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0 News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/cic-insurance-group-posts-57-profit-surge-in-2024/
CIC Insurance Group Plc announced a 57% rise in pre-tax profit to Kshs 3.99 billion ($30.7 million) for the year ending December 2024, up from Kshs 2.54 billion ($19.5 million) in 2023, driven by robust investment returns and steady insurance revenue growth.
The Nairobi-based insurer reported a 201% jump in investment income to Kshs 8.8 billion ($67.7 million), alongside a 4% increase in total insurance revenue to Kshs 27.4 billion ($211 million).
Profit after tax doubled to Kshs 2.8 billion ($21.5 million), while total assets grew by 23% to Kshs 61.9 billion ($476 million). The results reflect progress in the company’s 2021-2025 strategic plan, which emphasizes digital transformation, sustainability, and regional expansion. Insurance service expenses rose 7% to Kshs 24.2 billion ($186 million), attributed to higher policyholder obligations.
In Kenya, the general insurance division reported Kshs 16 billion ($123 million) in revenue, a 3% year-on-year increase, with pre-tax profit at Kshs 1.2 billion ($9.2 million). CIC Life Assurance saw insurance revenue grow 2% to Kshs 6.8 billion ($52.3 million), bolstered by a 44% surge in assets under its deposit administration business.
Regional subsidiaries contributed 16% to group pre-tax profit, with mixed performances: South Sudan and Malawi recorded 15% and 24% insurance revenue growth, respectively, while Uganda’s revenue dipped 2% due to challenges in its agriculture portfolio. The group expanded its regional footprint with new life insurance offerings in Malawi and medical insurance in Uganda.
Total liabilities increased by 30%, driven by higher insurance contract reserves, while assets under management rose 5% to Kshs 152 billion ($1.17 billion). CIC Asset Management reported a 7% profit increase to Kshs 753 million ($5.8 million), supported by digital tools like a newly launched mobile app.
Looking ahead, the company plans to prioritize digital innovation, divest non-core assets, and launch a micro-insurance subsidiary to enhance financial inclusion. Group CEO Patrick Nyaga stated, “We remain confident in our ability to scale greater heights through strategic partnerships and execution of our sustainability goals.”
CIC Insurance operates in Kenya, Uganda, South Sudan, and Malawi, with headquarters in Nairobi.
News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/cic-insurance-group-posts-57-profit-surge-in-2024/
