Industry giant Old Mutual reports receiving a large number of insurance claims following the devastating KZN floods

Durban - Old Mutual Insure has received over 2000 insurance claims from clients following the devastation of the KwaZulu-Natal floods.

Old Mutual said in a statement that Old Mutual Insure (OMI) is committed to helping clients deal with the catastrophe of the KwaZulu-Natal floods.

“Old Mutual Insure (OMI) remains committed to supporting customers affected by the devastating floods experienced in KwaZulu-Natal in April and to helping them to speedily restore their affected assets. To date we have received over 2 200 claims related to this catastrophe.”

Old Mutual added that there are several reinsurance agreements in place which are expected to reduce its portion of the gross claims with an estimated net impact on the OMI financials of between R100 million to R150m.

“OMI remains well capitalised, and all valid claims received on our policies will be settled. OMI will continue to play our part to serve our customers during this difficult time. We are currently reviewing our claims pattern for the recent second wave of floods in KwaZulu-Natal in May and we will provide further updates in due course.”

Old Mutual said the global economy remains under significant pressure with rising inflation and interest rates, and continued risk and uncertainty around the Russia and Ukraine conflict dampening consumer sentiment.

“While the full impact is yet to play out, we expect pressure on our customers because of higher inflation and interest rates which have continued to increase in the second quarter of 2022. We continue to monitor the impact of these factors and the declining market levels on our business.”