NEM Insurance Plc grows premium income to N166.8bn, declares N1.50 dividend

NEM Insurance Plc delivered a strong top-line performance for the financial year ended December 31, 2025, driven by robust premium growth, higher insurance revenue, and an improved asset base despite the tough operating environment.

Presenting the company’s audited financial statements at its 56th Annual General Meeting held in Lagos, Tope Smart, chairman of the Board disclosed that the Group recorded gross premium income of N166.8 billion, while the parent company posted N157.8 billion, representing significant growth from N110.7 billion and N108.3 billion respectively recorded in 2024.

According to him, insurance revenue rose sharply by 56 percent to N152.3 billion in 2025 from N97.9 billion in 2024, reflecting sustained business expansion and deeper market penetration across key segments of the insurance industry.

The company, however, recorded a decline in profit after tax to N24 billion from N29 billion in the previous year, largely due to foreign exchange losses incurred during the period.

Investment income also grew significantly by 70 percent to N12.9 billion from N7.6 billion in the prior year, supported by improved returns on the company’s investment portfolio.

On returns to shareholders, the Board recommended a dividend payout of N1.50 per ordinary share of N1 each, amounting to N7.52 billion.

Claims paid during the year was N49.8 billion during the review period from N31.3 billion in 2024, reflecting the company has continued commitment to prompt claims settlement and customer confidence.

NEM Insurance Plc also reported strong balance sheet growth during the year under review, with financial assets increasing by 38 percent, while total assets and shareholders’ equity rose by 49.8 percent and 29 percent respectively.

Speaking on the operating environment, Smart described 2025 as challenging, citing high inflation, insecurity, exchange rate volatility, and rising fuel prices as major pressures on businesses and households.

He noted, however, that Nigeria’s economy showed signs of resilience, with GDP growth improving to 3.9 percent in 2025 from 3.4 percent in 2024, while inflation moderated to 15.15 percent from 34.8 percent in the preceding year.

Despite the macroeconomic challenges, Smart said NEM Insurance Plc maintained its leadership position in the general insurance business and expressed optimism that the company would sustain its growth trajectory.

He further disclosed that the company’s subsidiaries — NEM Asset Management Company Limited and NEM Health Limited — contributed positively to the Group’s bottom line during the year.

As part of its future expansion strategy, the company also revealed plans to establish a life assurance subsidiary, which management said would soon be unveiled.