Vision

INSURANCE

MISSION STATEMENT

To provide the Unicity Council with cost effective and comprehensive insurance cover for  it’s risk exposures at competitive premiums.

KEY PERFORMANCE AREAS

 ●   Competitive Premiums - compared to private insurance

      companies.
 ●   Premium increases within macro control limits.

STRATEGIC OBJECTIVES

 ●   Maintain competitive premiums and cover r5isks available in

      short term insurance needs.
 ●   Ensure Reinsurance cover for fund is appropriate.

PROGRAM TO ACHIEVE OBJECTIVES

 ●   Ongoing review of revised Council Insurance Policy.
 ●   Ensure understanding of Council Insurance Policy by

      Reinsurers.

OUTSOURCED SERVICES

 ●   Brokers are granted one 3-year cycle to advise on

     development in the insurance industry and to place the

     Reinsurance cover.
 ●  Loss adjusters are appointed annually to provide an arms

     length assessment of claims made against Council.

INVESTMENT

MISSION STATEMENT

To provide the Unicity Council with Investment and borrowing capacity in order to invest surplus funds at a maximum return with minimum risk and to secure funding from lending institutions at favourable terms and conditionsto finance the service delivery program.

FUNCTIONS

The investment section is responsible for the investment of funds and borrowing needs of the eThekwini Municipality.

KEY PERFORMANCE AREAS

 ●   Access to finance facilities.
 ●   Maintenance of Credit rating.
 ●   Preferential borrowing rates.
 ●   Maximise investment returns at minimum rate.

STRATEGIC OBJECTIVES

 ●   Sale of Property Leaseback portfolio.
 ●   Tender re: Banking requirements.

PROGRAM TO ACHIEVE OBJECTIVES

 ●   Process responses to advertisement for sale of Property

      Leasehold.
 ● Obtain approval of Council for sale.
 ● Process in place to award tender to effect on 01/07/04

OUTSOURCED SERVICES

 ● Three Investment Managers have been appointed to manage a portion of investable funds.

INVESTMENTS AND BORROWING

The Finance Department is responsible for the investment of funds and borrowing needs of the eThekwini Municipality.

Funds are borrowed annually from the various financial institutions, to finance the Municipality’s service delivery program. Ethekwini Municipality having sound financial management and an investment grade credit rating, is able to comfortably source its financing requirements at favourable terms and conditions.

Funds surplus to daily operating needs are invested typically in the short term money market, for periods matching cash flow requirements. The relevant financial instruments utilised and the exposure limits for each Institution where investments are made are determined in terms on an Investment framework policy.
Quotes are obtained , usually on a daily basis from banks, for interest rates on call and noticedeposits and the highest quote is accepted, subject to exposure limits.