AIICO Insurance announces N25.4bn GWP in Half Year 2019
L-R: Head, Strategic Marketing & Communications, AIICO Insurance Plc, Segun Olalandu; Divisional Head, Shared Services, Olusanjo Shodimu; Executive Director/Chief Operating Officer, Babatunde Fajemirokun; Head, Corporate & Institutional Business, Adewale Kadri and Chief Financial Officer, Oladeji Oluwatola at the event.
AIICO Insurance Plc has today in Lagos announced its unaudited results for half year 2019.
Speaking to journalists on the company’s performance during the period, the Executive Director/Chief Operating Officer, AIICO Insurance Plc, Babatunde Fajemirokun, said AIICO Group reported Gross Written Premium (GWP) of ₦25.4 billion, in half year 2019, as against N19.2 billion achieved during the same period in 2018 indicating an increase of 32 per cent.
Fajemirokun said the growth was driven by continued solid performance across the major lines of business of the group: life and corporate & institutional businesses.
According to him, “This performance is a demonstration of a focused implementation of our renewed strategy, notwithstanding the challenging operating environment,” he said.
He stated that in line with the renewed strategic aspirations for market leadership with focus on profitable growth, the company recorded a 42 per cent increase in Profit before tax (PBT) of N3.11 billion, compared to N2.19 billion in H1 2018, adding that Profit after tax (PAT) also grew by 52 per cent to N2.94 billion, compared to N1.93 billion attained in H1 2018.
“customer-centric product innovations, sustained investments and automation of our agency salesforce continues to yield dynamic results as we recorded strong growth in our retail life business, which grew by 47 per cent to N15.5bn (H1 2018: N10.6bn); and an increase of 14 per cent in our corporate and institutional business to N9.5bn (H1 2018: N8.2bn).
“Within the period under review, the Group’s balance sheet improved with total assets growing by 24 per cent to N135 billion compared to N109 billion in Dec 2018. Also, noteworthy, is the growth in shareholders’ funds, which rose by 14 per cent to N16.6 billion (Dec 2018: N14.5 billion).” Fajemirokun said.
On the new capital requirements for the insurance industry, he said “AIICO has put adequate strategies in place that will ensure we not only meet the new capital requirement for a composite underwriter but also surpass same with sufficient solvency margins.
“Going into the second half of the year, we remain committed to the execution of our strategic objectives whilst staying focused on our primary purpose of protecting our customers and delivering superior returns to shareholders. As we look to the future, we remain guided by our mandate to provide shared protection to every family and business, so they can live life with confidence amidst uncertainty.”
Speaking on the company’s two new products, Head of Technical/Retail Business Division of the underwriting firm, Titilola Okunlola, said the company recently unveiled a product – AIICO’s Moneywise Term Assurance, which, according to her, is a life cover that guarantees 100 per cent cash back to policyholders when policy elapses without claims.
She said the policy “provides our customers with a win-win situation: financial protection for their loved ones within the duration of the policy, if life happens or full refund of premiums should the policyholder survive the period.”
She identified the features and benefits of the product to include: guaranteed payment of the sum assured; Flexible policy tenure between 5 – 20 years; Affordable premium; Cover amount is determined by policyholder; Convenient premium payment options; monthly, quarterly, semi-annual, annual or single premium payment and Premium payments certificates can be used for tax relief, among others.
In his contribution, the firm’s Head, Corporate & Institutional Business, Adewale Kadri, while speaking on another innovative product unveiled by the company – AIICO’s Travel Insurance, said the product covers local and international trips.
According to him, “In this season of summer holidays, we will like to inform the public of AIICO’s World Travel Insurance, which has a cover with benefits of up to $200,000.
He noted that AIICO’s Schengen cover offers more than the Embassy standard requirement covers of €30,000.
Kadri said the policy covers the following: Loss or theft of baggage; Emergency medical expenses; Medical Evacuation, Repatriation or Transport to Medical Centre Expenses and Follow up treatment in Nigeria and lots more
On AIICO’s Domestic Air Travel Insurance, he said the policy which was recently approved by the National Insurance Commission (NAICOM) is basically for the personal benefits of the air passengers which entitle them to compensation for death, permanent disability, medical expenses consequent on accident, flight cancellations and baggage loss or delay as defined by the policy.
He maintained that the policy is not a substitute for the obligations of the Airline Operators to their passengers as provided by the Nigeria Civil Aviation Laws and Regulations, but only a benefit policy an individual passenger can take for his or her own comfort.
Speaking on the scope of cover, he noted that the policy provides compensation to airline passengers on local routes (travelling within Nigeria) who purchase flight tickets and pay the requisite premium against losses covered.
He said the cover is basically for passengers with valid airline ticket with the undernoted variations: Free cover for one accompanying infant (below age two years) who is named in the confirmation slip, adding that this free coverage is limited only to Personal Accident benefit for up to N100,000.00.
