FANews
FANews
RELATED CATEGORIES
Category Fraud/Crime
SUB CATEGORIES General | 

Bryte Crime Tracker: April – June 2017

26 October 2017 Bryte Insurance

• Slowdown noted in overall crimes against business • Theft against businesses decreased • Incidents of contact crimes shrink, following a sharp increase in Q4 2016

The Bryte Crime Tracker reflects a 7.7% year-on-year contraction in Q2 2017 when compared to a 2.7% year-on-year contraction recorded in Q2 2016. The decrease in crimes against business is a positive indicator that preventative measures are being increasingly adopted by businesses.

Bryte Crime Tracker Graph 1: Change in crime-related claims trends

“At Bryte, we partner with customers throughout the lifecycle of their policies rather than just
supporting them at claim stage. Our focus is as concentrated on proactive risk mitigation as it is on ensuring our customers are adequately covered and that claims are effectively paid. Our proactive approach is aimed at helping customers comprehensively understand their exposures and safeguard their businesses against threats – known and unknown,” said Cloud Saungweme, Chief Claims Officer at Bryte Insurance.

Although the data reflects an improvement in the overall exposure of businesses to crime, increasingly, evidence suggests that the same crime syndicates target both businesses and homes. The modus operandi involves tracking employee movements and bypassing security features such as alarm systems, cameras and even security guards to gain access to property.

Bryte Crime Tracker Graph 2: Contact crime, malicious damage and theft: April – June 2017

 Of the three defined categories, Contact Crime, Malicious Damage and Theft, theft-related claims continue to dominate. The Theft category decelerated to a 7.1% annual contraction in Q2 2017 from 1.3% in Q2 2016 reflecting a decrease in the incidents of theft.

The Bryte Crime Tracker for Contact Crime (robberies and hijackings) contracted to 1.7% year on year in Q2 2017 from an 18.1% contraction in Q2 2016. While this marks an increase from the same period last year, a continued decline is however reflected in the incidents of contact crimes over the past two quarters.

“Looking at motor vehicles, specifically, what has been interesting to note is a marked increase in requests for insurance. This trend shows progress especially when one considers that the recent Victims of Crime Survey 2016/17 report revealed that motor vehicle hijackings increased by 93% in a 12-month period. The SAPS crime stats report adds to this stating that on average 46 cars were hijacked per day in the 2016/17 period analysed,” added Saungweme.

The rate of contraction in the Malicious Damage (to fixed and movable assets) category increased to 20.7% in Q2 2017 from 5.7% in Q2 2016. Interestingly, however, the Victims of Crime Survey 2016/17 report noted a 15% increase in the number of incidents relating to deliberate damage to homes. For businesses, damage owing to protest action remains a concern; data from SASRIA revealed that claims from three protest action-related events, alone, led to damages in excess of R3 million.

“The cost of crime in South Africa is very difficult to determine, however, there is no doubt the losses are in excess of hundreds of billions of Rands. The wide-reaching impact is felt across consumers, businesses and the economy, impacting the country’s global competitiveness. Sharing crime-related data nationally is critical as this social ill cannot be fought by anyindividual company. Businesses need to rally together and work with communities and government to successfully reduce the instances of crime in order to help South Africa realise its immense potential,” concludes Saungweme.

Quick Polls

QUESTION

The shocking crime and motor vehicle accident statistics shared during a recent SHA presentation suggests that group personal accident and personal accident cover are a no-brainer. Do you agree?

ANSWER

Yes
No
Not sure
fanews magazine
FAnews April 2024 Get the latest issue of FAnews

This month's headlines

FAIS Ombud lashes broker for multiple compliance blunders
TCF… a regulatory misfit initiative?
The impact of NHI on medical malpractice insurance
Fixed versus variable: can you have your cake and eat it too?
The future world of work
Subscribe now