There is a need for operators to embark on prompt payment of claims to retain public trust and ensure the sector contributes optimally to economic growth.
This was the submission of the acting chairman of the Regency Alliance Insurance Plc, Clem Baiye, at the annual general meeting held virtually in Lagos.
Baiye, while explaining the financial position of his firm, said: “There was an increase of 18.36 per cent in the net claims position in 2021 when compared with that of 2020 as the figure grew from N871.279 million to N1.031 billion.
“The increase, notwithstanding the claim ratio for 2021 (35.07 per cent), is lower than the 35.20 per cent recorded in 2020.”
The chairman said the gross premium generation rose by 31.97 per cent to N5.12 billion in 2021 from N3.88 billion generated in 2020.
The company’s net premium rose by 18.82 per cent from N2.48 billion in 2020 to N2.94 billion in 2021, according to the statement.
The profit before tax was N343.28 million as against N681.14 million recorded last year, while the profit after tax also decreased from N628.59 million in 2020 to N320.75 million in 2021.
The shareholders’ fund grew by 5.07 per cent from N6.33 billion to N6.65 billion in 2021. The total asset base of the group as of December 31, 2021, stood at N11.87 billion, a decrease of N876.5 million or 6.88 per cent when compared with the position of the company as of December 31, 2020.