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Chuks Udo Okonta
As insurance companies scramble to raise the required paid-up share capital that would enable them remain afloat beyond the December 31, 2020, recapitalisation deadline set by the National Insurance Commission (NAICOM), available data has revealed the top rated firms in terms of share capital.
According to data obtained from the Nigerian Insurers Association (NIA), African Alliance Insurance Plc, which had N10.29 billion share capital, topped the industry’s chart in 2018. Leadway Assurance Limited, followed with N10 billion, while Universal Insurance Limited, occupied the third position with N8 billion.
Allianz Nigeria Insurance Plc, had N7.82 billion;Cornerstone Insurance Plc, N7.36 billion; Sunu Assurance Plc, N7 billion; VeritasKapital Assurance Plc, N6.93 billion; Wapic Insurance Plc, N6.69 billion; FBNInsurance Limited, N5.36 billion and Axa Mansard Insurance Plc, N5.25 billion.
Those at the base of the chart are; Mutual Benefits Life Assurance Limited, N250 million; International Energy Insurance Plc, N642 million; Metropolitan Life Insurance Nigeria Limited, N1 billion and Zenith General Insurance Company Limited, N1.45 billion.
NAICOM in 2019 asked insurance and reinsurance firms to shore-up their minimum paid-up share capital policy. Life Insurance companies were to jack-up their capital from N2 billion to N8 billion; general business operators from N3 billion to N10 billion; composite business, N5 billion to N18 billion and reinsurance, N10 billion to N20 billion.
According to the Director, Policy and Regulation Directorate, NAICOM, Pius Agboola, the mandate applies to all insurance and reinsurance companies, with exception to Takaful operators and microinsurance companies.