Niger Insurance Settles N1.7bn Claims in 2019
By Ngozi Onyeakusi—–Niger Insurance Plc. said it has settled claims and benefits worth N1.7bn in the 2019 financial year after paying N1.6bn in 2018.
This is contained in the firm’s annual report and account unveiled at the firm’s annual general meeting held today in Lagos.
Address shareholders at the meeting, the Managing Director/CEO, Niger Insurance, Edwin Igbiti stated; “In response to the company’s liquidity challenges which delayed the settlement of outstanding claims, the company has been aggressive in its efforts to unlock capital through to restructuring of its investment portfolio while divesting from under-performing asset classes. Consequently, the company was able to pay claims and benefits totaling N1.7bn in FY 2019 on top of the N1.6bn paid in FY 2018”, he said.
He stated that company had made changes to ensure growth of the firm. “In 2019, Niger Insurance Plc made important changes to optimize its business and leadership to align with the
company’s new strategic direction and drive its transformation
objectives. These changes were necessary to boost growth, simplify our ways of working, improve operational efficiency and resilience. We now have greater focus, commercial rigor and accountability throughout the organization – these fundamentals will help us build momentum for current and future earnings growth. Notwithstanding the economic headwinds and legacy issues facing the company, we are committed to the swift turnaround and transformation of this great company”, he assured.
Earlier in his speech at the meeting, the Chairman, Niger Insurance, Steve Dike regretted that firm’s financial performance was negatively effected by harsh economic environment.
“The financial performance of the Company was adversely affected due to the foregoing. I wish to report that the Group made a loss of N5.1 bn in 2019 as against profit of N593. 8 million recorded in 2018.
Net Operating loss after tax of N4.9 bn was recorded. Gross Premium written in 2018 was N1.8 bn, an increase from N4.4 bn written in 2018. Gross premium income was N903m, a decrease from the N5.2 bn reported in 2018.
This performance level was below our target of achieving growth in excess of the rate of inflation but we assure our shareholders that effort is being made to turn around and strengthen the financial position of the Company.
Dike further assured the company was tirelessly working to achieve its recapitalization target. “I am delighted to inform you that following your tremendous support, our recapitalization efforts have since gained traction with the share reduction exercise and merger option in top gear”, he assured.
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