Insurance

Linkage Assurance Targets Increase In Revenue, Profit 

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5 years ago

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Linkage Assurance PLC strategises to consistently grow its revenue and deliver strong returns and excellent customer experience.
The company’s Managing Director, Mr. Daniel Braie, who stated this while addressing members of the National Association of Insurance and Pension Correspondents (NAIPCO) in Lagos on Tuesday, said the insurer would be leveraging on technology, strategic alliances, and capabilities / insights to provide world-class insurance & risk management solutions.
“Linkage Assurance PLC has the strategic intent of crafting a niche for itself and becoming one of the market leaders in the non-life insurance market in Nigeria. “We recognised that the success criteria for an insurance company are a declining expenses ratio, good risk management and high /diversified distribution efficiency. Digitalisation, innovation, and utilisation of new and efficient technology are also important means for achieving Linkage Assurance PLC success criteria
“The achievement of these require crafting of a strategic road map that enable us to realise both short- and long-term objectives including achieving desired monthly, quarterly, and annual targets and outcomes.”
Braie, who was represented by the firm’s Chief Financial Officer, Mr. Emmanuel Otitolaiye, said the insurance firm has met the N5 billion minimum capital requirements as mandated in the two phases segmented recapitalisation exercise of the National Insurance Commission (NAICOM).
Speaking during the training programme organised by the association, Braie explained how the company was able to meet the 50% recapitalisation threshold.
He stated that as at December 31, 2019, Linkage Assurance PLC’s paid-up Capital was N4 billion, adding that to raise the remaining N1 billion, the firm at her 2019 Annual General Meeting (AGM) held on August 13, 2020, received approval from shareholders to raise the balance from the company’s accumulated retained earnings of N2.4 billion by issuance of two billion bonus shares of N0.50 kobo to existing shareholders valued at N1 billion.
It should be noted that under the two phases segmented NAICOM’s recapitalisation plan, all insurance companies are expected to meet 50% and reinsurance companies 60% of the mandatory recapitalisation requirements on or before December 31, 2020.
The new minimum paid-up Share Capital regime demands that Life insurance operators should raise their minimum paid up share capital from N2 billion to N8 billion; those in General business to jerk up from N3 billion to N10 billion while the reinsurers should increase from N10 billion to N20 billion.
Braie said having met the N5 billion for the first segment, added that the company is working assiduously to ensure that the balance of N5 billion is made available before NAICOM’s September 30, 2021 deadline.
According to him, “Having succeeded in obtaining shareholders’ and regulatory approvals, Linkage Assurance Plc has met the N5 Billion minimum capital requirements as at date earlier than 31st December, 2020 deadline set by NAICOM.
“The balance of N5 Billion would have to be met on or before 30 September 2021 being deadline set by NAICOM and the company has array of options to comfortably achieve this before deadline.”

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