Coronation Insurance streamlines risk portfolio for profitability

The Board and Management of Coronation Insurance Plc said it has streamlined its risk portfolio to drive profitability for the underwriting firm.

The Company says it is vigorously pursuing strategies and partnerships that will bring efficiency to operations and translate to stronger profit for the company.

Mutiu Sunmonu, chairman, board of Directors, Coronation Insurance Plc, speaking at its 64th Annual General Meeting held virtually and physically in Lagos said, its bancassurance partnership consummated in 2020 has completed its first full year of operations and the early signs are promising.

“With the introduction of the partnership, the company is well-positioned to drive efficient service delivery across this channel and the related customer segments. The synergies experienced in people, products and processes with our business partners will provide a sustainable leading platform that will help your company achieve its aspiration.”

He told shareholders that its focus also is on talent management. “We are very conscious of the fact that building a culture of high performance among employees goes a long way to ensuring competitiveness and attracting the best talents. As an organization that aims to recruit and keep the best talent, we have revamped our employee management practice, ensuring that remuneration and other levers of employee engagement are benchmarks against leading organizations.”

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According to him, the Company has placed a high value on learning and development, and it’s continuously investing in training programs targeted at improving staff skills and capacity across various functions.

Olamide Olajolo, managing director, Coronation Insurance Plc, responding to questions from shareholders said the decline in the Company’s GWP and GPI in 2020 is attributed to the company’s decision to not underwrite some high-risk accounts, which required huge reinsurance expenses and have high loss ratios.

He however informed shareholders that the company has since secured more profitable accounts to improve its financial performance.

On the firm’s outlook, Olajolo said the company’s objective is to achieve business excellence through sustainable practices and is motivated by her commitment to customer satisfaction.

“While we are hopeful that 2022 will be a promising year, we are very conscious of the realities of geopolitical and economic volatility, regulatory changes, foreign exchange pressures, and changes in customer needs and consumption patterns. These challenges have required us to be agile, adaptive in our thoughts, and creative in our processes as well as how we manage the business to remain relevant,” Olajolo said.

“As we continue to position our company for long-term success, we believe the bancassurance partnership will help us achieve generating channels for a profitable business. We have also strengthened our relationship with our brokers and made progress in our retail market penetration drive through our retail agency model.

“We will continue to build closer relationships with our other partners and customers who add value to our business while remaining steadfast in our objective to create value for shareholders and be a market leader in the insurance industry,” Olajolo said.