Law Union & Rock settles N1.4bn claims in 2017

From Ngozi Onyeakusi, Lagos

Law Union & Rock Insurance Plc has settled claims worth N4.1 billion to its esteemed customers within the financial year ended 31st December, 2017 against N967.8 million recorded in the comparable period of 2016.
According to the Managing Director, Jide Orimolade, “The company kept its own side of the contract with its teaming customers, paying claims and claims expenses of N1.4 billion, as against N967.8 million in the past year. The positive growth in all the indices in the review year has been attributed to management’s efforts to increase market share and deepen penetration, with launch of new products,” he said.
The firm made a nice outing within the period, as it recorded a profit before tax (PBT) of N1.1 billion as at the end of 2017 financial year from the N658.64 million recorded in 2016, representing a 66.8 per cent increase.
The growth, said Orimolade, was recorded despite the economic headwinds, which characterised the business environment in the past year.
He stated that Profit After Tax (PAT) also appreciated by 62.1 per cent, moving from N561.85 million in 2016 to N910.71 million at the end of the year under review, underscoring the capability of the board and management to enhance shareholder value. “With the profit, shareholders of the company will receive a dividend payout after a long wait of reinvestment and plough back for growth and expansion. The company´s earnings per share stood at 21 kobo, as against 16 kobo the previous year, indicating increased shareholder value.
“The company during the period under review also recorded a gross premium income of N4.25 billion, as against N3.9 billion in 2016, showing an 8 percent increase.”
In the firm’s full year audited result, investment and other income also appreciated remarkably to N912.5 million from N687.3 million in 2016. A quantum growth in total assets of the company was recorded in 2017, which grew by 16.9 per cent, from N8.58 billion in 2016 to N10.03 billion during the period under review.
“The company also kept its own side of the contract with its teaming customers, paying claims and claims expenses of N1.4 billion, as against N967.8 million in the past year. The positive growth in all the indices in the review year has been attributed to management’s efforts to increase market share and deepen penetration, with launch of new products,” he said.
He further stated that the products attracted more premium income into the company’s coffers, and created enough liquidity to grow investment and meet claims obligations.