Zenith General Insurance records 16% increase in profit
Zenith General Insurance Limited in its full-year financial statement for 2019 recorded a 16% increase in pretax profit to ₦3.67 billion from ₦3.16 billion in 2018. Also, after taxes profit jerked up by 10% from ₦2.79 billion to ₦3.06 billion.
The company maintained a robust balance sheet closing the year with total assets of ₦40.1 billion and a shareholders’ fund of ₦25.9 billion.
Its gross premium grew by 17% from ₦13.7 billion to ₦16.1 billion. However, it achieved a 46% growth in underwriting profit from ₦2.77 billion to ₦4.06 billion. In 2019, the company made substantial gains from reduced claim expenses and healthy growth in gross written premiums.
Investment income showed an increase of 2%, up from ₦3.55 billion in 2018 to ₦3.63 billion in 2019 despite lower yields on most investment classes.
Commenting on the financial results, the Managing Director/CEO, Mr. Kehinde Borisade said we are re-affirming our mission statement that Zenith General Insurance Ltd exists to ensure peace of mind and also create value to people in a world of uncertainties.
The insurance boss said this is evident in our strong financial performance showing improvement across the board.
These include increased premium income, underwriting profits and investment income despite the economic headwinds witnessed in various sectors of the economy.
“We also ensured prompt settlement of claims with total claims payment of ₦3.8 billion for the year and an average settlement turnaround time of three days.”
Borisade said: “our company has continued to maintain a very strong and healthy financial position with a growth of 6% on total assets, and a 4% increase in shareholders’ funds.
“We also continue to strive to be the best in the insurance industry; maintaining the strongest solvency position and closing the year with a solvency ratio of 726%”. Zenith Insurance is one of Nigeria’s leading insurance institutions.
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The company is one of the first insurance companies to have met the recapitalisation requirements of the National Insurance Commission. Zenith General Insurance met the requirement by recapitalising its share capital from ₦3 billion to ₦10 billion.
Zenith General Insurance records 16% increase in profit
