Sanlam Profit Falls 22% on Higher Claims, Weakness in India

Sanlam Ltd. reported a 22% drop in profit, driven by higher weather-related claims in South Africa and by currency effects that reduced the translated value of earnings from businesses outside its home market. For the six months ended in the period covered by the company’s report, adjusted headline earnings fell to 7.7 billion rand, equivalent to $483 million. The insurer pointed to the combination of escalating claim costs and foreign exchange headwinds as key factors behind the decline. The update highlights how underwriting experience in South Africa and rand strength can both quickly flow through to results for multinational insurers.