AIICO Insurance tops premium by 49%, but dips profit by 8%

By Zainab Iwayemi

AIICO Insurance, in its financial statement made available on the Nigerian Stock Exchange reported growth in its Gross Premiums Written by 49 percent in the fiscal year 2020 as a group. In spite of this, it dipped in profit for the year by N738 million representing a 13 percent decline compared to the profit recorded the previous year at N5.7 billion.

From the financial statement, the gross premium income and net premium income for the year 2020 totaled N60 billion and N52 billion respectively, as both items indicated a 22 percent rise as against the N10 billion and N8 billion recorded the previous year while the claim expenses for the period under study climbed up by 25 percent to close at N31 billion.

The profit dip is affected by the underwriting loss and other comprehensive loss which was recorded as the year 2020 saw the underwriting firm account for an underwriting loss of N36 billion as against the N7.7 billion loss recorded the year before. Similarly, other comprehensive loss also amounted to N2.7 billion as against the N2.86 billion profit recorded the previous year.

Meanwhile the insurance firm in its new corporate aspiration; where it redefined its vision and mission, has expressed its determination to take up industry leadership and market dominance in the insurance sector using a customer-centric and value-driven approach to business.

It stated that its new vision is; to be the dominant insurer in Sub-Saharan Africa, built on a deep understanding of customer needs and world-class digital experience, while it mission is; to create the most compelling customer experience by offering best-fit products to drive wholesome peace of mind through a dynamic, highly motivated workforce and innovative technology.

Babatunde Fajemirokun, the company’s Managing Director and Chief Executive Office, while speaking on the new development noted that AIICO Insurance will fully adopt digitization in its quest to provide a unique customer experience and differentiation.

“We are reengineering our operations to drive a whole new experience, leveraging an in-depth understanding of their needs through various life stages.

“We will anticipate their needs and exceed their expectations. As we embed customer experience within the culture of the company, we will strengthen our ability to listen and engage customers across our spectrum of touch-points,” he said.

He also added that the company will provide a fast, responsive, and frictionless experience to enable consumers and employees to switch between channels in their journey to fulfillment. “Wherever our customer finds us, be it online, or by walking into any of our branches, they are sure to meet a recognizable and consistent service delivery.

“Our omnichannel strategy will make this possible and would ensure this level of service sticks. We will infuse technology within our operations to drive automation and end-to-end simplicity,” said Fajemirokun.