The Nation Newspaper

Tag: Consolidated Hallmark Insurance

  • CHI unveils travel insurance

    Consolidated Hallmark Insurance (CHI) Plc has introduced an insurance scheme for travellers.

    Known as Travel Insurance Plan, it is aimed at addressing the needs of the insuring public who, during foreign trips, lose property and incur  health bills.

    CHI’s Executive Director, Operations, Mrs Mary Adeyanju made this known during the briefing on new Travel Insurance Policy and Digital Payment Channels in Lagos.

    She said the ease of transactions has been easy for their clients through several payment channels, adding that the policy’s rate is N3,800 based on duration of the trip and destination of the policy holder.

    She said expenses incurred from trip cancellations are paid under the cover and that the plan also makes provision for delayed departure, as well as covering medical expenses.

    Mrs. Adeyanju said in the event  of loss of luggage, the plan covers cost of replacement up to the pre-agreed amount, adding that the policy holder could upgrade the cover to include injury that may be sustained in winter sporting.

    Speaking on the geographical coverage, she said the policy covers the Schengen and other European countries; as well as Asian, African and America countries, adding that the company  has an international underwriting partnership with MAPFRE Asistencia of Spain.

    She added that the company also recently introduced additional premium payment channels to ease the transactions.

    She said: “Clients of the company, who effected payment of their renewal premiums with written cheques and direct bank deposits and transfers are taking advantage of the recently-introduced channels.

    “The digital channels include Quickteller, Paydirect, partnership with GTbank Internet banking and the payment enabled company website – chiplc.com. Clients of the company, in utilising these channels, now have fast and convenient access to the payment portals, saving valuable time in the process”, she noted.

  • Consolidated Hallmark Insurance to open N500m rights issue Oct. 16

    Consolidated Hallmark Insurance Plc is to launch  its N500 million capital raising on October 16.

    Application for the issue will open on Monday, October 16 and end on Wednesday, November 22.

    Regulatory filing obtained by The Nation indicated that Consolidated Hallmark Insurance will issue 1.0 billion ordinary shares of 50 kobo each to its shareholders at a price of 50 kobo per share.

    The rights issue will be pre-allotted on the basis of one new ordinary share for every six ordinary shares held as at the close of business on Monday, August 28.

    The net proceeds of the supplementary issue will be used to strengthen the balance sheet of the insurance company.

    Authorities at the Nigerian Stock Exchange (NSE) and Securities and Exchange Commission (SEC) had earlier approved the new issue after shareholders gave the board the mandate to raise new equity funds.

    Consolidated Hallmark Insurance, a general business and special risks insurer, has an authorised share capital of N5 billion with a paid up capital of N3 billion. The company provides insurance coverage across several sectors including aviation, oil and gas, marine cargo and hull business and other non-life insurance underwriting including motor, fire and special perils, goods-in-transit, engineering insurance, among others.

    Rights issue has become a major recapitalisation means as core investors in several quoted companies lead efforts to inject new equity funds to bridge equity financing gaps and reduce dependence on bank loans.

    Against the background of the dormancy in the public issue segment of the primary issue market and high interest expenses, several core investors that hold the decisive votes and funds necessary for the success of recapitalisation of quoted companies have opted to inject additional funds, hoping to rally minority shareholders to provide much-needed equity funding to their companies.

    The Nation’s check with investment banking sources indicated that not less than 11 companies have initiated plans to raise new equity funds, with most opting for rights issue.

    Market analysts said the growing list of rights issues underscores the preparedness of core investors to refinance their companies as well as the undervaluation of several companies at the stock market. According to analysts, rights issue implies significant financial commitment by the core investors.

    Rights issue pre-allots shares to existing shareholders on the basis of their shareholdings at a cut-off date. However, shareholders may decide to fully take their pre-allotted shares or take part of the allotment or reject the entire allotment. Partial acceptance or non-acceptance of rights creates room for renounced shares.

    Other shareholders may request for additional shares from the renounced shares. However, shareholders who renounced their shares may sell their rights through rights trading on the NSE.

    Rights issue gives the first right of refusal to existing shareholders and thus preserve existing shareholding structure.

    Under the rules at the stock market, allotment of renounced shares under rights issue will be distributed proportionately among all shareholders on the basis of additional shares applied for by the shareholders.

     

  • Consolidated Hallmark Insurance to raise N500m new equity

    Consolidated Hallmark Insurance Plc plans to raise N500 million in a supplementary offer, in a bid to strengthen its balance sheet.

    Regulatory filing obtained by The Nation indicated that Consolidated Hallmark Insurance will be issuing 1.0 billion ordinary shares of 50 kobo each to existing shareholders at 50 kobo per share.

    The rights issue will be pre-allotted on the basis of one new ordinary share for every six ordinary shares held as at the close of business on Monday August 28, 2017. Already, the company has submitted application to Nigerian Stock Exchange (NSE) council for regulatory approval to proceed with the rights issue.

    The insurance company, a general business and special risks insurer, has an authorised share capital of N5 billion with a paid up capital of N3 billion. The company provides insurance coverage across several sectors including aviation, oil and gas, marine cargo and hull business and other non-life insurance underwriting, including motor, fire and special perils, goods-in-transit, engineering insurance, amongst others.

    Under the stock market extant rules , allotment of renounced shares under rights issue will be distributed proportionately among all shareholders on the basis of additional shares applied for by the shareholders.

    Rights issue pre-allots shares to existing shareholders on the basis of their shareholdings at a cut-off date. However, shareholders may decide to fully take their pre-allotted shares or take part of the allotment or reject the entire allotment. Partial acceptance or non-acceptance of rights creates room for renounced shares. Other shareholders may request for additional shares from the renounced shares. However, shareholders, who renounced their shares may sell their rights through rights trading on the NSE.

    Rights issue gives the first right of refusal to existing shareholders and thus preserve existing shareholding structure.

    According to the rules, in the case of a rights issue, the allotment of the renounced shares shall be pro-rated on the basis of additional shares applied for by eligible shareholders, as stated by the rights circular.

    Rights issue has become a major recapitalisation means as core investors in several quoted companies lead efforts to inject new equity funds to bridge equity financing gaps and reduce dependence on bank loans.

    Against the background of the dormancy in the public issue segment of the primary issue market and high interest expenses, several core investors that hold the decisive votes and funds necessary for the success of recapitalisation of quoted companies have opted to inject additional funds, hoping to rally minority shareholders to provide much-needed equity funding to their companies.

    The Nation’s check with investment banking sources indicated that not less than 11 companies have initiated plans to raise new equity funds, with most opting for rights issue.

    Market analysts said the growing list of rights issues underscores the preparedness of core investors to refinance their companies as well as the undervaluation of several companies at the stock market. According to analysts, rights issue implies significant financial commitment by the core investors.

  • Consolidated Hallmark holds 19th AGM, promises better days

    Consolidated Hallmark holds 19th AGM, promises better days

    Consolidated Hallmark Insurance (CHI Plc) has recorded N4.1 billion in its gross premium income in 2013 financial year, representing a N315.3 million increase or eight per cent improvement over the N3.8 billion achieved in the 2012.

    He made this   known at the 19th Annual General Meeting (AGM) of the firm in Uyo, Akwa Ibom State capital.

    The company, however, made a significant provision for impairment for outstanding premium. This, they said, is to have a clean break from the era of debtors overhang thus, paving the way for future profitability.

    The company also recorded a cash flow position during the period having improved on the N1.8 billion recorded during the preceding year with an increase to N2.2 billion in its cash and cash equivalents.

    Its Vice Chairman, Tony Aletor, said the company made a provision of N547.7 million as impairment charges for the period.

    He also told the shareholders that having cleaned the books, future results would be better.

    Its Managing Director, Eddie Efekoha, said one of the major strategies that has sustained the company’s business is the avowed commitment to prompt and adequate claims settlement.

    He disclosed that despite the challenging operating environment last year, CHI’s expenses on claims rose from N846.6 million in 2012 to N965.1, adding that at the close of business on December 31, last year, the company  ensured that all fully documented claims for the year were settled.

    He added that the finance company subsidiary, Grand Treasurers Limited (GTL) remained upbeat in their contributions to the bottom line of the Group and has grown its loan book by 125 per cent while keeping its loan loss ratio at 5 per cent.

    He also said CHI Support Services Limited, the NCC licensed vehicle tracking outfit of the company, has continued to play a complementary role to ensure that the company meets the emerging needs of auto insurance customers, who desire added benefits.

  • Consolidated Hallmark pays over N600m claims in Q3

    Consolidated Hallmark pays over N600m claims in Q3

    Consolidated Hallmark Insurance PLC (CHI) paid over N600 million claims at the end of the third quarter, its Managing Director, Eddie Efekoha, has said.

    He disclosed this at the presentation of Group Accident Insurance Cover to members of the National Association of Insurance Correspondents (NAICO) in Lagos. He added that the company is committed to meeting policy holders’ expectations.

    Efekoha said the company takes payment of claims as a priority because the value it places on its clients, adding that the company will always ensure that its underwriting is healthy and professionally handled.

    He stated that insurance is driven by referrals and customers’ recommendation.

    He said: “For us as a company, we recognise that we are in business to pay claims. Therefore, we must operate and ensure we do not fail. When we do that, satisfied clients will recommend themselves and other people to us. So it’s a business that is built on referrals such that existing clients will refer you when you have done well and we will continue to do that in the mist of changing environment.”

    He noted that despite the harsh business environment and challenging regulatory regime, the company has continued to witness upward movement in growth fundamentals.

    He said the firm is happy with where it is, having achieved a very modest growth, stressing that the key driver of its business from the start is its people including the staff and the board.

    He noted that the weight of premium receivables in the industry has been a challenge to operators under a changing regulatory regime.