AIICO Insurance lifts premium income by 188.45% to N30billion

AIICO Insurance has demonstrated its resilience and dependability with the strong performance recorded in 2016 financial year, irrespective of challenges climes even as premium income grew by 188.45 per cent.

The company’s audited financial statement for the period ended 31 December 2017 released by the Nigerian Stock Exchange (NSE) showed growth in key indices as Gross Premium Written closed at N27.06 billion, from N32.92 billion posted in the corresponding period of 2015, reflecting a -17.78 per cent depression.

Gross Revenue for the period closed 29.41 per cent higher at N38.55 billion, from N29.79 billion in 2015, while Gross Premium Income recorded a 188.45 per cent boost in 2016 at N30.03 billion, over N10.41 billion posted in 2015.

Operating Expenses however increased to N25.90 billion, from N20.39 billion posted in 2015, indicating 26.99 per cent increase.

The reinsurance expenses recorded by AIICO Plc in 2016, declined by 8.75 per cent to N3.34 billion, against N3.66 billion in 2015. Net realized gains dropped to N72.19 million, from N121 million, reflecting -105.98 per cent change.

Net Premium Income rose by 295.46 per cent to N26.69 billion, from N6.75 billion in 2015, net fair value gains depressed to N735.06 million from N91.09 million, accounting for 906.98 per cent drop.

Fee and Commission Income Management Expenses for the period under review grew by 26.48 per cent, to N5.83 billion, over N4.61 billion in 2015.

According to the result, AIICO Insurance in 2016 recorded contracts worth N782.35 million, from N744.07 million in 2015, indicating 5.14 per cent growth, Finance Costs grew by N103.87 million, from N173.19 million in 2015, accounting for -40.03 drop.
Pension and other Contacts for the period stood at N1.33 billion from N1.36 billion in 2015, showing a -1.54 per cent drop.

The insurance company posted Net Underwriting Income of N28.80 billion, from N8.85 billion in 2015, reflecting 225.54 per cent growth.

Profit Income before Tax Expense was N7.39 billion, from N5.73 billion in 2015, accounting for 28.93 per cent growth.

In 2016, AIICO paid net Claims Expenses of N13.1 billion, while in 2015 N10.67 billion was paid indicating 22.76 per cent boost.

Income Tax Expense stood at N2.06 billion, from N1.53 billion, a 34.45 per cent increase, while Underwriting Expenses dropped by 11.39 per cent to N3.26 billion, against N3.68 billion in 2015.