AIICO Insurance Grows Premiums By 23% To ₦17.6bn In 2020 Q1
By Ngozi Onyeakusi– AIICO Insurance Plc has recorded Gross Written Premiums of ₦17.6bn, showing a 23% surge from N14.3bn recorded in the same period of 2019.
This growth, according to the firm was driven by sustained positiveperformance across the major lines of business of the Group: Retail and Corporate & Institutional businesses.
The Group also recorded a 24% increase in profit before tax (PBT) of N1.44 billion, compared to N1.17bn in Q1 2019. Profit after tax (PAT) also grew by 129% to N1.88 billion, compared to N0.82 billion attained in Q1 2019.
According to the Managing Director/Chief Executive Officer, Mr. Babatunde Fajemirokun, “AIICO delivered excellent first quarter results, demonstrating the overall strength of our Company and ability to continue to meet our obligations to stakeholders even in the face of the COVID-19 global pandemic.We are living in a period of uncharted waters and recognize the situation presents both challenges and opportunities. Our resilient business continuity plans and robust technology infrastructure ensured we remained operational throughout the lockdown period. We have rolled out additional digital channels for the convenience and safety of our customers, and our employees have embraced the Work-From-Home (WFH) concept – indeed this is the new normal”.
Speaking further, Mr. Fajemirokun said, “In light of these outcomes, we recorded strong growth in our Retail Life business, which grew by 34% to N10.97bn (Q1 2019: N8.2bn); and an increase of 6% in our Corporate and Institutional business to N6.2bn (Q1 2019: N5.9bn).
Within the period under review, the Group’s balance sheet improved with total assets growing by 11% to N176 billion compared to N159 billion in Dec 2019. Shareholders’ funds, also rose by 0.28% to N27.99 billion (Dec 2019: N27.91billion). He added that “Insurance has a critical role to play in the economy and business environment in which we operate.With the advent of this pandemic, we are seeing increasing requests from corporates in Nigeria trying to understand how insurance can be deployed as a strategy for building resilience within their businesses. On the retail side, we are seeing new trends emerge; one of which is the shift towards a low touch world, where close-contact interaction is discouraged. In response, we are positioning to take advantage of these trends and opportunities presented by the COVID-19 pandemic to reshape and disrupt the way we operate, interact and our go-to-market strategy. I am however confident that we will get throughthis difficult times and emerge stronger.”
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