AIICO Insurance reports 19% drop in PAT
By Asishana John
AIICO Insurance recorded a 19 per cent decline in its profit after tax in the frst quarter of 2021 compared to the amount recorded during the same period last year. The fall comes despite the insurer recording a 14 per cent increase in gross premium income (GPI) for the period.
In its financial statement fled to the Nigerian Exchange, AIICO recorded total proft of N1.5 billion against the N1.85 billion recorded in 2020 with premium income and premium written improving at N17 billion and N19.7 billion respectively in the first quarter compared to N15 billion and 17.5 billion recorded last year.
Net premium income also rose by 7 percent to reach N14 billion in the first quarter of the year compared to last year’s at N13 billion. However, underwriting profit improved greatly from a negative figure reaching N27.7 billion in 2021 first quarter, but investment and other income slide by a huge 587 percent during this period.
The insurer recorded claim expenses reaching N10.98 billion in the first three months of the year against the N7 billion it recorded last year driving profit before tax to reach a positive 11 percent rise, but profit after tax slid by 19 percent.
The underwriter had recently redefned its corporate mission and vision in line with its determination to take up industry leadership and market dominance in the insurance sector using a customer-centric and value driven approach to business.
According to AIICO, 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-ft products to drive wholesome peace of mind through a dynamic, highly motivated workforce and innovative technology.”
Speaking on the development, Babatunde Fajemirokun, managing director and chief executive officer, noted that AIICO Insurance will fully adopt digitization in its quest to provide a unique customer experience and diferentiation.
“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 fulfllment.
“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,” Fajemirokun also said.
