Guinea Insurance Plc  said its company recorded 61 per cent increase  its gross premium which rose   from N665 million in 2008 to N1.07 billion in the financial year ended December 31, 2009.

The Chairman of the company, Emeka Offor,  who disclosed this during the company’s Annual General Meeting in Lagos said net operating income grew by 36 percent from N360 million to N565 million explaining that the fall in percentage is attributed to a fall of 30 percent in investment income and a fall of 93 percent in other incomes, which resulted from the economic slowdown

However, the underwriting profit of the company increased by 86 percent from N284 million to N529 million in 2009 and the company also recorded a profit before tax of N19.7million and loss after tax of N13 million

The growth in underwriting profit is a result of proper risk management, even as claims settlement increased by75 percent indicating the commitment of the company to meet its contractual obligations. Offor said.

The company however declared a dividend pay out of N51 million translating to 1 kobo per share, coming from previous years retained earnings savings.

The Guinea Insurance boss said this is part of the company’s demonstration to prove to shareholder that the company is interested in their welfare.

Looking forward to the coming year, Offor stated that as the economy stabilizes with the ongoing reforms in the financial services sector, a lot of foreign investment will come into Nigeria and its impact will positively affect premium generation of insurance companies.

Soji Emiola,the Managing Director and Ekerete Ola Gam_Ikon, The Executive Director, Marketing who got appointed recently by the company expressed their determination to take the company  to the next level.

According to them, the management is aiming at bringing innovation to the practice of motor insurance, stating that the company is targeting one million motor third party policyholders within the next one year. In doing this, it has entered into contract that will enable verification of every vehicle on the road and ascertain the genuineness or not of their insurance.