Insurance Sector’s Life Annuity Fund Portfolio Hits N323bn
By Ngozi Onyeakusi– The insurance industry life annuity fund portfolio has risen to N322.9 billion as at the end of second quarter of 2019.
This represents a growth rate of 17.4 per cent when compared with N274.9 billion recorded as at end fourth quarter of 2018.
A statement obtained from the National Insurance Commission (NAICOM), signed by the head, Commissioner’ Directorate, Mr Rasaaq Salami showed tha within the same period under review, the cumulative total Retiree Life Annuity (RLA) payouts stood at N122 billion as at the end of second quarter of 2019.
The RLA market has been in existence since the advent of the Contributory Pension Scheme (CPS).
The RLA portfolio so far has recorded 73,554 contracts purchased for a total premium of N341. 6 billion as at end of second quarter of 2019.
This represents a 13.02 per cent and 6.21 per cent growth in count and volume respectively in 2019 from end of fourth quarter 2018.
The growth during the last three years for RLA business has averaged 34.28 per cent and 34.12 per cent in count and volume respectively, while RLA fund portfolio growth has averaged 27.46 per cent notwithstanding the RLA payout made ( i.e. cumulative total payments of N22 billion as at end of second quarter of 2019).
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