensed, legal representative of the insured client who negotiates with underwriters on behalf of the insured.
Used interchangeably with broker when referring to a firm rather than an individual. Also called brokerage house or brokerage firm.
bursary A sum given to enable a student to pursue his or her studies.
commercial lines Types of insurance written for businesses instead of individuals (for which the term personal lines applies).
corporate Pertaining to corporations. Corporations are the most common form of business organisation, and one which is given many legal rights as an entity separate from its owners.
experiential learning Learning relating to or derived from experience.
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A person who has received a degree or diploma on completing a course of study, as in a university, college or school.
indemnify
brokerage
1. To protect with insurance. 2. The insurance itself. The same as coverage.
A charge or payment for professional services.
graduate
broker
cover
fee
To protect against damage or loss.
independent broker An insurance producer who sells insurance as an independent contractor while representing one or more insurers of the broker’s choosing, and who owns the expiration records of customers served. The independent status is further illustrated by the selling functions performed, which are not directed by the insurer, as would be the case if the agent were an employee. Those functions include contacting prospective insureds, effecting insurance, issuing policies, collecting premiums (in many or most cases), settling some losses of small amounts, and generally representing the insurers in the broker’s community. By contrast, the direct writing insurer directs the selling functions of its brokers, known as exclusive brokers, and owns the expiration records.
insurance The transfer of risk, or chance of loss from one party (the insured) to another party (the insurer), in which the insurer promises, usually in a written contract, to pay the insured an amount of money for an unexpected event.
insurance broker A licensed, legal representative of the insured who negotiates with underwriters on behalf of the insured. The broker receives a commission from the insurer (underwriter).
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insured
policyholder
The person or parties protected by an insurance policy.
The person or party who have a contract and who pays a premium to an insurer for them to provide insurance protection. (Same as insured.)
insurer The insurance company or other organisation such as a syndicate, pool or association providing insurance coverage and services. (See insurance.)
intern
A person who is or has been interned. (See internship.)
internship An official or formal programme to give practical experience for beginners in an occupation or profession.
liable
premium The amount of money an insurance company charges (monthly) to provide insurance coverage.
reinsurance 1. The transaction whereby an insurance company (the reinsurer), for a fee, agrees to indemnify another insurance company against all or part of a loss under a policy. 2. When referred to as ‘a reinsurance’, the term means the relationship between reinsured(s) and reinsurer(s).
risk
Legally responsible.
1. Defined variously as uncertainty of loss or chance of loss. Its existence is the reason people buy insurance. 2. The subject matter of an insurance contract such as the building, vehicle or cargo insured.
liability The state of being liable.
risk management
life insurance The promise to pay at the death of the insured, or at another determined time if earlier, an amount larger than the total value of the premiums paid by the insurer for the promise.
mentorship A formal relationship between a student and a professional adult or organisation to further the student’s knowledge, skills or career.
The identification, evaluation and management of all of the possible dangers and exposures to loss a risk may experience.
underwriter One who accepts or rejects risks for an insurer (originally, by writing the person’s name under the contract of insurance being issued).
http://www.ahtins.com/glossary/index.html
niche A distinct and separate part of a market.
personal lines Types of insurance written for individuals rather than businesses, for which the term commercial lines applies.
policy The formal written contract of insurance.
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website
contact
company
Advertisers
(021) 657 8300
www.cadiz.co.za
Etana
(011) 351 2500
www.etana.co.za
Financial Intermediaries Association
(012) 665 0085
www.fia.org.za
Financial Services Board
(012) 428 8000
www.fsb.co.za
Go Study
(011) 440 8600
www.gostudy.co.za
Hollard
(011) 351 5000
www.hollard.co.za
Insurance Institute of South Africa
0861 00 4472
www.iisa.co.za
Indwe Risk Services
0860 13 13 14
www.indwerisk.co.za
Mutual & Federal
(011) 374 9111
www.mf.co.za
Munich Re
(011) 242 2000
www.munichre.com
Old Mutual
0860 50 60 70
www.oldmutual.co.za
RGA
(021) 486 1700
www.rgare.co.za
South African Insurance Association
(011) 726 5381
www.saia.co.za
Sanlam
(021) 947-9111
www.sanlam.co.za
Santam
(021) 915 7000
www.santam.co.za
Telesure
(011) 489 4000
www.telesure.co.za
Zurich
(011) 370 9111
www.zurich.co.za
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13 February ‘09
Join the “I love I” group on Facebook and we’ll keep you updated with details. With love from Etana Insurance.
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