By Chinwendu Obienyi
Underwriting firm, Sovereign Trust Insurance Plc has weathered the storm to post strong performance in the 2020 full year accounts in spite of the challenging operating environment that year, largely due to the effects of the COVID-19 pandemic and the seeming lull in the economy.
The company during the period under review recorded a leap of 37 per cent in its Profit after Tax (PAT) to N687 million as against N503 million recorded in year 2019. The Gross Premium written in 2020 stood at N11.1billion compared to the N10.8 billion written in 2019, representing a marginal increase of 2 per cent.
Olaotan Soyinka, managing director/CEO of the firm, said the development is an encouraging one considering the level of work that was put in place in 2020.
Another interesting highlight of the 2020 accounts which could be the rise in the Company’s Total Assets from N13.4 billion to N14.8 billion in 2020, representing 11 per cent increase, the CEO said.
Just as the company grew its balance sheet in the r year, so it also increases its claims payout to its customers.
In 2020, a total of N3.48 billion was paid as claims against N2.2 billion the previous year. This in a way underscores the Company’s claims paying ability coupled with the company’s renewed attention at delighting her customers. The net premium income of the Company also grew by 10 percent from N5.9 billion to N6.5 billion in 2020.
Olaotan Soyinka while briefing newsmen in Lagos said the management of the Company is committed to meeting and surpassing the expectations and aspirations of its shareholders and stakeholders alike.
“These performance levels are a confirmation of the management’s determination to effectively and strategically position the Company as one of the leading firms in the country’s insurance business, while at the same time, propel to a profitable height for shareholders’ delight” in the years ahead.