AIICO Insurance PAT Soars To N5.2billion In 2020 Q3 … As GPW Hits N47.2 bn
By Ngozi Onyeakusi —AIICO Insurance Plc., despite the changing client preferences and risk exposures that have accompanied the COVID-19 pandemic. has recorded a profit after tax Of N5.2billion for for the interim period ended September 30, 2020.
This showed an increase of 17% when compared with N4.5 billion recorded in the corresponding period in 2019.
Also gross premium written soared to N47.2 billion in Q3 2020,
representing a growth rate of 27% when compared with N37.0 billion recorded in Q3 2019.
Though overall, profit before taxes reduced 7% year-on-year, from N5.0 billion in Q3 2019 to N4.7 billion in Q3 2020.
Total assets increased by 55% year-to-date to N245.8 billion from N159.5 billion in December 2019 driven by an increase in financial assets, including cash and cash equivalents. Financial assets increased because of the decline in investment yields and judicious investment of funds received for policies so
Total liabilities increased by 63% to N212.6 billion from N130.6 billion in December 2019 driven mainly by increases in insurance contract liabilities (from the decline in yields and reserving for new businesses) and fixed income liabilities (3rd party funds under management) in our asset management business.
Total equity grew by 15% year-to-date to N33.2 billion from N28.9 billion in December 2019.
Commenting on the result, Babatunde Fajemirokun, The Managing Director and Chief Executive Officer, said:
“Global and local macroeconomic headwinds continue to test the resilience of our business, and operating models as well as our business continuity plans and the strength of our relationships with our customers and partners. Our 3rd quarter results demonstrate that our business remains steady, despite the changing client preferences and risk exposures that have accompanied the COVID-19 pandemic. We have recorded strong top-line growth year-on-year as well as improved contribution from subsidiaries in our Group, especially our asset management business.
In our core insurance business, we will continue to offer innovative products that help our customers create and protect their wealth while leveraging the latest technology to meet our clients where they are. In addition, strong asset-liability management remains a pillar of our operating model. As a diversified financial services group, we will continue to ensure that businesses across our Group offer attractive products that enable us create value for all stakeholders.”
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