The Acting Chairman, Prestige Insurance Plc, Mr Muftau Oyegunle, has said the company has imbibed stronger structures to enhance the company’s growth, profit and increased earnings to shareholders in Year 2020.
Oyegunle disclosed this at Prestige Insurance Plc 49th Annual General Meeting (AGM) held in Lagos on July 29, 2019.
The company’s acting chairman said that in spite of the challenging operating environment in 2018 the company was able to build the structures that enabled it to underwrite healthy business volume.
He said the company sought valuable guidance, built strong management and staff support system, customer orientation models and protected Shareholders’ Holding Rights among others.
Oyegunle said the structures boosted the company’s 2018 financial delivery which the company was already building on towards 2020.
News Agency of Nigeria (NAN) reports that the underwriting firm is also planning to evolve fresh products and will capitilise on the new minimum wage bill recently passed and accented to by the Federal Government
He posited that the company’s insurance premium would receive more boost as disposable income improved.
Presenting the company’s 2018 financial report, Oyegunle said the company’s Gross Written Premium (GWP) rose to N4.79 billion from GPW of N3.80 billion in 2017.
“This represents 26 per cent increase,” he said.
He said the claims paid in year under review rose to N1.23 billion compared to N655 million paid in 2017.
The company’s Acting Chairman maintained that the firm’s balance sheet improved as the total assets rose to N13.02 billion compared to N11.77 billion in 2017.
Oyegunle said the company’s Investment Income rose to N1.41 billion compared to N1.39 billion of 2017.
Oyegunle further said the company was ready scale up its capital base as directed by the National Insurance Commission (NAICOM).
He said, “it is no longer news that NAICOM has increased the minimum capital requirements of the general insurance business to N10 billion, effective from June 30, 2020.
“To this effect, Prestige Insurance Plc is moving from N3 billion capital base it is currently operating on to N10 billion.
He said the company would achieve the N10 billion capital base requirements by issuing 14 billion ordinary shares at 50k each.
A dividend of 30k per share was declared for the year under review.