African Alliance Insurance Posts N7.109 billion Gross Premium Income In 2022
L-R: Company Secretary, African Alliance Plc, Oluchi Mgbenwelu; Chairman of company, Ogwemoh Sylva; Managing Director/ CEO, Joyce Ojemudia and Executive Director, Olabisi Adekola, during the 53rd and 54th Annual General Meeting, held yesterday in Lagos.
The foremost Life Insurer, African Alliance Insurance Plc, has announced a Gross Premium Income (GPI) of N7.109 billion for the financial year ended December 31, 2022.
Speaking at the Company’s 53rd and 54th Annual General Meeting (AGM) in Lagos, the Chairman of the underwriting firm, Ogwemoh Sylva, disclosed that gross premium income of the life insurer grew from N7.030 billion in 2021 to N7.109 billion in 2022.
According to him, the group’s Gross premium written stood at N6.814billion as at the end of the period ended 31st December, 2022 while that of the company grew to N6,814 billion when compared to N6,158 billion achieved in 2021.
The Chairman said the Net premium income for the company appreciated from N5,588billion in 2021 to N6,889 billion in the year under review, indicating a growth of 23.28%.
On the Group’s assets, he said the group’s total assets grew N53.473 billion at the end of end of 31st December, 2022 when compared to N41. 587 billion recorded in 2021; indicating 28.58% increase.
“Our optimism for the upcoming years is underpinned by a dedication to delivering on our strategic objectives and providing unparalleled customer experiences. We are resolute in our pursuit of excellence and look forward to the opportunities that lie ahead.
A cross section of shareholders at the AGM
“The board and management of your company will continue to sustain their unwavering commitment to sound risk management and the maintenance of robust corporate governance structures.”
Managing Director/ CEO, Joyce Ojemudia, said the company experienced a 10.66% growth in Gross Premium Written (GPW), culminating in a total of N6.81 billion for the fiscal year. Simultaneously, a notable 11.5% reduction in operating expenses was achieved through rigorous cost-cutting initiatives.
“We maintained an unwavering commitment to payment of claims throughout the period under review, underscoring our commitment to our customers. Claims exceeding N94 billion were paid, representing an increase of over N1.26 billion when compared to the preceding year.”
The breakdown of claims paid shows that for Individual Life, the Company paid N1,856,717,606.05 billion, and for Group Life, the sum of N1,429,696,696.24 was disbursed. Claims on Takaful, stood at N714,905 million, Esusu N1,141 602,379.93 and Annuity N4,263,781,412.73.
The MD stated that even in the face of challenging economic situation in the country, the company has been able to put certain businesses in place because of the strategy put in place to hedge the effect of foreign exchange on the company’s operations.
She said the Life Fund is meant to be invested, adding that for African Alliance, the fund was well invested and hedged.
Speaking about year 2024, Mrs Ojemudia said, “Now looking at year 2024, I believe that the market expansion for us is key, so we are going to deepen the market expansion and grow our gross premium income geometrically.
“We will also be looking at the bottom line too because the economy has posed such a challenge on the surrendering value in our books in terms of retail business and with that the claims have increased, so what we need to do is to put a strategy in place to develop products and use technologies to drive business in 2024.
“I am sure in 2024, when we come together for our AGM, profitability and dividends is going to be our watch word,” the MD/CEO assured.
