Mutual Benefits Records a 33.12% Growth in Gross Premium Written in its Recent Financial Performance

Mutual Benefits Assurance Plc, a general and life/underwriting insurer, has reported fourth-quarter 2023 gross premium written growth of 33.12 percent over the prior-year quarter, as the company continues to record a mark improvement in each segment.

A breakdown of gross premium written shows Non-Life segment was up 52.37 percent to N29.53 billion, while premium from Life business rose by 6.67 percent to N15.03 billion as at December 2023.

For the full-year 2023, net premiums totalled N33.23 billion, an increase of 17.80 percent from 2022.

The growth trajectory in revenue underscores the company’s innovative and market penetrating products, and the deployment of latest technology that has improved claims settlement process.

While a combined ratio of 99.26 percent is higher than 93.84 percent recorded in 2022, the figure is still below the 100 percent threshold.

The company paid N14.34 billion in claims to policy holders in 2023, which is 21.50 percent higher than 2022’s 11.81 billion.

Claims ratio rose to 42.35 percent in the period under review from 41.07 percent the previous year.

Total expense ratio increased to 57.04 percent in December 2023 from 52.77 percent the previous year.

It is noteworthy to note that Mutual Benefit has one of the lowest expense ratio in the insurance industry, validating an excellent cost control strategy as many sector players have capitulated to rising inflation, foreign exchange scarcity, and higher energy costs.

The insurer benefitted from rising interest rates which jack up investment portfolio as investment income grew by 51.70 percent to N3.55 billion as at December 2023 from N2.34 billion as at December 2022.

Shareholders of the company will be smiling to the bank as robust profit growth indicates bumper dividend.

Profit after tax (PAT) surged by 65.92 percent to N5.21 billion in December 2023 from N3.14 billion as at December 2022.