Discovery Limited · JSE:DSY
Discovery — RMB MS Insurance Conference 2026
14 slides from Discovery's conference presentation, Jun 3, 2026
Slide 1: Discovery Life RMB MS Insurance Conference
Discovery Life RMB MS Insurance Conference 03 June 2026
Slide 2: Agenda: Maturity phases of Discovery Life over time
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 2
Slide 3: Discovery Life Limited through different maturity phases
Discovery Life Limited through different maturity phases Cash flow history Discovery Life Limited cash flow (R'm) (pre dividends and financing) Financial reinsurance and other financing arrangements 5,000 80% 1 New and 2 Book reaching 3 Maturing cash • Reinsurance financing / internal matching has e
Slide 4: Agenda: Interest rate considerations
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 4
Slide 5: Interest rate movements' impact on key metrics (Dec-25 illustrative impacts)
Interest rate movements’ impact on key metrics (Dec-25 illustrative impacts) Material interest rate Positive impacts on value Earnings impacts movements to December 2025 metrics (December 2025) Nominal spot rate curve 16% FY2026 VNB margin: +2.9% on Discovery Life 12% 1 (incl. CEB) margin • Gain in
Slide 6: Agenda: Drivers of capital requirements
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 6
Slide 7: Discovery Life Limited solvency capital drivers
Discovery Life limited solvency capital drivers Life underwriting risks Market risks Lapses • Largest life underwriting risk • Primarily made up of lapse up and mass lapse risk due to the significant negative rand reserve at risk in the event of a 1-in- 200 stress event Interest rate risk • Largest
Slide 8: Discovery Life Limited liquidity capital requirement drivers
Discovery Life limited liquidity capital requirement drivers Gross internal liquidity target (ILT) capital requirement Market risks Net internal Liquidity capital requirements as published liquidity target • Amount of capital required to meet cashflows over a one-year time horizon at a 99.5% confide
Slide 9: Agenda: ALM considerations
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 9
Slide 10: Asset Liability Matching considerations
Asset Liability Matching considerations Matching strategy – liabilities materially matched Long-tail end interest risk • Interest rate risk significantly more difficult to match beyond the point where Other Matched by nature, term, currency there are available assets Relatively small portion (in pay
Slide 11: Agenda: Considerations for distributions to group
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 11
Slide 12: Key considerations for distributions from Discovery Life to Group
Key considerations for distributions from Discovery Life to Group Liquidity Solvency capital Solvency Capital Requirement Available liquid assets as % of Cover Ratio internal liquidity target capital 250% 250% 200% 200% Liquid assets in excess of liquidity target 150% 150% • Liquidity is the first k
Slide 13: Agenda: Optimisation opportunities
Maturity phases of Discovery Agenda 01 Life over time 02 Interest rate considerations Drivers of capital 03 requirements 04 ALM considerations 05 Considerations for distributions to group 06 Optimisation opportunities 13
Slide 14: Discovery Life RMB MS Insurance Conference
Discovery Life RMB MS Insurance Conference 03 June 2026