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Anchor Insurance Grows Profit By 99% In 2021

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By Sola Alabadan

Anchor Insurance Company Limited grew its Profit Before Tax from N336.55 million in 2020 to N1.02 billion in 2021, representing a whopping 203.13% increase, while its Profit After Tax rose from N436.49 million in 2020 to N867.55 million in 2021, showing about 99% growth.
The company’s Chairman, Dr. Elijah Akpan, who addressed shareholders at the company’s annual general meeting in Lagos recently, said the insurance firm grew its gross written premium from N6.8 billion in 2020 to N10.4 billion in 2021, representing an increase of about 54 percent.
Akpan said: “2021 was generally acknowledged as a year of recovery for businesses, having suffered gross drawbacks following the lockdowns that greeted the global health pandemic in 2020. Despite the challenges businesses faced while trying to regain their full feet, we came out of the year with a gross written premium of N10.4bn as against the N6.8bn achieved in 2020. This indicates a 54.43% performance over the results of 2020.”
“The Company’s Total Assets grew from N13.54bn in 2020 to N15.49bn in 2021, indicating a 14.33% rise. Similarly, the Shareholders’ Funds had a 13.76% positive change from N5.67bn in 2020 to N6.45bn at the end of 2021.”
Also speaking, Managing Director/CEO of the company, Mr. Ebose Augustine said that regular claims payment has always set the company apart from others.
He said: “We held on to our avowed regular claims payment policy which has continued to set us apart in the competition. We paid a total sum of N997.42m as claims to genuine affected policyholders as against the N1.29bn response in 2020. This shows a 22.62% positive drop in claims paid. This positive claims management was a direct result of the improvement the Claims Team has continued to make. The Team’s thorough investigations and assessments have severally saved the Company from incurring fraudulent claims.
“We would have surpassed the above income generated if premiums for most businesses (mainly in the public and financial sectors) we had concluded were paid.”
On dividend payment, Augustine noted that in keeping with the Company’s avowed policy to always make its shareholders smile, it paid a dividend of 4.5kobo per share to the owners of the business for the 2021 financial year as against the 40k it paid to them in 2020.
“The Board assured the shareholders it would keep the trend increasing proposed figure for dividend as the profit margin continues to gain such yearly momentum.”
On future outlook, Augustine stated: “Though the National Insurance Commission has suspended its ordered industry recapitalization, we will pursue the recapitalization of our dear Anchor Insurance Company to its quickest conclusion, knowing the advantages available for the Company when achieved.
“We will look at creating more people-oriented retail products as further multiple premium generation channels. We value our Management and Staff for their dedication and ownership spirit in the discharge of their duties. They are directly responsible for the good report the Company turns in each year. The Board will work closely with the Management and ensure that appropriate welfare rewards are extended to all deserving hands in the Company’s employ.”
The inauguration of the new executives of the National Association of Insurance and Pension Correspondents (NAIPCO) was recently co-sponsored by Anchor Insurance and two other insurance firms.

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Business

NAICOM Counsels Edo Government, Residents, To Embrace Insurance

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Karachi Anyanwu, National Insurance Commission (left); Rasaaq Salami, Head of Corporate Communications and Market Development, NAICOM; Bar. Osarodion Ogie, Secretary to Edo State Government; Adeyemi Abubakar, Assistant Director, NAICOM and, John Osagie, Chairman of Edo State Internal Revenue Services at the meeting between NAICOM and the Edo State Government in Benin City on Thursday.

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Elumelu Charges Insurance Brokers To Lead War Against Unethical Practices

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By Sola Alabadan

The Chairman of Heirs Holdings, Tony Elumelu, has charged the Nigerian Council Of Registered Insurance Brokers (NCRIB) to lead the war against unethical practices, such as: premium rate cutting, delayed premium remittance, unremitted premium, overloading of premium, returned premium, fake documents, that have been the bane of the nation’s insurance industry for years.

Elumelu, who gave this charge during the 60th Anniversary celebration of NCRIB in Lagos on Thursday, listed other unethical practices to include:
fraudulent claims, collusion to defraud, mis-selling, unhealthy competition, misrepresentations, manipulation of policy conditions, self-enrichment methods disguised as marketing expenses, among others.

While the National Insurance Commission (NAICOM) continues to play its role as the industry regulator, he said the NCRIB, as a body, must ensure that appropriate sanctions are imposed on any of its members found engaging in unethical practices.

He also advocated for the recapitalisation of the brokerage industry in our country, saying the minimum capital base should be increased to N50 million, noting that N5 million is not enough as capital base.

In the area of Governance, he said the industry need to enforce strict adherence to corporate governance by all NCRIB members, while weeding out non-registered and non-compliant members from its fold.

He said the non-registered brokers are the ones tarnishing the image of the broking profession and the industry at large.

Elumelu called on the insurance operators to create more awareness about insurance and showcase the value of insurance to the public, promoting participation, most especially in the retail space.

Insurance brokers, he added, need to participate fully in this drive to bridge the insurance knowledge gap if the industry is desirous to make insurance attractive to Nigerians.

As the insurance brokers have been recognised as corporate insurance specialists, he stated that “It is high time the brokers community began to shift focus to retail because this is where the future of insurance lies in Nigeria. Brokers have the capacity to lead in this area.”

While pointing out that innovation and disruptive practices cannot occur if the operators do not broaden their thinking, he said “Trying to make profits from existing lines is not going to deepen insurance penetration, rather we must look at the blue ocean opportunities.

“This is something I task the management of the insurance companies to constantly think of in product development and deployment.”

To remain relevant in the modern business arena, the insurance broker community and, by extension, the entire Nigerian insurance industry, must embrace technology fully, he further advised.

Besides, he said there is urgent need to develop the next generation of talent to serve the Nigerian insurance industry.

He emphasised that the broker community should rally and become the hub for the education and training of our youths to get qualified talent for the next phase of the industry, adding that “We need to raise the profile of our insurance professionals, make it attractive for the younger generation.”

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Leadway Graduate Trainee Programme Graduates 30 Young Professionals

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Leadway Assurance Company Limited has graduated 34 young professionals following their successful completion of the company’s 2022 Graduate Trainee Programme, and the successful trainees have been inducted into its diverse business portfolios.
The six-month programme equips young graduates with the relevant skill set required to thrive in the dynamic and ever-evolving workforce.
The training modules dealt with problem-solving, networking, technical and soft skills, workplace culture, digital proficiency for self-development, and professional capabilities preparing the trainees to serve in different departments across the diverse verticals of the business.
Speaking at the graduation ceremony recently, Managing Director of Leadway Assurance, Tunde Hassan-Odukale, stated that the Graduate Trainee programme aligns with the organisation’s corporate twin mandate of providing career opportunities and upskilling Nigeria’s growing young, vibrant and productive population. The programme also strengthens its workforce with the right talent pool for its ambitious growth objectives.
“Our people are the centre-point of our continued marketplace performance and at the core of the organisation’s value creation. So, it is pertinent that we house the best talents in the industry to drive our objectives within the frames of our values and in alignment with the company’s vision and leadership position in the African insurance marketplace.
The Leadway Graduate Trainee Programme is designed to achieve a sustained pool of the required elite skills and talents by initiating young, promising, dynamic, future-centric minds into a comprehensive upskilling process that tunes them towards actualising the mandate of advancing our esteemed ethos.
“We are optimistic that the skills, innovation, and creativity that this programme unleashes satisfy the expectations of our cultural, strategic and operational requirements. We are confident that the training and onboarding of these young professionals further validates our profile as a youth-oriented and future-forward organisation.
“I would like to congratulate and celebrate the 2022 Leadway Graduate Trainees. Their successful induction is a testament to the tenacity, hard work, and commitment deployed during the six-month rigorous tutelage”, he added.

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