Mutual Benefits bemoans 32% decline in profit

As operators in the insurance sector churn out their performance in the last financial year, Mutual Benefits Assurance Plc has seen reason to laments its poor insurance business prospect during the period as the underwriting firm’s profit declined by 32 per cent.

Blaming the development on adverse claims experience, which saw the profit drop from N5.40 billion in 2019 to N3.68 billion in 2020, the Chairman of the company, Dr Akin Ogunbiyi, disclosed at the company’s 25th Annual General Meeting (AGM) in Lagos, that while the new year did not necessarily provide significant relief from the effects of the pandemic, it, however, presented another opportunity to consolidate on the tremendous feats made towards becoming the one-stop-shop for provision of financial services solutions in all its countries of operations.

According to him,” even as the business environment remains challenging due to economic uncertainty, our diversified business model, strong capital position and highly qualified and committed employees, provide the solid base for protable and resilient growth.”

In other results, the chairman said the firm posted a growth of only seven per cent in its gross premium is written for the full year ended December 31, 2020.

“Despite the headwinds posed by COVID- 19, the group gross premium is written (GPW) roads from N18.70 billion in 2019 to N19.98 billion in 2020”, he said.