For a country, the insurance penetration rate corresponds to the share of insurance premiums in the Gross Domestic Product (GDP).
It reflects not only the weight of the sector in the national economy but also the degree of risk coverage for individuals and businesses.
In Africa, the most industrialized country on the continent recorded an insurance penetration rate of 11.54% in 2024.
This is one of the highest levels in the world, according to the annual report of the African Insurance Organization (AIO), an institution specialized in the analysis and supervision of the insurance sector on the continent.
The AIO report also provides a ranking of African countries with the highest insurance penetration rates for 2024.
This ranking is based on several cited indicators, including: the total volume of premiums written, and the relative weight of life and non-life insurance.
Tunisia: A still low penetration
In 2024, Tunisia ranks 6th in Africa in terms of insurance penetration rate, which reaches 2.93%. This level remains relatively low compared to the average of the most advanced countries on the continent and in the world, suggesting significant insurance gaps, particularly in the health, housing, and agriculture sectors.
In absolute value, the Tunisian insurance market generated net written premiums amounting to 8.27 billion Tunisian dinars (approximately 7.24 billion dollars) in 2024, an increase of 10.6% compared to the previous year.
This growth is mainly driven by life insurance, whose premiums grew by 20.1%, now representing 40.9% of the total premiums, compared to 27.7% in 2023.
Note that the nominal Gross Domestic Product (GDP) of Tunisia in 2024 is estimated at 83.1 billion dollars, according to the report.
South Africa: The continent’s most developed insurance market
On the continent, South Africa stands out with an insurance penetration rate of 11.54%, the highest in Africa.
This performance is explained by a developed financial market, a relatively affluent population, and a mature insurance sector, supported by robust regulations and a strong culture of social and financial protection.
It is followed by Namibia (7.41%) and Mauritius (4.97%). Then, Morocco ranks 4th on the continent with a rate of 4.10%, and first in North Africa. This performance is explained by the growth of the banking and insurance sector, the diversification of insurance products, and the progressive integration of compulsory insurance in sectors such as health and housing.
Botswana completes the top five with a rate of 2.46%. After Tunisia, come Kenya (2.35%), Ethiopia (2.35%), Zambia (2.37%), and Zimbabwe (0.34%), at the bottom with Nigeria (0.2%).
It is observed that sub-Saharan African countries with more developed financial markets and an expanded middle class generally display the highest penetration rates.
In contrast, lower-income or unstable economies, often faced with difficulties in accessing financial services and an underdeveloped insurance sector, present significantly lower rates.
