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Law Union and Rock Insurance Plc, posted a Gross Premium Income of N3.93 billion in 2016, its Chairman, Remi Babalola, has said.
This was disclosed at the 48th Annual General Meeting (AGM) of the underwriting firm in Lagos, also showed the firm increased marginally in its top-line whilst it recorded a significant growth in the bottom-line.
According to him, the company ended the year with N3.935 billion Gross Premium Written compared to N3.858 billion recorded in 2015. Profit before Tax grew by over 100 per cent from N328 million in 2015 to N658 million.
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He said total assets grew by 3.72 per cent to N8.580 billion while shareholders’ funds grew by 13.03 per cent from N4.458 billion to N5.039 billion in 2016.
Babalola said the Company’s mantra remains “unfailing and prompt settlement of all claims” with Claims Paying Ability (CPA) rating of A-, adding that the company paid out N1.454 billion in 2016.
In the report at the meeting, Babalola said by the approval of the shareholders to raise additional capital by way of private placement to the tune of 1,031,199,000 ordinary shares of 50 Kobo at 70 Kobo per share, requisite regulatory approvals were obtained for the placement issue.
According to him, consequent upon a conditional approval issued by the National Insurance Commission, that the investor’s post-placement position should not exceed 20 per cent of the Company’s equity, the placement was 83.3 per cent subscribed, thus bringing the total shares subscribed to 859,000,000 ordinary shares. The additional capital raised is expected to significantly enhance the Company’s operations and boost its capacity to play in the oil & gas and engineering subsectors of the insurance space.
