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Consolidated Hallmark Insurance targets enhanced income on holding company structure

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Managers of Consolidated Hallmark Insurance Plc said that it is desirous of recording a quantum leap in the company’s income going forward.

It is against this backdrop that the Group Managing Director and Chief Executive Officer of Consolidated Hallmark Insurance Plc Mr Eddie Efekoha revealed of arrangements  for the transformation  of the company into a Holding Company structure.

“Upon approval by the regulators, this will enable us to formalize our diversified operations in other aspects of financial services thus putting us in good stead to optimize advantages derivable from Holdco structures. Benefits like additional income from cross selling of our services to customers across the group would now be tapped vigorously

“The conservative growth of 26.7% in revenue projection for our operations in 2022 is projected on some initiatives. These include expansion in our agency network, full implementation of our cross-selling policy, and increased process efficiency in our technologies to drive digital transactions. We are confident in not only achieving the set target, but surpassing it, with the continued support of our stakeholders” Mr Efekoha had told shareholders at the company’s 27th annual general meeting which held in Lagos.

Speaking earlier, chairman of the company Mr Obinna Ekezie rejoiced that the 2021 business year was   another success story for the company despite the persisting challenges in the operating environment.

“This has helped to ensure our unbroken streak in profitability. Both the top and bottom lines recorded growths as we generated an all-time high Gross Premium Written of N10.5 billion. When compared with the N9.8 billion recorded in the corresponding period of 2020, this represents a growth of 7.4%”, the chairman told shareholders.

According to him, the company’s Profit Before Tax grew by 26%, from N772.6m in 2020 to N971.7m in 2021, while Profit After Tax grew by 17%, from N678.0 million in 2020 to N790.6m in 2021. The company he said created additional value during the year by growing the Group’s total assets from N 14.3 billion in 2020 to N15.7 billion in 2021, a growth rate of approximately 10%.

Despite the prevailing micro economic environment, Mr Ekezie  said that investment Income grew from N940 million to N1.2 billion in 2021 He subsequently presented  a final dividend of N216.8 million which translates to two Kobo per share. Which shareholders approved. The company had earlier paid an interim dividend of the same figure leading to the total dividend paid for the 2021 financial year to N433.6 million or 4 kobo per share.

“Whilst striving to continually meet the needs of our customers through prompt payment of all fully documented and genuine claims, we have also continued to fine tune our risk underwriting through prudent measures. These have paid off as we recorded a drop in the amount expended on claims in 2021 to N3.99 billion from the N4.2 billion claims expenses in 2020. We however recovered more from our robust reinsurance arrangement in 2021 than the previous year as evident in the N1.71 billion recovered when compared with N1.61 billion.

The positive performance indicators also reflected in Total Assets which rose from N14.3 billion in 2020 to N15.7 billion in 2021, a growth of 9.8%. On another positive note, despite the low interest rates in the money market, we were able to manage our funds effectively as our investment Income rose from N940 million to N1.20 billion”, Mr Eddie Efekoha volunteered.

Consolidated Hallmark Insurance Plc said that it is on a mission to Preserve wealth, reduce anxiety and create value for our customers.

According to the Group Managing Director, “this is a company that preserves your assets through insurance and when losses occur, reduces the anxiety that usually accompanies such. Consolidated Hallmark Insurance is a underwriting firm fully capitalized in line with statutory requirements of the industry regulator – the National Insurance Commission”

 

 

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