Category: Insurance

The Nigerian Insurers Association (NIA) will deal with firms that engage in undercutting of premium rate, the outgoing Chairman, Ganiyu Musa, has said.

At a press conference in Lagos, Musa said the National Insurance Commission (NAICOM) had barred firms from engaging in such nefarious act at vehicle licensing offices and that the NIA council had followed up the decision by adopting the measure of naming and shaming any insurance firm going contrary to the agreed premium rate.

He noted that the NIA is engaging with Road Traffic Officers of the Federation to drive integration of the third-party motor Insurance across the states, following their request for the implementation of the system in the 36 states, including the Federal Capital Territory (FCT).

He said the association will continue to partner government agencies on the adoption of the Nigerian Insurance Industry Database (NIID) and Nigerian Insurance Industry Portal (NIIP), stressing that the association is also working with Lagos State Building Control Agency as part of engagements on the implementation of Lagos State Building Law – Occupiers Liability and Builders Liability insurance.

LASACO Assurance Plc has paid N8.9 billion claims to its policyholders who suffered insured risks in its 2021 financial year.

This represents over 100 percentage growth when compared to N4.2billion claims paid in its 2020 financial year.

The company’s group life business commanded the highest insurance compensation of N4.3billion translating to about 100 per cent increase from N2.2 billion it paid as claims in this class of insurance in 2020, followed by Fire insurance with N3.5billion paid as claims last year, which far outweighed N300.6 million paid in 2020.

Similarly, N426.2 million claims was paid under engineering insurance class in the year under review even as it paid N99.7million claims in this category in the preceding year.

Under motor insurance, the company paid N137.3 million as claims as against N91.1 million paid in the preceding year while it paid N328 million on General Accident policy last year as against N564.1 million in 2020 financial year.

It paid claims on bond, marine, aviation, oil and gas insurance.

Speaking at the 42nd Annual General Meeting (AGM) of LASACO Assurance Plc in Ikeja, Lagos on Saturday, its Chairperson, Mrs. Teju Phillips, said, they delivered a considerable performance despite the challenging business operating environment.

She said the company achieved a gross premium of N13.3 billion in 2021, representing a 21 per cent increase over the N10.9 billion generated in 2020.

In the same vein, she said: “Our net underwriting income grew by 15 per cent from N8.05 billion to N9.26 billion within the period under review. Our profit before tax declined from N696 million to N281 million, signifying a 59 per cent drop, while profit after tax declined by 62 per cent from N679 million to N261million.

“The total assets of the organisation grew from N20.5billion to N23.9 billion, a 17 per cent increase, while shareholders’ funds increased sharply by 45 per cent from N7.80 billion in 2020 to N11.31billion in 2021.”

She promised that the company will uphold and surpass its performance through implementation of best practice policies, digital upscale process strengthening and customer experience rejuvenation.

Operators have expressed the need to forge more synergy towards growing the insurance industry by accelerating its contribution to the Gross Domestic Product (GDP).

This intention was expressed at the meeting of heads of the Nigerian Council of Registered Insurance Brokers (NCRIB) led by its President, Mr. Rotimi Edu, when the Council’s delegation visited the Nigerian Insurers Association (NIA) in Lagos

Edu noted that the industry’s crave for cohesion and professionalism could only be achieved if brokers, who are members of the NCRIB, accelerated their collaboration with underwriters under the aegis of the NIA.

“Revitalisation of the various Joint and Technical Committees of the industry is being put at the front burner to facilitate effective sharing of information between our two unique professional divisions in the industry,” Edu noted.

Earlier,the immediate past Chairman of the NIA, Mr. Ganiu Musa, pledged the readiness of the NIA to cooperate with the brokers body to re-energise the Joint Technical Committee, noting that no effort should be spared in exchanging information to make the industry vibrant and contribute to the national economy.

Universal  Insurance Plc has achieved a total premium income of N 4.1 billion during the first half of the year ended June 30.

The Managing Director/Chief Executive Officer, Universal Insurance, Dr. Benedict Ujoatuonu, stated this to reporters in Lagos.

Ujaotuonu, who was represented on the occasion by the Company’s Secretary and Head of Corporate Communications Department, Chinedu Onyilimba, said the premium income was far above what was achieved last year.

He stated that the company’s premium income at the end of 2021 stood at N3.4 billion; while a total sum of N459 million was paid as claims.

He said their report for the second half of the year, showed a profit after tax of N796 million and a total claim paid of N348 million.

He noted that the performance was made possible as a result of aggressive moves in driving its business development, especially by providing special tailor-made products in their retail operations.

Our aggressive deployment of technology, especially in driving our retail operations as well as our business expansion which led to opening of new branches, enlargement of our marketing units which also led to the engagement of new staff made this possible, he added.

Staco Insurance Plc has appointed Mr. Wale Banmore as its Managing Director/Chief Executive Officer (CEO).

His appointment has been approved by the National Insurance Commission (NAICOM) with two directors after the take-over of the firm’s board by a new investor.

Banmore has worked with several companies and served at various capacities in the industry.

He was the Managing Director of Royal Exchange Prudential Life Plc, a subsidiary of Royal Exchange Plc from 2011 to 2019.

An insurer with over 30 years’ experience, Banmore is a doctoral student of Strategic Marketing at Babcock University, Ogun State.

A graduate of Sociology from the University of Ibadan, Banmore holds a Master’s in Managerial Psychology from the same institution.

The National Insurance Commission (NAICOM) and Nigerian Institution of Estate Surveyors and Valuers (NIESV) have renewed their commitment to strengthen collaboration in insuring public buildings, those under construction and professional indemnity for members of the professional body.

This was the outcome of a visit by President/Chairman of Council, NIESV, Johnbull Amayaevbo, to the Commissioner for Insurance, Mr. Sunday Thomas, in Abuja.

In a statement, Deputy Director, Rasaq Salami,  stated that the meeting also provided an avenue for them to discuss the need for the insurance industry to use registered estate surveyors and valuers.

Linkage Assurance Plc has beaten all odds to return to strong profitability in half-year despite the challenging business environment, the Chairman, Chief Joshua B Fumudoh, has said.

Fumudoh, in a statement to the Nigerian Stock Exchange and shareholders on the unaudited result for the second quarter ended June 30, 2022 recorded a profit before tax (PBT) of N1.465 billion from a loss position of N2.111 billion the same period last year.

According to him, the profit after tax (PAT) is N1.392 billion, as against the N2.090 billion loss in the same period last year.

The statement, which was also signed by the Managing Director/Chief Executive Officer, Daniel Braie and Chief Financial Officer, Emmanuel Otitolaiye, read: “The company recorded a gross premium written of N8.303 billion in the review period from N6.952 billion in the previous year.

“The company also recorded a net underwriting income of N3.515 billion from N2.703 billion in 2021, while the underwriting profit stood strong at N231.28 million from a loss position of N1.027 billion. Growth in underwriting profit was attributed to quality risk management and prudence in risk selection, even as it continues to meet its claims obligation promptly to its esteemed customers.

“We paid out N1.422 billion on claims to its numerous customers that suffered one form of loss or the other during the half year period, from N3.989 billion the previous period.’’

Braie further stated that they had assured shareholders during the company’s last Annual General Meeting in Lagos that it  was going in a positive direction as shown in its quarterly performance in the year.

“The management is doing all it can to turn the clock, by ensuring that its underwriting and risk management strategies were adequately deployed to ensure a healthy and stronger bottom line at year end.

“Our total assets continue in a robust mood, standing at N44.508 billion at the end of half year, from N38.71 billion in 2021, indicating a growth of 14.98 per cent,” he added.

Heirs Life Assurance is advocating a multi-sector and multi-stakeholder collaboration to promote financial inclusion, and social welfare to eradicate poverty.

Its Managing Director/CEO, Mr. Niyi Onifade, stated this while delivering the keynote address at the Ninth Lagos Public Relations Stakeholders’ Conference in Lagos.

Onifade, who represented the Chairman of Heirs Holdings and founder, Tony Elumelu Foundation, Mr. Tony Elumelu, at the conference, joined Mr. Sina Thorpe, Council Member, Nigeria Institute of Public Relations (NIPR); Mrs Comfort Obot Nwankwo, Chairman, NIPR Lagos, and other dignitaries to discuss the conference theme, ‘Leadership and Poverty Eradication’.

He called for the adoption of Africapitalism, an economic philosophy propounded by Elumelu that advocates the private-public sectors to collaborate to achieve the unified goal of alleviating poverty and facilitating shared prosperity.

He said: “African private sector has the power to transform the continent through long-term investments, creating both economic prosperity and social wealth.

“Tackling unemployment, promoting financial literacy and inclusion, leadership, governance, and structure, and positioning SMEs to thrive, are critical areas that will impact the push towards poverty alleviation in Nigeria.”

He emphasised the importance of life insurance in tackling poverty and improving social welfare.

“Access to financial services should not be a privilege; a typical example is life insurance. Contrary to popular opinion, low-income households need life insurance products more.

“Life insurance can help to cushion the financial impact associated with the loss of a breadwinner. Imagine a country that prioritises life insurance for every household and the guaranteed financial security that comes with this decision. It reduces the burden on government resources,” he added.

Leadway Holdings sis offering its assets across the country for youth-led enterprises to promote their brands in achieving business growth in the face of the global economic slowdown in post-pandemic headwinds.

The initiative tagged “Media Dash”, aligns with Leadway’s corporate ethos of providing opportunities and supporting Nigeria’s huge young population.

It would involve its paid and owned-media assets such as social media real-estate, radio spots, newspaper columns, and out-of-home platforms such as static, electronic, and digital boards.

The free media exposure across its mainstream media and advertising platforms is scheduled to run for a period of four weeks to commemorate the International Youth Day, themed “Intergenerational Solidarity: Creating a World for all ages”.

Group Chief Marketing Officer, Leadway Holdings, Mr. Olusakin Labeodan, stated that the project aligned with the strategic leaning towards the youth. He reiterated that the initiative is the boldest statement of how much the brand is willing to cede to help promote the youth, whose enterprises need a brand push to achieve economic advancement in these trying economic times.

He said: “A report on the State of Entrepreneurship in Nigeria by the Fate Institute shows that 67 per cent of entrepreneurs are youths between 18 and 35, who have become the backbone of our economy. For us, these insights mirror a vibrant populace with massive potential and passion operating in a clime ranked 131st out of 189 countries on the ease of doing business index. The least we can do is to give a bit of ourselves to show that we care and are passionate about their growth.

“Indeed, it has become imperative for leading organisations and individuals to be that enabler of business survival and support these businesses as they strive to navigate the hurdles of running a business in this challenging economic reality underpinned by rising inflation and energy poverty.”