An analysis of the contribution of investments to the performance
Of Property and Casualty Insurance companies in Zimbabwe after the adoption of multi-currency
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Typically, a Property and Casualty Insurance company, also known to as Short Term Insurance Company or non life Insurance Company covers businesses and individuals against losses caused by unfortunate events. The businesses and individuals pass on the risks to the insurers in return of a consideration known in insurance as a premium. Ideally, Insurance companies should be able to pay claims for those clients who suffer losses, meet administrative expenses and remain with a surplus (profit). The difference in times between receiving the premium and the payment of losses gives Property and Casua...
Typically, a Property and Casualty Insurance company, also known to as Short Term Insurance Company or non life Insurance Company covers businesses and individuals against losses caused by unfortunate events. The businesses and individuals pass on the risks to the insurers in return of a consideration known in insurance as a premium. Ideally, Insurance companies should be able to pay claims for those clients who suffer losses, meet administrative expenses and remain with a surplus (profit). The difference in times between receiving the premium and the payment of losses gives Property and Casualty (P and C) companies a room for investing the premiums to earn a return on investment, which effectively add to the profitability of the company. Therefore, the performance of the company in terms of profitability is affected by the performance of its investment besides the performance in terms of operations.
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