Guinea Insurance Plc reported that it paid N142 million in claims to its clients during the fiscal year 2022.
According to The PUNCH, during the 65th annual general meeting of the firm in Lagos, the Chairman of the company, Mr. Ugochukwu Godson, revealed this while presenting the audited financial results for the fiscal year ended December 31, 2022.
“Claims expenses in 2022 amounted to N142m, which is a 194.63 percent increase over the N48.2m reported in 2021, as an indicator that the company met its commitments to policyholders by settling claims efficiently and effectively,” he stated.
According to the report he presented, the report’s highlights included gross premium written, which increased by 0.22 percent to N1.359 billion from N1.356 billion in 2021; gross premium income, which increased by 3.73 percent to N1.39 billion in 2022 from N1.34 billion in 2021; and net premium income, which increased to N960 million in 2022 from N879 million in 2021, representing a 9.18% increase.
“The company’s entry into new markets, along with enhanced underwriting and risk management procedures, were the reasons for this growth,” he stated.
Nonetheless, he added, the business changed and put specific expansion plans into action in order to fulfill its goal of long-term success and expansion.
“The company’s expansion initiatives were critical, requiring significant upfront expenses such as increased operating costs, capital investments, and research and development expenditures,” the chairman stated.
“The company’s financial performance was temporarily impacted by these variables, which resulted in a noticeable increase in the loss after taxes. More specifically, the substantial increase of 176.50% was accounted for by the loss after tax, which increased from N23.4 million in 2021 to N64.7 million in 2022.”
He stated that income tax expense in 2022 was N7.9 million, a 78.40 percent increase over the N36.5 million reported in 2021, due to the company’s implementation of successful tax planning methods.
