Transformation
 
Mutual & Federal is one of South Africa’s leading Broad-Based Black Economic Empowered short-term insurers.  We are proud to have made significant progress in facilitating transformation and sustainability, both within the company and the short-term insurance industry.


The Black Economic Empowerment deal

The foundation was laid on 22 July 2005 when shareholder approval was received for our Black Economic Empowerment deal.  This resulted in the transfer of 11% of our group’s equity to black business partners valued at R663 million.  This aligned Mutual & Federal with the Financial Services Charter, signed by the major participants in the financial sector in South Africa in October 2011.  This charter commits participants to transform their businesses in a number of fundamental ways to redress the economic and social imbalances that exist in our country.


Our Transformation Strategy

Our Transformation Strategy supports the principles in the voluntary Financial Sector Charter (FSC) on Black Economic Empowerment (BEE) and the requirements of the Department of Trade and Industry Codes, and is aligned to both of these.  Moving beyond the rankings, scorecards and ratings, we believe real transformation is necessary to sustain business growth and is in the best interest of South Africans.


Achievements to date
 
  • As of 31 December 2010, Mutual & Federal achieved a level 3 Dti B-BBEE rating.  This means that our clients were able to enjoy a 100% recognition level for their Mutual & Federal spend when reporting on their BEE scorecards.
  • Mutual & Federal was placed number 41 in the Financial Mail Top 100 Empowered Companies 2011 and 13th in the Top 20 Empowered Companies in the Financial Services Sector.
 
Transformation is an ongoing process at Mutual & Federal and we understand and appreciate that transformation not only protects our existing business base, but open new avenues of growth in the future and key to development.