By Alex C
Mansard Insurance Plc’s 18.12 percent increase in third quarter premium means the Insurer is tapping into the Nigeria robust economy analysis of the financial statement shows. For the first nine months through September 2014, Mansard’s gross premium income increased by 18.12 percent to N10.82 billion from N9.16 billion in the same period of the corresponding year (Q3) 2013.
Underwriting capacity was efficient as net premium income increased by 22.07 percent to N6.54 billion in Q3 2014 compared with N5.34 billion as at Q3 2013. It is also expected that the new auto mobile policy will be a major driver of growth in the Insurance sector.
Despite the upside potentials for the sector, its contribution to the country’s Gross Domestic Product (GDP) was abysmal. Analysts say Insurers should introduce innovative products that will accelerate premiums of operators in Africa’s largest economy Nigeria.
Due to aggressive expansion activities that culminated in increased costs, Mansard’s bottom line took a slight hit as net income reduced by 38.37 percent to N1.14 billion from N1.85 billion in the same period of the preceding year.
Operating expenses were up by 14.50 percent to N2.92 billion in Q3 2014 as against N2.55 billion while underwriting expenses spiked by 20.10 percent to N4.54 billion.
Mansard outstripped other Insurers to win the Insurance and Pension Service Risk award for its ability to incorporate the social factor risk as part of its package, which distinguished the company from other players in the industry. Total assets were up by 24.56 percent to N45.15 billion in the review period from N36.13 billion the preceding year. Total share holders fund increased by 5.49 percent to N15.75 billion in Q3 2014 from N14.93 billion last year.