In line with the renewed strategic aspirations for market leadership with focus on profitable growth, AIICO insurance Plc in the half year of 2019 reported a 42 percent increase in profit before tax (PBT) of N3.11 billion, compared to N2.19 billion in half year of 2018; While the profit after tax (PAT) also grew by 52 percent to N2.94 billion, compared to N1.93 billion attained in half year of 2018.
The Group also reported a gross written premiums of ₦25.4 billion, up 32 percent from the same period in 2018, which was: N19.2 billion.. This growth is driven by continued solid performance across the major lines of business of the group, including life and corporate, as well as institutional businesses.
Babatunde Fajemirokun, executive director / COO said “this performance is a demonstration of a focused implementation of our renewed strategy, notwithstanding the challenging operating environment”.
Speaking further, Fajemirokun said, “customer-centric product innovations, sustained investments and automation of our agency sales force continues to yield dynamic results as we recorded strong growth in our retail life business, which grew by 47 percent to N15.5 billion (H1 2018: N10.6bn); and an increase of 14 percent 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 percent to N135 billion compared to N109 billion in Dec 2018. Also, noteworthy, is the growth in shareholders’ funds, which rose by 14 percent to N16.6 billion (Dec 2018: N14.5 billion).
Commenting on the new capital requirements for the insurance industry,. Fajemirokun 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, he said.
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