Unitrust Insurance reiterates commitment to value creation, market expansion
Mr. John Ijerheime, MD/CEO, Unitrust Insurance Company Limited
Unitrust Insurance Company Limited said the recapitalization will help boost its long-term strategic goals of value addition to its owners and other stakeholders as well as enhance its capacity as a big player in the iInsurance industry in taking bigger risk while playing in the global market.
In achieving this, the company said it will remain true to its vision which is to create value to its stakeholders by ethically delivering diffenciated products and partnering with clients to proactively manage their risk while focusing on market expansion.
The Managing Director/Chief Executive Officer of the Company, Mr. John Ijerheime, made the disclosure while responding to journalists’ questions during a zoom media parlay today.
He said the firm will continue to work at delivering continuous growth using people and leveraging on technology, adding that the firm’s business model will be driven by structural analysis of its strengths, weaknesses, opportunity, and Threats (SWOT) for responsive bonding while pursuing the Corporate Business, High-Net worth individuals as well as Retail segments of the market.
He said the company plans to progressively grow its market share and become a market leader by continually identifying, meeting and exceeding customers expectation through operational efficiencies and rendering excellent customer service.
In line with its strategic growth plan to increase its premium income going forward, Mr Ijerheime, said the firm will focus on Market Expansion, Clients Retention, Improved Customer Service, Development of Alternative Channels, Retail penetration and Direct Business, Leverage on Technology and Insure Tech and Products Development.
While responding to the question on recapitalization exercise going on in insurance Industry, Ijerheime described it as a very positive and welcome trend for the growth of the Industry.
“The Purpose of the exercise is to have fewer companies that are financially strong and viable that can easily meet obligations. Stronger companies are expected to emerge and that will increased their capacities to take more businesses thereby reduce the incidents of capital flight especially of Insurance premium and business from our country to other developed countries as being experienced currently. Also, monies made available to companies will be used to improve on IT and other needed growth infrastructures.
“For us, it is a welcome development and we as a company are fully prepared to be part of new and stronger companies that will emerge post recapitalization. We have the support of all stakeholders towards achieving this goal, “ he stated.
On early passage of 2020 budget and finance Act 2020, Mr Ijerheime said “l would like to dwell more on the Finance Act 2020 as passed. It is indeed a dream come through for the Insurance Industry and to our company. I wish to commend the present Government for passing this Act because the growth of the industry over the years have been impeded by strangulating taxes. The Act has recognized the strategic position the Insurance Industry plays in the development of the economy and will go a long way to encourage quick growth going forward.
“I deliberately will not want to say much about the 2020 Budget because we have witnessed, over the years, poor and low implementation of very good Budget plans by Government. This year budget cannot be an exception because we are already, six months in the year, experiencing a drop in price of our revenue earner- oil- in the international market due to many forces including COVID 19. Even where there are substantial releases by government, the Public sector is yet to key into buying insurance as a risk management tool and yet Government ought to encourage the growth of Insurance as is the practice all over the world.”
Responding on the issue of claims payment, he said the company have been honoring all genuine claims by being prudent in the underwriting business, adding that the firm will deploy cutting edge technology to provide the best services in terms of prompt claims settlement in the insurance industry.
“We have paid the total sum of N269,162,424.94 (Two hundred and sixty-nine million, one hundred and sixty-two thousand, four hundred and twenty-four Naira, ninety-four kobo) within the first quarter of 2020. These claims were paid while the country was on Covid 19 lockdown in fulfillment of our avowed commitment to prompt claims settlements.”
On recapitalization plans, he said they have strategic plans on ground to ensure that they meet the required threshold of N10 Billion Naira as required by the regulator, National Insurance Commission (NAICOM), adding that currently, the firm’s qualifying capital stands at N6billion Naira just as he said they are considering a business combination to get through the exercise successfully.
To achieve this, he said they are discussing with a top-notch underwriter is ongoing and the outcome of which will make the brand mega to compete with the best players in the insurance industry.
