Tarik Lefriyekh, a graduate of the Higher School of Commerce in Marrakech (Sup de Co) in 1991, and holding a certification in Leadership from HEC Paris, is an accomplished leader with over 20 years of experience in the insurance sector. In 2004, he joined AXA Assistance Morocco as Director of Accounting, Legal, and Tax, a position he held until 2013. His ability to generate tangible results earned him a promotion to Director of Operations, followed by the board’s trust in appointing him as Deputy General Manager in 2014. In 2017, Tarik Lefriyekh joined RAWSUR Assurances as Director of Operations. In this key role, he launched the company’s activities in the Democratic Republic of Congo in November 2021, and the board of directors appointed him as General Manager.
How would you characterize the Congolese insurance sector?
The insurance sector in the DRC has undergone significant transformations since its liberalization in 2019, ending a 50-year monopoly. Rawsur was among the first companies to obtain licenses that year, allowing us to operate on life and non-life insurance. The market holds immense potential. When we launched, the total premium volume was approximately USD 60 million; by 2023, this figure had surged to over USD 320 million, showcasing a promising growth trajectory. However, the Congolese insurance market has an estimated potential of USD 1 billion in premiums, indicating that we are currently utilizing only about 30% of its actual capacity. With seven non-life insurance companies and three Life insurers, the sector is primarily driven by the mining industry. Nevertheless, significant challenges persist, particularly a lack of confidence in the insurance sector and remnants of the old monopoly. Rawsur is committed to demonstrating our technical and financial capabilities to policyholders, especially businesses, to reinforce their trust in local insurance solutions. Rawsur Assurances plays a pivotal role in the overall growth of the market. Since our inception, we have paid out over USD 30 million in claims, underscoring our commitment to honoring our obligations and gradually building trust.
What are your competitive advantages given the challenges in the market?
The insurance market in the DRC is still in its infancy, progressing steadily year on year. However, it is important to emphasize that it is a complex and highly competitive environment. Despite these constraints, Rawsur has maintained its leadership position due to a combination of strategic vision, high technical qualifications of our teams, financial solidity, and support from leading reinsurance partners. We have established synergies with our sister company, Rawbank, aligning with successful global models. Our partnerships with top reinsurers lend credibility to our operations. Additionally, we pride ourselves on our technical expertise; our management team has over 120 years of combined experience in insurance and reinsurance, enabling us to effectively address the complex needs of our clients. This solid foundation helps us navigate the complexities of the marketplace, with Rawsur offering the widest and most comprehensive range of technical products available.
What trends are you observing among your clients?
While mining provides substantial premium volumes, we also engage with clients across diverse sectors, such as breweries and telecommunications. However, our client base is somewhat limited due to the high volume of business from major players. We place significant emphasis on the SME and retail segments, where we have observed a marked increase in activity over the past two years.
How has being a new sector affected the insurance business?
One of the main challenges is encouraging companies to comply with local insurance regulations with the support of our national regulator. Convincing clients of the importance of proper insurance remains an ongoing struggle. Purchasing power is another significant issue, as a large portion of the population lives below the poverty line, making insurance a low priority despite its critical role in economic development.
In a country with the DRC’s geography, coverage is a challenge. How does Rawsur address this?
We operate in several locations, including Kinshasa, Matadi, Lubumbashi, Kolwezi, Goma, and Bukavu, with sales points at various borders, such as Angola and Zambia. We have adopted a strategy of partnering with banks to reach retail customers across the country, leveraging their extensive branch networks for insurance distribution. Recently, we launched a fully digital app, MY RAWSUR, that allows clients to purchase insurance, make payments, and file claims from anywhere. This is crucial for reaching customers in remote areas and sets RAWSUR apart in the DRC, putting us ahead of other markets. This application has proven effective, utilizing local talent to create a user-friendly platform.
What does the future hold for the insurance market in the DRC?
I believe there is enormous growth potential. Projections indicate that the population could exceed 215 million by 2050, likely increasing the demand for insurance. An emerging middle class will create new needs for various types of insurance, from health to life insurance. We are proactively developing products tailored for this demographic, such as affordable funeral insurance. For as little as USD 10 a year, families can secure a USD 1,000 payout, which can significantly impact their lives. Capturing even a small percentage of the market would have substantial financial implications. As awareness of the importance of insurance grows, we expect the sector to evolve rapidly. Our strategic initiatives position us to lead this transformation, ultimately contributing to the broader economic development of the DRC. In summary, the Congolese insurance sector is at a pivotal point, characterized by substantial growth potential despite significant challenges. As we work to build trust and educate the market, we remain committed to harnessing the opportunities presented by this evolving landscape. The future looks promising as we continue to innovate and adapt to meet the needs of our clients in this dynamic environment.
