NEM Insurance records marginal profit for Q1 ’21 as it sees 3% rise in PAT

Zainab Iwayemi

NEM Insurance Plc has recorded a slight increase (3 percent) in Profit After Tax, PAT valued at N1.09 billion in the first quarter of 2021 against the N1.05 billion it recorded during the same period in 2020.

The unaudited account made available on the Nigerian Exchange Group shows that the gross premium written saw a significant increase in first-quarter 2021 as it amounted  to N10 billion while the amount recorded for the same period last year was valued at N7.9 billion.

The gross premium earned during the first quarter, this year reached a value of N9.36 against the N6.95 last year while the net premium income climbed N7.04 billion from the N4.8 billion last year. Similarly, the net underwriting income stood at N7.48 billion against the N5.27 billion recorded last year.

Also, claims expenses and underwriting expenses improved greatly to close at N2.5 billion and N3.2 billion compared to the same period of last year at N1.3 billion and N2 billion respectively while underwriting profit and investment income which amounted to N1.8 billion and N288 million during the first quarter this year shows a paltry decline compared to the previous year’s. The profit before tax however closed at N1.29 billion compared to last year’s at N1.25 billion in the first quarter of 2021.

Notably, NEM Insurance recently saw changes – that brought in Idowu Semowo as the new Chief Financial Officer, CFO to manage the financial action of the firm – to its board.