Mutual Benefits Assurance targets top position in 5-years on new growth plan

Mutual Benefits Assurance Plc is targeting top position in the country’s insurance industry over the next five years period.

The company, which claims number one at the movement in terms of customer service says its five-year growth plan tagged ‘Project One Reloaded’ which started in 2021 when completed would place it as a leader in the industry in terms of premium income, profitability among other indices.

Akin Ogunbiyi, Chairman, Mutual Benefits Assurance Plc made the disclosure at the firms 26th Annual Thanking Service held at Darlington Hall, Ilupeju, Lagos tagged ‘ Non was Lost’.

He said that the company is committed to pursuing this goal, having positioned itself with the right human and material resources need to execute the project.

Ogunbiyi said, by the time the company becomes 30 years, this target would have been achieved, challenging the staff to increase their productivity in a bid to further grow the company.

On the reason for his excitement at the thanksgiving, Ogunbiyi said, “Well, the bible says in all things, give thanks to God. This particular year, I was excited as the theme of our praises this year: ‘None was lost’ particularly with Covid. It was a difficult year and when you have that sizable number of employees and God preserved every one of us. It is more to thank and appreciate God for that gift of life because without life, everything else is hopeless. That is the first thing that struck me that God gave us life, we are hale and hearty to be able to witness this New Year, and that’s the reason for my excitement.”

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Earlier, at the thanksgiving service, 50 staff who had spent between five to 25 years in the employment of the company were rewarded with long service award, while outstanding marketers were also appreciated.

Femi Asenuga, managing director/CEO of the company in his earlier comment said, the company has grown in leaps and bounds in the last 26 years, adding that, there are positive signs that better days are ahead for the shareholders, customers and relevant stakeholders.

On the company’s recapitalisation, he said that Mutual Benefits Assurance group have met the requirement far back in 2020 to the two of N20 billion, that is, N12 billion for general business and N8 billion for life business.

“We have fully recapitlised as far back as December 2020. Our Mutual life is recapitlised to the tune of N8.8 billion and our general business N12 billion. So, we are fully recapitalised, Ogunbiyi stated.

In the 2020 financial year, Mutual Benefits Assurance Plc recorded 7 percent growth in Gross Premium Written (GPW) from N18.70 billion in 2019 to N19.98 billion.

“The Group also recorded a 5 percent increase in Net Premium Income from N15.29 billion in 2019 to N16.08 billion in 2020. Conversely, an adverse claims experience resulted in a 32 percent decline in underwriting profit, from N5.40 billion in 2019 to N3.68 billion in 2020, Ogunbiyi stated.

Ogunbiyi said the drop in underwriting profit was offset by impressive investing activities and improved cost controls, leading to a 34 percent rise in profit before tax.

“This, in addition to the capital injection of N4.80 billion which led to the 22 percent increase in the Total Assets from N67.78 billion in 2019 to N82.87 billion in 2020, and the 70 percent rise in total equity from N14.53 billion in 2019 to N24.69 billion in 2020.