Prime Business AfricaThe total premium collected by AIICO Insurance in 2024 was N159.31 billion, 44.67 percent higher than the N110.11 billion paid by policyholders in 2023.
Checks by Prime Business Africa showed that the amount paid by the company’s customers to keep their insurance policy active last year surpassed the N140.96 billion projected by the company.
Join our WhatsApp ChannelAIICO’s insurance revenue from insurance services also exceeded the N90.79 billion forecasted, as the company reported N108.26 billion last year, according to the insurer’s financial statements for the year ended December 31 2024.
The insurance revenue filed was 48.79 percent higher than the N72.76 billion reported the year before.
However, AIICO incurred more claims and expenses than forecasted (N76.68 billion) as its insurance service expense rose by 32.94 percent from N65.62 billion to N87.24 billion.
The insurer continued to eclipse its projections, with net expenses from reinsurance contracts reaching N24.54 billion – up by 180.41 percent from 2023’s N8.75 billion – compared to the N10.64 billion forecasted.
But AIICO’s insurance service result, the difference between insurance revenue and the claims and expenses, declined as projected, plunging by 33.34 percent from N5.47 billion to N3.64 billion, which is marginally above the N3.45 billion forecasted.
However, the profit before tax (PBT) did not go as predicted by the insurance company, after AIICO reported N15.13 billion for 2024, which is below the N17.60 billion penned in its earnings forecast.
Although the PBT recorded last year was 20.85 percent higher than the N12.52 billion profit before tax filed in 2023.
The income tax (N1.52 billion) paid by AIICO in 2024 also exceeded the N880.22 billion forecasted, and was 290 percent above the N390.60 million paid the year before.
As a result, the profit after tax (PAT) grew by just 12.19 percent year-on-year, compared to the 37.8 percent growth projected, as AICO forecasted a net income of N16.72 billion for last year.
However, the company generated N13.61 billion net income in 2024, slightly above the profit after tax of N12.13 billion recorded in the previous year.
