Lasaco Assurance Plc has compensated policyholders who suffered losses on their insured risks in 2024, totalling N13.1 billion.
This insurer, which recently raised an additional N11.1 billion to meet the July 2026 recapitalisation target for the insurance industry, paid its claimants after they suffered disasters on their insured assets and lives, respectively, in a move by the insurer to return the policyholders to the financial positions they were in prior to the disasters.
The N13.1billion claims paid represented over 50 per cent of the N22. 82billion Insurance Revenue generated in its 2024 financial year.
This payment, however, is an improvement over the N6.54 billion paid in its 2023 financial year, an indication that it pays crucial attention to paying genuine claims as and when due.
Speaking during the 45th Annual General Meeting (AGM) at the company’s headquarters in Ikeja, Lagos, on Thursday, the chairman, Mrs Teju Phillips, disclosed to shareholders that the firm’s Insurance Revenue rose to N22.82billion, representing a 25 per cent increase from N18.29 billion in 2023.
She attributed this growth to market penetration and enhanced customer engagement.
Stressing that its profit after tax (PAT) leapt to N1. 54 billion, reflecting an 18 per cent increase from N1.31 billion within the period under review, she added that this achievement underscored the company’s disciplined cost optimisation and operational efficiency.
However, in a bid to strengthen the company, she said, Lasaco Assurance raised N11.1 billion through a private placement, adding an additional 9.25 million shares to its existing shares, to enable it to perform and compete better in the insurance industry.
Assuring that her underwriting firm is driving digital transformation and innovation by investing in various software and omnichannel customer engagement to enhance efficiency and accessibility, she added that, “the company remains committed to sustainability by expanding retail insurance solutions, through targeted policy offerings. Market expansion efforts focus on strengthening current market deepening and leveraging strategic partnerships to deepen reach.”
To ensure long-term competitiveness, she said the company is upskilling its workforce while enhancing its risk management and governance framework through robust stress-testing measures to mitigate currency volatility, regulatory shifts, and geopolitical uncertainties.
“Furthermore, we are actively exploring strategic alliances to co-create embedded insurance products, aligning with Nigeria’s expanding digital economy,” she pointed out.
Responding to the shareholders’ questions on recapitalisation, the managing director/CEO, Mr Razzaq Abiodun, assured them that the insurer was on the right track to recapitalise its Life and Non-life businesses.
Saying that the company’s Shareholders’ Fund was now in excess of N21.4 billion, he added that the additional N11.1 billion in fresh capital raised was also a move in that direction.
He said, “So, we are doing everything possible to meet the deadline. The company will continue to operate with both life and non-life licenses. The recapitalisation plans submitted to the National Insurance Commission (NAICOM) exceeded the regulatory capital benchmark, indicating that the company is moving in the right direction.
“The recapitalisation process is currently ongoing, and we believe we will conclude all the necessary processes and decomposition before the deadline slated for next year.”
