Niger Insurance To Give Bonus

Niger Insurance Plc has announced that it would reward the shareholders of the company with a bonus of one for 10 for the audited year ended December 2010.

A cursory look at the company’s corporate actions made available to the NSE, also showed that there would be no cash dividend for the review period.

The Profit and Loss Information of the company further showed that the firm made a negative profit after tax (PAT) of N123.661 million compared to negative N2.285 billion in year 2009; indicating an appreciation of 94.6 per cent.

Profit Before Tax (PBT) also moved from negative N2.149 billion in year 2009 to N81.792 million in year 2010, showing a decline of -103.8 per cent in the review period.

Gross earnings also decreased from N7.196 billion in year 2009 to N7.043 billion in year 2010; representing a slight decrease of -2.1 per cent.

A further review of the audited year ended 2009 showed that the firm posted a profit after tax (PAT) negative of N124.754 million in year 2008 compared to N2.285 billion in year, 2009, indicating a loss of 1731.6 per cent in the period under review.

The insurance company also posted a loss in Profit Before Tax (PBT) in year 2008, it recorded N9.805 million compared to N2.149 billion in the review period; representing a loss in PBT of -22017.4 per cent.

Gross premium was N5.177 billion in year 2008 compared to N7.196 billion in the Audited Year Ended 2009; showing an increase in gross premium of 39.0 per cent.

Niger Insurance Plc had in 2010 paid out a total claim of N944.74 million.

The company’s managing director, Mr. Clinton Uranta said that claims payments was not negotiable in Niger Insurance because the company was in business to meet the needs and satisfy the aspirations of its esteemed policy holders.

Giving the break down, he said out of the total amount paid in year 2010, the Group Personal Accident accounted for N55,209,345.75, motor insurance

N190,725,242.87? while fire insurance accounted for N 271,648,972.66.

He also explained that N15,082,548.08 claims was paid on workmen’s compensation.

He said N56,132, 766.52 claims was paid from marine insurance class of the business, while general business accounted for N200,487,055.59 claims and $ 971,576.94 (about N155.45 million) was paid as claims to policy holders in the oil and gas insurance class of the business.

Uranta said Niger had always been prioritising payment of claims to its affected policyholders because the insurance firm recognises the fact that the only credible way it could remain on top of its business was to pay claims as and when due.

He said that the company has equally invested huge sums of money in the installations of the latest information technology which would make its service rendering and patronage faster than anyone could imagine.

The management also restated the company’s commitment to cater for the needs of muslims in the country through the provision of insurance products and services which would address their needs.

Uranta said that the company has designed a product called “Mutual Halal Plan” specifically for Muslims.

He explained that the Mutual Halal Plan is a life insurance scheme with a savings and investment plan based on Islamic profit sharing and reciprocal guarantee principle of al-takaful.

“Mutual Halal Plan aims to encouraging muslim brothers and sisters to save and mobilise fund to meet the financial obligations involved in performing certain religious rites without subjecting themselves to financial hardships,” Uranta stressed.

Under the plan, participants can save regularly for a period that is convenient for them and the accumulated target amount can be used to finance their obligations such as going to perform Hajj, buy ram for Sallah, arrange for wedding, and for the education of one’s child.