Niger Insurance Plc achieved a gross premium written of N11.06 billion in 2014 as against N10.44 billion recorded in 2013, representing a growth of 5.95 percent.
The company’s Chairman, Bala Zakariyau, who disclosed this during the 45th annual general meeting of the organisation in Sokoto on Wednesday, said the group profit after tax rose to N690.96 million in 2014 from N627.42 million in 2013 in spite of the challenges in the operating environment.
The management’s ability to cut costs also helped to increase the profit as management expenses reduced by 29.27 percent from N4.68 billion in 2013 to N3.31 billion in 2014.
He also informed that the net premium income of the underwriting outfit increased by about 1.45 percent to N9.79 billion in 2014 from N9.65 billion in 2013.
Niger Insurance is increasing equity in the business and also improving on its insurance fund as investment income grew by 46 percent to N1.15 billion in 2014 from N790.54 million in 2013.
Zakariyau explained that the growth in investment income was due to strict implementation of NAICOM directives on “No Premium No Cover Policy” from January 1, 2014. The policy aims to stimulate liquidity within the system by reducing the huge receivables being carried on the statement of financial position of insurance companies.
A dividend payment of 3.5 kobo per 50 kobo share amounting to N270.88 million was approved by the shareholders at the yearly meeting.