CIC Insurance Group Plc on Wednesday swung to the full year 2021 profit from a loss the corresponding year.
The insurer posted Ksh.668.4 million profit compared to a loss of Ksh 296.8 million in 2020 attributed to improving income and transformational agenda.
During the period, its income grew by 14.3 percent to Ksh.19.2 billion from Ksh.16.8 billion.
The CIC Group comprises CIC Life Assurance Limited, CIC General Insurance Limited, CIC Asset Management Limited, and Takaful Insurance Limited.
General Insurance Business
Gross Written Premium was up 12 percent to Kshs. 11.4 Billion compared to Kshs. 10.1 Billion in 2020. Profit Before Tax increased by 152 percent from Kshs. 256 Million to Kshs. 644 Million owing to growth in business, improved systems and processes leading to operational efficiency and improved customer experience.
CIC Life Assurance
Gross Written Premium grew by 24 percent from Kshs. 4.9 Billion to Kshs. 6.1 Billion driven by Group and ordinary life. Owing to the increased claims driven by Covid- 19 pandemic, the company recorded a loss before tax of Kshs. 79 Million.
CIC Asset Management
Assets under management grew to Kshs. 94.5 Billion compared to Kshs. 80.6 Billion in 2020 representing a 17 percent increase.
The Company made a Profit Before Tax of Kshs. 523 Million compared to 361 Million the previous year, an increase of 45percent.
The company continues to be a market leader in the Unit trust business with a 42 percent market share.
“The focus on research and development will be key as well as innovation ensuring capacity to expand our product offering and thus enhance product performance and customer experience. Additionally, group-wide operational efficiency focusing on cost optimization, systems uptime, and process re-engineering is of critical importance and a focus area by the Group,” the Group said in a statement on its growth outlook.
“The key focus is to significantly improve the Underwriting profit for all our businesses in Kenya and the region.”
The board of CIC Group has not recommended the payment of a final dividend in the period.
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