Nigeria Liability Insurance Pool targets oil, gas, energy risks in long term growth plan

The Nigeria Liability Insurance Pool says it looks to the current year (2017) with positivity and focusing on long term sustainable growth from businesses in oil, gas and energy liability pool.

According to the company, the pool is poised to deliver on positive projections for continued growth and improved performance,

Edwin Igbiti, chairman of the Pool said at its Annual General Meeting in Lagos that to reach this goal, the pool Management with the support of the Board is determined to deploy all the available resources to build long term sustainable value for its stakeholders in the years ahead.

“The areas in focus amongst others are the new emerging liability risks, such as oil and gas and energy liability risks.”

Igbiti who was represented at the meeting by another director in the Pool, Jide Orimolade said “the pool management has been upbeat about the commencement of business in these areas and hopefully it will take off before the year 2017 runs out.

Meanwhile, from the pool’s profit of N130.87 million in the 2016 financial year, the directors recommended a dividend payout of N73.28 million, translating to 73.29 kobo.

In the financial year ended December 2016, the Pool recorded a gross premium income of N819.6 million, a 1.46 percent increase over the previous year’s figure of N807.85 million.

Out of the total income, motor business accounted for 53.9 percent; workmen’s compensation 14.25 percent; public liability 25.28 percent and professional indemnity 3.83 percent.

Others are directors and officers liability 2.30 percent; while both employer’s liability and builders and owners liability contributed 0.29 percent and 0.15 percent respectively to the total gross premium.

According to Igbiti, underwriting profit dropped to N151.39 million, a 39.15 percent lower than the previous year’s figure of N248.79 million, which was a as result of high claims paid.

The specific impact is that motor class recorded an underwriting loss of N5.90 million, though the effect of the loss was cushioned by surplus recorded in other classes of business.