Southern Cross Assurance Limited (commonly known as ‘SCAL’) is locally owned, licenced general insurer and has been operating
since August 2011.
SCAL has successfully renewed its license (No. R1238794) for the 2022 calendar year by the Insurance Commissioner of Papua New Guinea. This license is the most important requirement that enables insurers to provide insurance services in Papua New Guinea, in accordance with the PNG Insurance Act 1995.
SCAL offers world class level of security for properties and engineering risks with the support
of treaty and FAC reinsurers, who are mostly A++, A+ & A rated with a few ‘B’ rated reinsurers.
Most ‘B’ rated are due to their lower sovereign ratings, but they are reputable players in the
industry because of the strong balance sheets and very accommodative claims paying
To date, SCAL has successfully underwritten over K 320 million in Gross Written Premiums
since commencement of operations back in August 2011 and always maintains a minimum
cash balance of K 25 million. in both operating and IBD accounts.
Although SCAL has a small balance sheet, SCAL is able to adequately underwrite cover for
Aviation, Marine, Mining and other niché business areas, with the support of its panel of
reinsurers (industry & risk specialists). SCAL is in a strong position to offer security that is on
par with no better that what other insurers in the PNG market are offering.
SCAL has successfully processed and settled close to K120 million in Claims to date and has
been able to recover its share of claims from both Treaty and FAC reinsurers.
SCAL was the first local insurer to establish an in-house Risk Survey team, comprised of
qualified and experienced Fire inspectors and a licensed electrician. This team conducts on-
site risk inspections free of charge, and then provides a report with Risk Improvement
Recommendations to clients for loss mitigation purposes.
SCAL strives to offer affordable cover for local SMEs, and currently does provide covers for a
respectable number of local businesses for Fleet motor and Workers’ Compensation, as well
as Family Protection Insurance with a ‘Term Policy’
Since starting operations in August 2011, SCAL has worked immensely to improve its turn-
around time of medical expense claims, from previously 14 days currently 5 working days, and
the claim reimbursements are paid directly to all insured persons’ individual bank accounts.
Also in accordance with the PNG Insurance Act 1995, SCAL has
acquired proportional treaty reinsurance known as Whole
Account Surplus treaty through a Lloyds accredited Reinsurance
Brokers, PWS Labuan . This Surplus treaty covers Fire,
Engineering, Marine and Miscellaneous classes of insurance.
Under this treaty SCAL can write up to 18 million PGK per risk.
For risks exceeding the K18 million PGK Surplus treaty limit, SCAL
has good market to reinsure the risk through Facultative (FAC)
placements. Facultative placements are facilitated through our other reputable brokers.
In addition to the proportional surplus treaty, we also have in
place strong Excess of Loss (XOL) reinsurance for Whole Account
classes for Fire and Engineering, Combined Liability and separate
cover for catastrophic exposure.
SCAL has steadily grown from a team of 10 employees to currently 35+ employees, including an office in Mt Hagen.