Why is PPS unique?
Unlike a company that is listed on a stock exchange which has external shareholders, PPS belongs solely to its members and operates under the ethos of mutuality. In other words, it is owned by and exists for the benefit of its members rather than outside shareholders. Every PPS policyholder is a shareholder and this means that ALL the profits and investment returns generated by the PPS Group are allocated to its qualifying members.
Mutuality is central to our success. Profits and investment returns are reinvested, with a long-term mind-set, on members' behalf.
These funds accumulate in our members' PPS Profit-Share Accounts, (irrespective of their claims) and vests free of tax at retirement, resignation from PPS or death. This benefit has no rival in Namibia.
THE CIRCLE OF MUTUALITY
PPS is not focused on delivering short-term returns to shareholders. PPS is focused on creating and sustaining long-term growth and wealth, recognising that there is an alignment of the interests of policyholders and shareholders – entirely unlike other insurance companies in Namibia.
The mutual structure allows our stable management team and the Board to adopt a truly long-term approach to running the business, deploying sustainable long-term strategies, which make the most efficient use of capital, and benefit all the generations of professionals we serve.
PPS members in Namibia received N$168.7 million in benefits paid and N$601.1 million of Profit-Share allocations over the last 5 years.
Retiring members, on average, received back ALL the premiums that they paid to PPS over the lifetime of their membership - irrespective of whether they had ever claimed or not. This is a truly unique statistic in the South African and Namibian insurance sector.
PPS Insurance is a registered insurer and is subject to the same governance requirements as a listed insurer. A unique additional layer of governance is the fact that our members and Professional Associations are represented at the PPS Holding Trust Board level - the ultimate control structure of the group.
There is no other insurance company in Namibia where policyholders are specifically represented at Board level.
Detailed particulars of our governance structure are provided in the Corporate Governance Report, click here for more info.
PPS AT THE FOREFRONT OF INNOVATION AND ENGAGEMENT
Only a small percentage of the Namibian population qualifies for PPS membership and a strategic objective of PPS is to be a thought-leader to the niche market that we serve. Therefore meaningful engagement with our members is key in order for us to understand and address pertinent issues impacting the professional market.