CBZ sets up insurance broking unit

CBZ sets up insurance broking unit

HARARE, January 26 (The Source) – CBZ Holdings on Thursday launched a risk advisory service which it says will bolster its insurance business and diversify the group’s earnings.

CBZ, which operates the country’s biggest retail bank, a building society, and an asset management company already has two other insurance subsidiaries; CBZ Insurance and CBZ life.

CBZ Holdings chief executive Never Nyemudzo on Thursday said the new subsidiary would strengthen the group’s insurance portfolio.

“We believe that the incorporation of CBZ Risk Advisory marks continuation of the group’s successful portfolio earnings and diversification strategy,” he said.

“In fact the non-banking subsidiaries’ contribution to the bottom line is already at 18 percent against a long-term target of 20 percent, we believe that this new unit will significantly aid the group’s drive to diversify its earnings mix.”

The new company is capitalised to the tune of $500,000, fivefold the regulatory minimum of $100,000.

CBZ Holdings reported an after-tax profit to $35,2 million in the full year to December 2015.