Underwriting firm, Law Union and Rock Insurance plc has grown its profit before tax by 100 percent at the end of 2016 financial year, from N328 million in 2015 to N658 million.
This is as the Company also ended the year with N3.935 billion Gross Premium Written compared to N3.858 billion recorded in 2015.
Remi Babalola, chairman of the Company said at its 48 Annual General Meeting in Lagos that the company increased marginally in her top-line whilst it recorded a significant growth in the bottom-line.
Total assets grew by 3.72 percent to N8.580 billion while shareholders’ funds grew by 13.03 percent from N4.458 billion to N5.039 billion in 2016.
Bablola said, the Company’s mantra remains “unfailing and prompt settlement of all claims” with claims Paying Ability (CPA) rating of A- . He said the company paid out N1.454 billion in 2016.
In his report at the meeting, Babalola said by the approval of the shareholders, the Company will be raising additional capital by way of private placement to the tune of 1,031,199,000ordinary shares of 50 Kobo at 70 Kobo per share, consequent upon regulatory approvals.
The additional capital when raised is expected to significantly enhance the Company’s operations and boost its capacity to play in the oil & gas and engineering subsector of the insurance space.
Jide Orimolade, said that the profitability of the company has constantly been increased since 2014. He also confirmed that the repositioning has begun to yield result as the company was able to regain her dominance in the Engineering market. He attributed the company’s great feat to the various strategic initiatives which were driven by state of art technology which gave the company competitive advantage ahead of its competitors and enable her to navigate through the turbulent economy in 2016 with a good profitability.
Orimolade said “our careful attention on our service delivery to the customer has further given the company respect and recognition in the industry.
“Our attention would be given to distribution of our products to the burgeoning middle class which has the highest volume. We expect to reap huge premium through retail products as well as launch more new retail products. We shall continue to upgrade our technology in order to provide excellent and cutting edge service delivery. Huge value will be placed on our customers to secure their loyalty and thereby record high customer retention, he said.
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