AIICO Insurance Grows Premium By 24% To N55.97bn in 1H 2023
Mr. Babatunde Fajemirokun, MD/CEO AIICO Insurance PLC
AIICO Insurance PLC, Nigeria’s leading insurance provider, has unveiled its unaudited interim condensed financial statements for the period ended June 30, 2023, showcasing robust financial performance and impressive growth across key metrics.
The company’s strong results reflect its ability to navigate challenging market conditions and capitalize on strategic opportunities.
AIICO Insurance reported a significant 24% year-on-year increase in gross written premium, reaching N55,966,364,000 in June 2023, compared to N45,066,064,000 in the corresponding period last year. The surge in premium reflects the company’s successful efforts in expanding its customer base and enhancing its product offerings.
The company’s insurance revenue showed steady growth, increasing by 22% year-on-year to reach N27,251,989,000 in June 2023, compared to N22,246,572,000 in June 2022.
AIICO Insurance also recorded an impressive insurance service result of N6,474,094,000, marking a remarkable 205% year-on-year growth. These positive figures underscore the company’s commitment to providing quality insurance services to its customers.
The Company reported a significant 114% year-on-year increase in net investment income before fair value changes, reaching N14,956,233,000 in June 2023, compared to N6,990,003,000 in June 2022. The company’s prudent investment strategy has allowed it to capitalize on favorable market conditions and generate strong returns on its investments.
Despite the overall positive performance, AIICO Insurance experienced a net fair value loss of N6,795,210,000 in June 2023, compared to a net fair value income of N48,301,000 in June 2022. This change can be attributed to market volatility and fluctuations in asset valuations.
The underwriting firm maintained its profitability, reporting a profit for the period of N4,690,422,000, although it represents a slight 3% year-on-year decrease compared to N4,818,762,000 in June 2022. The company also recorded a total comprehensive income of N4,819,032,000, showing a 3% year-on-year decrease. The dip in comprehensive income was mainly due to a total other comprehensive loss of N128,610,000, arising from fluctuations in currency exchange rates and other market-related factors.
Commenting on the Company’s performance, the Managing Director/Chief Executive Officer, Mr. Babatunde Fajemirokun, noted that AIICO Insurance’s impressive financial performance reflects the resilience and adaptability of the company in the face of dynamic market conditions.
He said the company’s management remains optimistic about its future prospects and is committed to implementing strategies that will further drive growth, enhance customer satisfaction, and deliver sustainable value to shareholders.
According to him, as AIICO Insurance progresses through the year, investors and stakeholders eagerly await the company’s audited financials and updates on its strategic initiatives during the forthcoming annual general meeting.
“AIICO Insurance’s strong financial position and consistent performance position it as a key player in the insurance industry, and it is well-positioned to capitalize on emerging opportunities in the market,” the MD said.
