FBNInsurance bids outgoing Chairman, Adenrele Kehinde with mantra, ‘The result of hard work is more work” farewell

L- Mr. Val Ojumah, Managing Director/Chief Executive Officer, FBNInsurance Limited; Mrs. Adenrele Kehinde, Chairperson, FBNInsurance Limited, and Mrs. Tobore Ojumah, at the send forth dinner of Mrs. Adenrele Kehinde in Lagos.today
By Favour Nnabugwu
The Board, Management, staff of FBNInsurance Limited, have extolled the outgoing Chairman, Mrs. Adenrele Kehinde who mantra is the result of head work is more work as an advocate of high ethical standards a farewell.
The  Managing Director of the company, Mr. Val Ojumah said Mrs. Adenrele demonstrated brilliance, excellence and a high level of professionalism and strong competence on the job.
Ojumah also described Adenrele as an advocate of high ethical standards who regularly challenged the company’s executive management to deliver industry-leading results using her usual mantra “the result of hard work is more work.”
Lending his voice, the Chief Executive Officer of FBN General Insurance Limited, Mr. Bode Opadokun who applauded Adenrele for her openness and professionalism. He added that though she has retired, the company would continue to draw from her wealth of experience.
A Non-Executive Director, FBNInsurance Limited and Chief Financial Officer of FBNHoldings, Mr. Oyewale Ariyibi commended Adenrele for dedication and leadership which he said brought some innovation and initiatives to FBNInsurance.
“She believed strongly in the name of the institution, leadership of the board and management, Mr. Ariyibi added.
Chief Executive Officer, Salam Pan-Africa Life Insurance, Mr. Robert Dommisse, , also commended the outgoing chairman for her dedication, commitment and passion for the growth of the company.
Dommisse who described Adenrele as a good negotiator, a woman who never accepts no for an answer when it comes to negotiating for anything for her company.
Chairman, Bi-Courtney Group of companies, Mr. Wale Babalakin, was not left out in the commendation as he  commended Mrs. Adenrele for her support and selflessness.
Babalakin narrated how with the help of Mrs. Adenrele, he was able to secure a loan from a bank at the age of 28 to build an 11-storey building.
In addition to these great achievements and commendation, Mrs. Adenrele will also be remembered for her contribution to the tremendous growth that FBNInsurance enjoyed under her leadership. Under her watch, the company’s gross premium grew from N3.9 billion in 2013 when she joined to N38.6 billion as of December 2021.
In her response, Adenrele, reiterated the need to sustain the growth that the company has achieved over the years. “We must remain keen to attain uncontested leadership status in the life insurance sub-sector and growth of our General Insurance business. She also added that the brand must remain focused on its goal which is to exceed expectations, break records and delight customers and shareholders in a greater measure than in the past.
Adenrele was appointed to the board of  FBNInsurance Limited as Chairman in May 2013, following her earlier admission into the Board in March of the same year as a Non-Executive Director. She however took over the leadership of the Board from Mrs. Ibukun Awosika, the pioneer board Chairperson.
Before her appointment to FBNInsurance was a Non-Executive Director in FBNCapital Limited, now FBNQuest Limited.
Expenditure of household consumption rises to 25% in 2021

By Favour Nnabugwu


The National Bureau of Statistics, NBS, said household consumption expenditure rose year-on-year (YoY) by 1,414 percent points to 25.6 per cent in 2021 from -1.69 per cent in 2020.

However, the bureau said that government expenditure fell YoY by 80 percentage points to -34.03 per cent in 2021 from 61.5 per cent in 2020.

According to its Nigerian Gross Domestic Product (GDP) Report: Income and Expenditure approach for third and fourth quarter of 2021 (Q3,Q4’21) , the fall in Government expenditure was due to the efforts of government policies on COVID-19 during the period.

The report stated:”Overall, in 2021, real household final consumption expenditure inclined by 25.6 per cent from -1.69 per cent recorded in 2020. The observed trend in 2020 indicates that real household consumption expenditure declined in Q1 and Q2 accounting for negative growth rates informed by the COVID 19 pandemic.
“However, positive growth rates were recorded in Q3 and Q4 2020 as well as the Q4 ’21.

” In Q3 and Q4 2021, real general government expenditure grew by -39.5 per cent and -16.7 per cent respectively. “Growth rate in Q3’21 was lower by -138.6 per cent points when compared to the corresponding quarter of 2020. Similarly, Q4 2021 decreased by -28.8 per cent points compared to Q4′ 20.

“With annual growth rate standing at -34.03 per cent, the 2021 performance indicated lower growth compared to the preceding year of 2020 at 61.5 per cent due to the efforts of government policies on COVID-19.”

NBS also said that the nation’s annual GDP at basic prices rose by 77 percent points to 3.4 per cent in 2021 from -1.96 per cent in 2020.

“Nigeria’s real GDP at basic prices
In Q3 2021, the Gross Domestic Product inclined in real terms by 4.03 per cent YoY and recorded 3.9 per cent in Q4’21. This shows a sustained positive trajectory since Q4′ 20.

“However, on an annual basis in 2021, the Gross Domestic Product grew in real terms by 3.4 per cent on a YoY basis. This was significantly higher compared to -1.92 per cent recorded in 2020, and 2.27 per cent recorded in 2019. ”

The bureau further said that net exports and imports fell in 2021 resulting in a fall in the growth of net balance of trade in Q1-Q3 of 2021.

The report stated:” Net exports grew in real terms in Q3 and Q4 2021 by -38.2 per cent and 1.35 per cent respectively.
“On an annual basis, net exports grew by -55.7 per cent in 2021 compared to -13.17 per cent recorded in 2020.

” In 2020, imports of goods and services declined significantly in the four quarters of the year in real terms, recording -46.3 per cent in Q1, -70.05 per cent in Q2, -62.51 per cent in Q3 and -66.86 per cent in Q4 2020.
“On an annual basis however, the real growth of imports was worse off than 2019, at -61.94 per cent in 2020 compared to 27.26 per cent in the previous year. “Moreover, Imports grew in the four quarters of 2021 recording 55.06 per cent and 56.2 per cent in Q3 and Q4 2021.

“In response to falling growths in exports and imports in 2020, growth in net balance of trade (or net exports) was negative in Q1- Q3 2021 but positive in Q4 2021.
“On a YoY basis, Q3 recorded -38.2 per cent growth rate in real terms and Q4 indicated 1.35 per cent growth in the net trade balance.

“Annual growth rate of -55.7 per cent in real terms was recorded compared to -13.17 per cent in 2020.

“On a quarter-on-quarter basis, the net trade balance grew by –4.76 per cent and 6.38 per cent in Q3 and Q4 2021 respectively.
“This component accounted for 6.97 per cent of total real GDP expenditure at market prices in 2021.

“Operating Surplus grew negatively by -1.01 per cent in Q3, while 0.7 per cent was recorded in Q4’21 on a YoY basis in real terms.

“This indicator had recorded negative growth since Q2’20 but stood positive in Q4 ’21.

“The negative growth witnessed in the last three quarters of 2020 led to an annual real growth rate of -3.07 per cent, but improved slightly to -1.80 per cent observed in 2021. “

Independent Hajj Reporters to monitor 33,976 allocation to States

By Favour Nnabugwu



A civil society organisation under the aegis of Independent Hajj Reporters, (IHR), has vowed to monitor State Muslim Pilgrims Boards share the 33,976 Hajj 2022 seats allocation to intending pilgrims.

This is to ensure that each State are equitable distribution of Hajj seats to pilgrims,

NAHCON has allocated seats to states using a commendable 2019 airlift performance yardstick to States and private Tour Operators. A total number of 33, 976 were distributed to states and 9,032 set aside to be shared to registered private tour operators.

The Top 10 Hajj states like Kaduna received 2,419, Niger 2256,  Sokoto 2404, Kano 2,229, Katsina 2146, Kebbi 2128 , Lagos 1562, , FCT 1538, Bauchi 1362 and Zamfara 1303

The civil society in a statement signed by its national coordinator Ibrahim Muhammed said it has instructed its members across the states to liaise with the leadership of the boards and agencies in the states to know the number of intending pilgrims that has been are able to meet the criteria set by the National Hajj Commission of Nigeria (NAHCON), and those that are eventually selected to perform 2022 Hajj.

Muhammed also noted  “The allocation of 2022 Hajj Seats to States Muslim Pilgrims Welfare Boards follow certain criteria adopted by NAHCON and we urges States Pilgrims Boards to applied its agreed principle of first come first served.

The IHR said it is already aware that Saudi Arabian authorities have limited the maximum age of those who can perform Hajj 2022 to 65 years. This criterion alone, it said, will disrupt the philosophy of ‘first come first serve’ because there are pilgrims who paid much earlier than others but are above 65 years.

The CEO also said the projection of N2.5 Million as Hajj fare will also affect the outcome because not all those who are in priority list will be able to pay up the balance of their fare as at when due.

However, IHR advised that those who paid in 2019 should be given the right of first refusal before 2020, and 2021 depositors. This sequence of distribution should also supersede the NAHCON/SMPWBS’ 60/40 seat formula.

IHR further appeal to States Muslim Pilgrims Boards Executive Secretaries not to succumb to Politicians who may put pressure on them to allocate Hajj seats to their political foot soldiers at the detriment of intending pilgrims.

“With a few days to the primary elections of major political parties, desperate politicians may likely want to hijack Hajj seats as part of political favours to woo delegates or influence support to their candidature.

Saudi Arabia has allocated 43,008 Hajj quotas to Nigeria for this year’s pilgrimage after 2 consecutive years of suspending Hajj due to the Corona Virus pandemic.

AIO president calls on Govts to help increase insurance penetration

By Favour Nnabugwu



As the Africa Insurance Organisation, AIO, celebrate it 50th anniversary next month, the president of the AIO,  Mr Tope Smart, wants industry in the member countries to liaise with government to raise insurance penetration in Africa..

Smart said this could be achieved via solutions that improve access to insurance, the reputation of the African insurance industry and insurance awareness in Africa.

Furthermore, governments are increasingly using insurance to achieve public policy objectives and the AIO, again through its advocacy role, shall seek to advance the policy interests of Africa’s insurance industry, to create a conducive and enabling environment for insurance in Africa to thrive.

“The African insurance industry still suffer from very low insurance penetration rates when compared to global rates with an average of less than two per cent if we remove South Africa, this shows the weakness of our industry, and the vast potentials to be exploited”

The 48th AIO Conference will focus on one of the key global issues, Climate Change under the theme ‘Insurance and Climate Change: Harnessing the Opportunities for Growth in Africa’.

The AIO  who doubles as the Group Managing Director/ CEO, NEM Insurance Plc recalled that In 2018 Lloyd’s publication, even a 1% increase in insurance penetration will reduce the disaster recovery burden on developing countries by 22 percent”

“We believe it is our mission to improve insurance penetration via solutions that improve access to insurance, the reputation of the African insurance industry and insurance awareness in Africa, he added.

On African Continental Free Trade Area (AfCFTA) he said is set to become the world’s largest free trade area in respect of the numbers of participating countries. It is one of the flagship projects of the African Union’s Agenda 2063: “the Africa We Want”.

“We believe that the AfCFTA could play a significant role in improving insurance services through liberalization (eliminating non tariff barriers and refraining from introducing new ones) and integration. The AIO shall advocate for integration of the African insurance industry in the AfCFTA implementation.

Activities to mark this milestone anniversary will hold in Nairobi, Kenya alongside our 48th Conference and Annual General Assembly. The host Kenya market and the AIO Secretariat have been working tooth and nail to make the celebration a memorable one.

However, this can only be achieved through insurance industry support. I wish to appeal to AIO members to come out in their numbers and give their flagship event its merited grandeur.

Insurtech fundraising drops by 58% in Q1 2022

By Favour Nnabugwu


Funds invested in insurtechs reached 2.2 billion USD in Q1 2022. This is a decrease of 58 percent compared to the 5.3 billion USD of the last three months of 2021.

In comparison with Q1 2021, the funds invested (2.6 billion USD) in the insurance startups have decreased by 15.4 percent However, the funds remain higher than the figures raised in the same period in 2020 (1.4 billion USD), 2019 (2.1 billion USD) and 2018 (0.9 billion USD).

The average transaction in Q1 2022 reached 19 million USD, which is higher than the average transaction in 2018 (0.9 billion USD). It is higher than 2018 (14 billion USD) but lower than 2021 (33 million USD), 2020 (21 million USD) and 2019 (20 million USD).

For the record, insurtechs managed to raise 15.7 billion USD of funds in 2021 and recorded 58 M&A deals. In 2022, a quarterly record has been reached with 26 mergers closed within three months

Axa Mansard records 14% increase in turnover Q1 2022

By Favour Nnabugwu



AXA Mansard, the Nigerian subsidiary of the French group AXA, has recorded a 14 percent increase in its turnover in Q1 2022.

Written premiums have gone from 25.08 billion NGN (65.96 million USD) as of 31 March 2021 to 28.64 billion NGN (68.74 million USD) one year later.

Life and health premiums increased by 58% and 24 percent respectively, while non-life premiums decreased by 5 percent

During the period under review, the net profit amounted to 390 million NGN (396 000 USD), falling by 85 percent compared to 2.63 billion NGN (6.92 million USD) posted during the first three months of 2021. This decrease is due to higher health claims and foreign exchange losses.

For the 2022 financial year, the Nigerian insurer expects to improve its operational performance, investments and underwriting.