Universal Insurance Plc has reported a strong set of results for the June (H1) 2023 period, with an underwriting profit of N1.27 billion, a significant increase from H1 2022’s N954.18 million.
The strong underwriting result was driven by relatively lower major claims in the period, as the combined ratio of 92.16 percent is lower than the 100 percent, which validates favorable underwriting results.
Major claims represented -6 percent of the combined ratio, as there were claims expenses recovery from reinsurance of N275.15 million.
Universal Insurance N109.18 million, compared to H1 2022’s investment gain of N87.43 million.
The better underwriting and investment performance saw profit before tax reach N948.17 million, which represents a 19.16 percent increase from 2022’s N795.17 million.
In H1 2023, Universal Insurance saw gross written premium spiked by 51.16 percent to N5.20 billion in June 2023 from N3.44 billion as at June 2022.
A bullet proof balance sheet means the insurer can support its customers through a range of shocks and scenarios as improved underwriting results and an uptick in investment returns continues to support capital.
The company has been consistent in claims payment, which validates customers’ confidence that they will be compensated for unexpected or unavoidable losses.
It paid N471.5 million claims to Next Cash and Carry, a supermarket in the Federal Capital Territory that got burnt as a result of a fire incident that took place in December, 2021.
“We understand the importance of prompt claims settlement, and we remain steadfast in our resolve to deliver on our promises to our valued clients,” said Benedict, Managing Director and Chief Executive Officer of the Company.