Image: supplied “A powerful reflection of the lasting impact of our long-term commitment to our members’ financial success is the R2.05 billion in Profit-Share paid into the pockets of members who retired and exited the PPS life-risk cover phase, enabling meaningful wealth creation. This future-focused extra benefit sets PPS apart from competitors,” says Izak Smit, PPS Group CEO.
The R6.88 billion Profit-Share allocation comprises R1.32 billion from operating profit and an all-time high of R5.56 billion from investment returns, reflecting disciplined risk management and strong portfolio performance.
Cumulatively, over ten years, PPS has allocated R35.29 billion to members’ PPS Profit-Share Accounts™*. There is no better validation of the strength of the mutual model, which ensures that value is added and returned directly to members.
“This is the second year in a row that we achieved an outstanding record Profit-Share allocation. For some members, their 2025 Profit-Share allocation will exceed their total premiums paid – a very clear demonstration of our mutuality in action and our commitment to sharing in the success we create together,” adds Smit.
PPS provides tailored financial solutions exclusively for graduate professionals in South Africa, Namibia, Australia and New Zealand. With no external shareholders, everything it does is with its members in mind. Guided by the ethos of mutuality, PPS strives to create long-term financial security and holistic wellness for its members. This is evident in the allocation of operational and investment returns to the PPS Profit-Share Accounts™ of members with qualifying life-risk products.
Performance across South African business units remained strong
Financial advice is at the core of solid financial planning. This is supported by PPS’s intermediated model where independent financial advisers play a crucial role in the organisation’s distribution strategy, contributing approximately three-quarters of new business, with the balance originating from its internal distribution channels.
PPS Life Solutions gross earned premium revenue totalled R6.89 billion, up 6.9% from R6.44 billion last year. The lapse rate remained low at just under 4.6%. New life risk annual premium income of R273.2 million, grew by 6.1% compared to 2024.
In 2025, total benefits paid through valid claims of R6.67 billion were returned to members, a 16.2% increase compared to R5.73 billion paid in 2024 largely due to an increase in death claims. This results in around 102 claims or R26.7 million being paid out every single working day of the year. Permanent incapacity benefit payments saw a 6.7% increase, reaching R1 billion. Life cover benefits paid increased by 35.8% to R1.5 billion. Additionally, PPS provided vital support to its members by processing 6.3% more sickness claims, totalling R983.6 million, with R792.8 million in critical illness benefits and R102.3 million in lump-sum disability benefits.
“Behind these numbers are real people, families and lives. At our core, PPS exists to pay valid claims and to provide meaningful financial support when our members need it most. These efforts are not just about performance today – they are about building confidence and security for generations to come,” says Smit.
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PPS Investments, for the third consecutive year, delivered exceptional results with strong inflows from favourable investment markets. The business introduced hyper-personalised portfolios, including tailored retirement income solutions and Shari’ah-compliant funds, while embedding environmental, social and governance (ESG) principles into investment processes. Its Impact investments in education and infrastructure reinforced PPS’s commitment to creating mutual value beyond financial returns.
Total assets under management increased 16.2% to R112.1 billion compared to R96.52 billion in 2024. Gross inflows were R11.5 billion (2024: R9.67 billion). This is testament to the business’s robustness and diligence embedded in its investment processes.
The combined PPS Short-Term Insurance and PPS Health Professions Indemnity business recorded gross written premiums of R517.3 million, up 22.7% compared to R421.5 million in 2024. The business recorded a profit before tax amounting to R85.3 million, up from R31.3 million in 2024. This comprises PPS Short-Term Insurance’s Personal and Commercial Lines business profit of R46.2 million and PPS Health Professions Indemnity profit of R39 million.
PPS Short-Term Insurance, which includes personal and business insurance product lines, had its strongest performance to date, achieving scale and profitability through disciplined underwriting and operational efficiency. Despite a competitive short-term insurance market, PPS Short-Term Insurance achieved an impressive 16% year-on-year growth in new business premiums and a 22.1% year-on-year increase in gross written premiums, in a saturated and highly competitive market. Motor and household claims paid increased 1.4% to R151.2 million in 2025 from R149 million in 2024.
Now in its seventh year, PPS Health Professions Indemnity reinforced PPS’s reputation for reliability in protecting healthcare professionals by delivering a standout performance in gross written premiums of R181.1 million up 24% from R146.1 million in 2024, with an expanded insured base.
PPS Healthcare Administrators enjoyed good performance in 2025, with membership in South Africa up 21.7% at 152 633 members under our administration. Part of this growth was supported by the Witbank Coalfields Medical Aid Scheme for mental well-being services and the Chartered Accountants Medical Aid Fund for claim verification services. The business advanced managed care and member health outcomes through focused digital innovation. Robotic process automation and omnichannel platforms improved workflow efficiency, supported by AI-enabled tools that strengthened administration, enhanced risk management and helped reduce hospital readmissions. Digital facial scanning technology was introduced for Profmed, setting a new standard in preventative healthcare management. These advancements supported scheme members through efficiencies and contributed to better healthcare outcomes. Additionally, Profmed members with qualifying PPS products benefited further through the PPS Profit-Share Cross-Holdings Booster.
glu, the new business launched in January 2025, is progressing with a clear long-term outlook to broaden access to mutuality-driven benefits in South Africa’s broader market. Operational stability has improved through initiatives and enhancements to strengthen adoption. In the long term, focus remains on sustainability, responsible growth and ensuring members share in the value created by the business they belong to.
PPS Insurance Namibia outperformed most competitors, despite operating in a low-growth economy. Gross insurance premium revenue increased year-on-year by 9.4% from N$255.8 million to N$279.8 million. Strong Investment market returns benefited members’ PPS Profit-Share Accounts™, increasing from N$263.9 million in 2024 to N$367.3 million in 2025. Operating profit was N$59.5 million from N$62.3 million in 2024 and investment returns were up 52.7% from N$201.6 million in 2024 to N$307.8 million in 2025. Benefits and valid claims returned to PPS Insurance Namibia members increased 22% to N$264.1 million compared to N$216.6 million in 2024.
PPS Mutual Australia, an affiliate company established in Australia ten years ago, maintained strong business flows and has attained a favourable annual in-force premium of more than A$120 million (R1.40 billion). It is now firmly established among the top ten largest life insurance businesses in terms of new inflows in Australia. This approach has also supported an increase in graduate professional membership to 17 000 compared to 13 000 last year. PPS Mutual Australia contributed to diversifying PPS’s revenue streams, enriching value and strengthening our overall financial resilience by contributing to the pool that supports allocations to the PPS Profit-Share Share Accounts™ of South African members.
PPS Mutual New Zealand launched in August 2025, marking the next step in PPS’s international expansion. Early engagement has been positive, with 110 accredited advisers actively quoting and writing business. This growth reflects strong alignment between PPS’s member-centered value proposition and the New Zealand market, which will further diversify revenue streams for South African members.
Looking ahead
“We extend our sincere thanks to our members and advisers – your trust in PPS is the reason we exist and the foundation of everything we do. It compels us to innovate with integrity and to create value that truly matters. Our purpose is clear: to support our members in living the lives they want to live in a world worth living in.
“As we celebrate our 85th anniversary in 2026, we remain steadfast in delivering the long-term value creation our members expect from us as an organisation rooted in mutuality. This milestone signals PPS’s commitment to honouring our members, while reimagining how that value is delivered in a world where member expectations, market dynamics and societal priorities are evolving rapidly,” concludes Smit. DM
The PPS Profit-Share Account™ reflects the accumulated value of annual profit allocations made to members who hold qualifying products. These amounts are invested on the member’s behalf and vest at retirement, death or in other limited circumstances permitted under the qualifying insurance policy terms and conditions. Allocations may be positive or negative depending on operating experience and investment performance, and past allocations are not necessarily indicative of future outcomes.
The PPS Profit-Share Cross-Holdings Booster is tiered according to the number of products a member holds across PPS subsidiaries and affiliates provided that they hold a qualifying PPS life-risk product. The Booster allocations may differ each year and allocations can take place annually which will be dependent on the profitability of PPS and its subsidiary/affiliates' products. PPS reserves the right to discontinue this offering at its own discretion.
PPS is a licensed insurer conducting life insurance business, a licensed controlling company and an authorised FSP.