AXA Mansard Insurance, 14 other Insurance companies announce N142.2bn PBT in 2024 

A total of 15 quoted insurance companies on the Nigerian exchange Limited (NGX) declared N142.2 billion profit before tax in unaudited result and accounts for period ended December 31, 2024., about 75.5per cent increase over N81.03 billion reported in 2023 financial year.  

Out of the 15 companies,  research by WESTERN POST showed that Guinea Insurance Plc., Linkage Assurance Plc, NEM Insurance Plc, Regency Assurance Plc and Veritas Kapital Assurance Plc declared decline in profit before tax as AXA Mansard Insurance Plc led others as the most profitable listed insurance company on NGX. 

Guinea Insurance in 2024 unaudited result and accounts reported N162.26 million PBT, about 67.5per cent decline from N499.63 million in 2023, while  Linkage Assurance posted N5.3 billion PBT in 2024, a three per cent drop from N5.46 billion reported in 2023. 

In 2024, NEM Insurance announced N11.31 billion PBT, a decline of 15.17 per cent decline from N13.33 billion in 2023 as  Regency Assurance posted N955.7 million PBT in 2024, a drop of 54 per cent from N2.1 billion reported in 2023. 

In addition,  Veritas Kapital Assurance closed the 2024 unaudited financial at N213.7 million, a drop of 92.8 per cent from N2.98 billion declared in 2023. 

In the period under review, AXA Mansard Insurance announced to investing public N30.98 billion PBT, an increase of 96.4 per cent from N15.77 billion in 2023. 

Coronation Insurance Plc, and Consolidated Hallmark Holdings Plc announced significant increase in PBT  last year. 

As Coronation Insurance declared N13.2 billion PBT in 2024, about 495.5 per cent growth from N2.2 billion in 2023,  Consolidated Hallmark Holdings closed 2024 unaudited with N24.8 billion PBT, a significant increase of 433.4 per cent from N4.65 billion reported in 2023. 

Nigeria’s insurance sector is undergoing significant reforms to modernize and enhance its operations. Part of these reforms include: the Nigeria Insurance Industry Reform Bill, 2024 aimed to consolidate outdated laws to provide a more robust regulatory environment, increased capital requirements, focus on deepening penetration, and claims management and consumer protection.

These reforms represent a significant shift, aiming to modernize the industry and increase its contribution to Nigeria’s economic growth. However, the proposed changes require careful implementation to balance industry development with inclusivity and fairness.

The sector continues to struggle with limited market size, double-digit inflation, and currency devaluation, which affect the ability of companies to meet higher capital requirements, among other challenges.

In the period under review, 14 out of the 15 companies reported N710.36 billion insurance revenue, about 64 per cent growth from N433.5billion declared in the corresponding period of 2023. 

However, these 14  insurance companies generated revenue from life and Non-Life businesses (Oil & gas, Agriculture, Investment management, Property development and Health Maintenance).

In the unaudited 2024 result and accounts to the Exchange, Axamansard Insurance again

 generated the highest insurance revenue, followed by AIICO Insurance, and NEM Insurance.

In 2024, Axamansard Insurance generated N131.34 billion insurance revenue, about 59per cent increase from N82.8 billion reported in 2023, while AIICO Insurance posted N107.06 billion insurance revenue in 2024, representing a growth of 49.5 per cent from N71.63 billion reported in n2023.

In addition, NEM Insurance posted N97.11 billion insurance revenue in 2024, up by 86.77per cent from N51.99 billion reported in 2023. 

The impressive performance of listed insurance companies has contributed to the NGX Insurance Index,  gaining 0.49 per cent in its Year-till-Date performance as of February 07, 2025.

The sector has also faced the fluctuation of the naira impacted foreign exchange availability in the economy, causing the exchange rate to rise both in the official and parallel markets.

The Central Bank of Nigeria (CBN) raised the interest rate from 18.75 per cent to 27.5 per cent between January  and September 2024 to rein in inflation and stabilise the naira.