Insurance

Consolidated Hallmark Insurance soars above 50% of recapitalisation threshold

From left:Saheed Egbeyemi, Deputy Managing Director, HOGG Robinson Nigeria Ltd; Fatai Adegbenro, Executive Secretary, Nigerian Council of Registered Insurance Brokers; Eddie Efekoha, Group Managing Director/CEO, Consolidated Hallmark Insurance (CHI) Plc; Mrs. Ekeoma Ezeibe, Managing Director, Crystal Trust Insurance Brokers; Tokunbo Taiwo, Group Chief Technical Officer, Digital Jewels Ltd, and Sunny Adeda, past President, Chartered Insurance Institute of Nigeria, during the ‘Time Out With Our Partners’ event by CHI Plc in Lagos on Monday. November 2, 2020.

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Chuks Udo Okonta

Consolidated Hallmark Insurance(CHI) Plc, is standing tall with over N5.065 billion capital at its disposal, an indication that it has more than surpassed 50 per cent of the N10 billion capitalisation expected of a general business insurer in the ongoing recapitalisation exercise in the insurance industry.

The National Insurance Commission (NAICOM) had earlier ordered insurance companies with composite license to upgrade their capital base from N5 billion to N18 billion; Life insurance firms were required to increase their minimum capital requirement from N2 billion to N8 billion, amounting to 400 per cent increase in their capitalisation.
Similarly, General insurance companies are to raise their capital base to N10 billion from N3 billion , even as Reinsurance Firms will now need N20 billion capital base to operate Reinsurance business in the country.

They are expected to have fully increased their capital to the new threshold by September, 2021, while operators are expected to have realised 50 per cent of their capital by December, 2020.

To this end, CHI has now met and surpassed the threshold expected of general insurance company like Consolidated Hallmark, by December 2020.

Speaking during a ‘Time-Out With Our Partner’ , where the management of the company interacted with its stakeholders earlier in the week, its group managing director/CEO, Eddie Efekoha, applauded the brokers who have been doing businesses with the company over the years, promising that, the insurer will not disappoint them as well as the clients they represents.

He equally applauded shareholders, customers and other stakeholders of the company who have stood by it during tough and better times, stating that, the company has consistently rewarded shareholders with returns on their investments, promising that, this would even be improved upon post recapitalisation exercise.

Although, he did not subscribed to using Paid-up capital as the definition of Capital under the current recapitlisation exercise by NAICOM, he stressed that, the company will continue to be a major player in insurance service space post recapitlisation exercise.

From left: Eddie Efekoha, Group Managing Director/CEO, Consolidated Hallmark Insurance (CHI) Plc; Bukola Osanyin, Managing Director, Willis Towers Watson Nigeria; Mrs. Mary Adeyanju, Executive Director, Operations, CHI Plc, and Babatunde Daramola, Executive Director, CHI Plc, during the ‘Time Out With Our Partners’ event by CHI Plc in Lagos on Monday. November 2, 2020.

“We will recapitalise in a manner that doesn’t affect CHI or its Stakeholders. We will do it in record time. Already, we have met the N5 billion capital by December 2020. The process for the next phase has started, ” he pointed out.

He added that the underwriting firm will not go into merger because it needs funds, but can go into merger discussion if it will increase it market size, a development, he said, will favour its stakeholders.

The president, Nigerian Council of Registered Of Registered Insurance Brokers(NCRIB), Mrs. Bola Onigbogi, applauded the insurer for being innovative in its products and service delivery, pointing out, that the company has never for once, renege on its promises.
While urging the company to always strive to be better, he charged the underwriter to continue to meet its claims obligations just as it has always been doing.

Similarly, the head, marketing, CHI HMO, Mr. Olusegun Tutoyi, said, the Health Management Organisation(HMO) has a national license, meaning, it can operate across the country, urging, people to patronise the company for access to quality healthcare services, promising that, the services are internationally competitive.

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