Kidnapping for ransom and extortion is fast becoming a lucrative business in South Africa, with the current tough economic conditions making people increasingly desperate to find ways to make a quick buck.
Statistics released in a report by the Global Initiative Against Transnational Organised Crime (GI-TOC) show that the number of kidnappings has grown alarmingly over the past year, with an average of 1 143 kidnappings per month reported during the first half of 2022. This is almost double the monthly average of 700 cases reported in 2021.
Latest trends also suggest that wealthy individuals themselves are no longer the sole targets of organised kidnapping syndicates, but that the threat now increasingly extends to family members, friends and associates.
“Previously, companies would mainly insure their executives against kidnapping and extortion when they travelled to high-risk areas. Now the threat extends to entire families who are at risk of being potential kidnapping victims,” says Catia Folgore, underwriting lead at specialist insurer iTOO Special Risks.
This is something that was recently acknowledged by the one of the world’s richest men, Elon Musk, who revealed that he would be upgrading his father’s security system at his home in South Africa, amid increasing fears of kidnapping. The high-profile billionaire also stated that his own safety was potentially under threat, as people posting his live location or travel plans was becoming a security issue. This despite Musk always being surrounded by bodyguards.
Well-organised and prevalent crime
“As we have seen in recent years, kidnapping for ransom has come a very well-organised and very prevalent crime in South Africa. It is a lucrative enterprise that is driven largely by the difficult economic conditions that put financial strain on many people. It is seen as an easy way to make money,” says Folgore.
She adds that tough times also mean that kidnapping for ransom is no longer the just a reality faced by the rich and the famous. These days, syndicates are known to snatch anyone with the means or the support network to raise a ransom amount.
“As a result, we have seen ordinary people being kidnapped for ransoms as small as R500 000 or less, as long as they have family or friends who can raise the money for their release. The kidnapping syndicates are definitely expanding their market and people should be aware of this,” Folgore notes. The GI-TOC report confirms this trend, showing that many of the locations where kidnappings took place in South Africa last year were not in the wealthy suburbs of Johannesburg and Pretoria, but rather in low-income areas.
The research suggests that many cases involve average earners with no visible source of disposable money, forcing these victims to scrape together a smaller ransom amount. Often, these crimes are not even reported.
Lower-income targets
“Syndicates have come to realise that lower-income earners make for easy targets and do not draw media attention. On the other hand, higher earners also have better means at their disposal to increase their personal safety. It is not surprising then that kidnapping is becoming more prevalent in less affluent communities,” says Folgore.
She explains that kidnapping syndicates are often well organised and spend time studying and tracking their victims, knowing what their family is able to pay. It is therefore important that people remain vigilant and vary their routines and travel routes so as not to give syndicates a chance to plan and execute a well-rehearsed kidnapping.
“Since kidnapping for ransom is no longer a crime that is targeted at high-profile individuals, it is increasingly important that people should consider insuring themselves against being abducted. Wealthy individuals should be aware that the threat extends not only to them, but also to their families,” she adds.
“Kidnap and ransom coverage will provide peace of mind for individuals and their families who feel they are at risk of being abducted for ransom. When an actual kidnapping incident occurs, kidnap and ransom cover often enable the involvement of reputable specialist consultants who are qualified to deal with such situations.”
Typically, a kidnap and ransom policy will provide unlimited coverage for the fees and expenses of response consultants regardless of the duration of the crisis, the hostage negotiation fees, lost wages and – in iTOO’s case – reimburse the ransom amount.
“Considering the alarming trends that we have seen; I would strongly advise people who believe they could be potential targets of kidnapping for ransom to not take chances. Kidnap and ransom cover will not only help victims and their families with the financial demands of the abduction, but also ensure that experts are provided to resolve the situation safely,” Folgore concludes