Determined to increase the shareholders’ confidence in the nation’s insurance industry, the 2019 underwriting performance of the sector operators, particularly Profit Before Tax (PBT) are taking upswing. The insurance industry, generally in the past years, has been very challenging for some companies in term of driving policy uptake in the industry.
The Managing Director/Chief Executive Officer of Linkage Assurance Plc, Daniel Braie, in an interview with The Guardian, affirmed that the company’s total assets had appreciated by seven percent to close at N24.72 billion, against N23.15 billion in 2018.
It also recorded sterling improvements in both the top and bottom-lines for the fourth quarter ended 31st December 2019, despite the harsh operating environment.In the company’s Unaudited Fourth Quarter report submitted to the Nigerian Stock Exchange (NSE), Linkage posted a Gross Written Premium(GWP) of N6.52 billion as against N5.59 billion during the same period in 2018, indicating a 21 per cent increase.
From the business generated in 2019 review period, the organisation recorded a Profit BeforeTax (PBT) growth of 902 percent, moving from N134.7 million in 2018 to N1.35 billion during the review period.Profit AfterTax (PAT) also grew to N930.24 million, a 421 percent increase from a loss position of N290.12 million during the same period in 2018.
The sterling performance according to the company has come from improved underwriting performance, as well as from investment returns, which saw the company coming out stronger during the review period.
Underwriting profit rose by 149 percent to close at N375.622 million during the review period, as against loss position of N772.48 million the previous year, while investment also grew by 10 per cent, moving from N2.46 billion in 2018 to N2.71 billion in 2019.
In the statement to the NSE, Braie, said the company will continue to refine its strategy in line with the political, economic, sociological and technological changes within our operating environment.Braie reiterated that the organisation will continue to develop innovative products, alternative channels of distributions and strategic initiatives that will enable us achieve our corporate goals and objectives.“With a medium-to-long term perspective, the company believes that it will benefit from growth from these initiatives,” he said.