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AM Best Assigns Credit Ratings To WAICA Re

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AM Best has assigned a Financial Strength Rating of B+ (Good) and a Long-Term Issuer Credit Rating of “bbb-” to WAICA Reinsurance Corporation PLC (WAICA Re) (Sierra Leone). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect WAICA Re’s balance sheet strength, which AM Best categorises as very strong, as well as its strong operating performance, limited business profile and marginal enterprise risk management.

WAICA Re’s balance sheet strength is underpinned by the strongest level of risk-adjusted capitalisation, as measured by Best’s Capital Adequacy Ratio. The assessment considers the company’s conservative investment strategy, with the majority of the portfolio held as cash and deposits, and low level of retrocession dependence. A partially offsetting factor is the company’s exposure to the significant economic, political and financial system risks associated with the countries where WAICA Re operates, which include Nigeria, Ghana and Sierra Leone.

WAICA Re has a track record of strong operating performance, demonstrated by a five-year (2015-2019) weighted average combined ratio and return on equity of 87.0% and 9.5%, respectively. Prospective earnings are expected to remain strong, underpinned by solid technical performance, and complemented by positive, albeit modest, investment returns, reflecting the low-yielding assets in which the company primarily invests.

AM Best considers WAICA Re’s business profile to be limited owing to its relatively small size and geographic concentration of business in Nigeria and Ghana.
The company reported gross written premium of USD 64.5 million in 2019.
Whilst AM Best expects WAICA Re to grow its premium base gradually through diversification into other markets, business will continue to originate primarily from Nigeria and Ghana.

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Insurance

JAMB Shifts 2021 UTME To June 19

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JAMB Shifts 2021 UTME To June 19

The 2021 Unified Tertiary Matriculation Examination(UTME) has been moved from June 19 to July 3, Registrar of the Joint Admissions and Matriculation Board (JAMB), Prof Is-haq Oloyede has announced.

He made the announcement at a press conference on Saturday in Abuja.

The examination was slated to hold between June 5 and 19.

The registrar also announced an extension registration for the examination by two weeks.

The registration exercise will now end on May 29.

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ILO, IFC Partner To Reduce Insurance Protection Gap For Women

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The ILO’s Impact Insurance Facility and IFC Women’s Insurance Program have launched a joint Women’s Insurance Community of Practice to raise awareness about the insurance needs of women and to highlight the market opportunity for insurers if they target women as customers and employees.

The Community of Practice, which consists of 43 representatives from 21 organisations in 16 countries, will also foster learning and knowledge sharing among the group members and with external audiences.

Closing the gaps in economic participation of women and men drives the growth of businesses and economies and improves the lives of families and communities. While women around the globe have rising incomes and increased buying power, they remain an underserved community across financial services.

Henriette Kolb, Manager, Gender and Economic Inclusion Group, IFC said: “At IFC, we are focused on ‘creating markets’ that are competitive, sustainable, inclusive, and resilient. The insurance sector is critical to this effort but cannot perform to its full potential without actively targeting women as customers. In light of COVID-19, gender sensitive approaches have become even more important than before. Early research on the economic consequences of COVID-19 suggests that this pandemic is likely to widen the gender gap.”

Craig Churchill, Chief of Social Finance Programme, ILO said: “We are delighted to be working with IFC on this important project. We look forward to realizing the power of the Community of Practice; as a group, participants can go further and faster than individual companies might on their own.”

According to IFC’s 2015 SheforShield report, if the insurance industry were to target women as customers, they can earn up to US$1.7 trillion by 2030—half of it in emerging economies.

The ILO’s Impact Insurance Facility
The ILO’s Social Finance Programme works with the financial sector to enable it to contribute to the ILO’s Decent Work Agenda. In this context, we engage with banks, microfinance institutions, credit unions, insurers, investors and others to test new financial products, approaches and processes.

The Impact Insurance Facility contributes to the Social Finance agenda by collaborating with the insurance industry, governments and partners to realize the potential of insurance for social and economic development. A key priority is ensuring the financial inclusion of women, thereby closing the gender protection gap.

The IFC Women’s Insurance Program works alongside the private sector to create women’s insurance markets, particularly in the most challenging places. It helps develop innovative solutions to address the risk mitigation and financial protection needs of women at every stage of their life. IFC works closely with its clients to increase their customer base and revenue from women, thereby supporting women’s access to insurance and boosting their employment opportunities as agents and distributors.

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Motor Insurance: Insurers Move To Partner 5 States

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Motor Insurance: Insurers Move To Partner 5 States

 

The Nigerian Insurers Association (NIA) have commenced moves to collaborate with the government of Kaduna, Niger, Kogi and Ogun States to ensure motorists have genuine insurance cover, thereby helping the insurance industry to generate more income.

The association partnered Lagos State in the past through their licensing offices.

The chairman of NIA, Mr. Ganiyu Musa, who confirmed this development at press briefing in Lagos, said the industry is embittered about what it is losing to insurance racketeers and non-insurance of vehicles.

He disclosed that the association plans to partner with the other state government, in this, regard, in due course.

According to him, “we are also working closely with the state vehicle Inspection service on enforcement of Third Party Motor Insurance in the state. We are also engaging Niger, Kaduna, Kogi and Ogun States, and remain hopeful that other states will see value in the platform and embrace it. Out of the estimated 13 million vehicles in Nigeria, only about 2,939,767 Third Party Motor policies are in force as at Apr 26, 2021.”

Musa, who is also the group managing director of Cornerstone Insurance Plc, disclosed that the association is also partnering with the Federal Roads Safety Corps (FRSC) and the police to give them access to the Nigerian Insurance Industry Portal (NIIP), such that, when a vehicle is stopped on the road, they can check whether such vehicle carries fake or genuine insurance certificates.

Speaking on the Nigerian Insurance Industry Database /Nigerian Insurance Industry Portal (NIID/NIIP), Musa said: “The Nigerian Insurance Industry database was established to reduce soft market practices and eliminate fake insurance policies. The Association has taken a step further by creating the Nigerian Insurance Industry platform to enable vehicle owners purchase their third-party motor vehicle insurance cover from the comfort of their homes and telephones. So far, we are seeing a lot of traction on the platform across the states of the Federation and we are hopeful that other states will key into the project before the end of the year.”

On the Marine Module, he said: “As you are probably aware, the Central Bank of Nigeria has since integrated the NIA Marine Module into the National Trade portal and all insurance certificates required for import and export are generated from the Portal.  This, no doubt, signals the end of fake Marine Insurance Certificates at the Ports.”

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