Adedapo Adesanya
By Adedapo Adesanya
AIICO Insurance Plc said it reported a 129 percent growth in Profit after Tax (PAT) for the first three months of the year.
In a statement issued by the firm’s Head, Strategic Marketing & Communications Department, Mr Segun Olalandu, the insurer said its net profit stood at N1.9 billion compared with N820 million attained in Q1 2019.
This happened as the underwriter’s Gross Written Premium (GWP) during the period hit N17.6 billion, 23 percent higher than N14.3 billion achieved the same period in 2019.
Mr Olalandu explained that the growth was driven by sustained positive performance across the major lines of business of the group: Retail and Corporate & Institutional businesses.
The group recorded a 24 percent increase in profit before tax (PBT) of N1.44 billion compared with N1.17 billion in Q1 2019.
Quoting Managing Director/Chief Executive Officer of AIICO Insurance, Mr Babatunde Fajemirokun, the statement said, “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,” Mr Fajemirokun added.
Speaking further, Mr Fajemirokun said, “In light of these outcomes, we recorded strong growth in our Retail Life business, which grew by 34 percent to N10.97 billion (Q1 2019: N8.2 billion); and an increase of 6 percent in our Corporate and Institutional business to N6.2bn (Q1 2019: N5.9 billion).
“Within the period under review, the Group’s balance sheet improved with total assets growing by 11 percent to N176 billion compared to N159 billion in December 2019. Shareholders’ funds, also rose by 0.28 percent to N27.99 billion (Dec 2019: N27.91 billion).”
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, he said: “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 through this difficult times and emerge stronger.”
AIICO Insurance is a leading composite insurer in Nigeria with a track record of serving our clients that dates back over 50 years.
Founded in 1963, AIICO provides life and health insurance, general insurance, investment management and pension management services as a means to create and protect wealth for individuals, families and corporate customers.
