Lead Underwriter NEM Insurance Plc, said it expects to grow its profit after tax for the fourth quarter (4Q) ending 31st December 2020 by 35.88% to N3.255 billion by the over N2.395 billion in 2019.
The insurer disclosed this in a notice to the Nigerian Stock Exchange, projecting a gross premiums written of N23 billion when compared to N19.760 billion in 2019.
The company further projected a growth of N20.177 billion for gross premiums earned as against N19.260 billion reported in 2019.
The notice to the exchange also noted that is forecasting cash and cash equivalents to iN10.086 billion in 2020 from N8.102 billion projected in 2019.
NEM Insurance had posted a gross premium of N19.8 billion in 2019 for the financial year ended 31, December 2019 as against N15.04 billion generated in the preceding year 2018; an increase of 31.3 per cent.
The firm’s net premium earned during the period under review was N12.6 billion, 18 per cent increase over the preceding period of 2018 which recorded N10.7 billion.
Gross claims of N7.4 billion was incurred in 2019 and that of 2018 was N6.01 billion; an increase of 22.7 per cent, while the gross claims ratio was 2.7 per cent lower than that of the previous period of 2018.
The ratio for 2019 was 37.3 per cent and that of 2018 was 40 per cent.
“In the same vain, the Net Claims expenses of N3.9 billion incurred in 2019 was 54.1 per cent higher than that of the preceding period which recorded N2.6 billion. The Net Claims ratio for the period under review was 31.2 per cent as against that of 2018 that was 23.9 per cent, an increase of 7.3 per cent.