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EthiQal reassures members of stability with Titan after Constantia wind-up

EthiQal, the second largest medical indemnity player in South Africa after the London-based Medical Protection Society (MPS), has concluded its move out of parent company Constantia Insurance Company Limited (CICL), which was wound up earlier this month, into a new entity backed by the Titan group of companies within a cell captive structure of Yard Insurance.

This is according to a statement by the South African Society of Obstetricians and Gynaecologists (Sasog) to its members. Sasog said the investor is part of the Titan group of companies, with Dr Christo Wiese at the helm, and has been a central part of the country’s business ecosystem for more than four decades, having invested in and grown some of South Africa’s premier businesses, as previously reported in MedicalBrief.

Titan’s assets exceed R30bn and it maintain significant liquidity and available facilities, enabling rapid deployment of capital when opportunities present themselves. The Titan Group’s purpose is to partner with management teams to build businesses of scale and create long-term value for customers and all stakeholders.

The cell captive (insurance entity) will be initially capitalised with significant cash, more than sufficient to cover the expected solvency capital requirements (SCR). The agreement is to maintain an SCR near 1.2x the regulatory requirement. Lloyds of London remains as reinsurer, providing additional peace of mind.

EthiQal is also offering additional cover, at no charge, to help doctors who have been affected by the Constantia liquidation.

New policies are being issued this week, effective from 1 October.

The company has assured members that it has worked hard to get as much cover for doctors as possible, and is confident that the R100m should be sufficient to cover this.

See more from MedicalBrief archives:

 

Wiese rescues SA’s anxious high-risk doctors after insurance dilemma

 

Reassurance during uncertain times for doctors

 

UPDATED: Doctors’ anxiety as curator issues cut-off order to indemnifier

 

 

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