Industrial and General Insurance Plc (IGI) held its consolidated Annual General Meetings (AGMs) in Abuja, marking a significant turning point in the company’s trajectory. The company’s Managing Director, Akinlolu Akinyele, announced a substantial N1.8 billion payout in insurance claims over the past year, a figure that underscored the company’s renewed commitment to policyholders and its focus on rebuilding public trust. This substantial claim settlement, he emphasized, was not merely a one-time event but a strategic pillar in IGI’s long-term growth strategy. The company aims to further increase claim payouts in the current financial year, solidifying its dedication to fulfilling its core responsibility to its clients and reinforcing the relevance of insurance in the Nigerian financial landscape. This renewed focus on claim settlement is seen as vital for fostering trust and confidence within the insurance industry.
IGI’s commitment to strengthening its position within the industry extends beyond claim settlements. The company’s re-entry into the Nigerian Insurers Association (NIA) signals a strategic move to re-engage with the industry’s core and collaborate with other players in the sector. Akinyele emphasized the importance of this reintegration, highlighting it as essential for contributing meaningfully to the economy and the insurance industry’s growth. By actively participating in the NIA, IGI aims to leverage collective industry expertise, address shared challenges, and contribute to the overall development and stability of the Nigerian insurance market. This collaborative approach underlines IGI’s commitment to playing a constructive role within the broader insurance ecosystem.
Addressing shareholders’ concerns, Akinyele acknowledged the rising operational costs, largely attributed to inflationary pressures. However, he assured stakeholders that the company is actively implementing cost management strategies while also focusing on business growth to counteract these challenges. Furthermore, IGI is intensifying its focus on its subsidiaries in Uganda and The Gambia, looking to diversify revenue streams and bolster group-wide performance. These strategic initiatives demonstrate a proactive approach to navigating challenging economic conditions and ensuring the company’s long-term financial health.
Looking ahead, IGI is proactively preparing for the anticipated recapitalization drive within the insurance sector. Akinyele confirmed that the board is diligently exploring various options to strengthen the company’s capital base. This proactive stance demonstrates IGI’s commitment to meeting any new regulatory requirements and maintaining a strong financial foundation to support its future growth ambitions. This preparedness reflects the company’s understanding of the evolving regulatory landscape and its determination to remain compliant and competitive.
Shareholders, while commending the improved claim settlement performance, also raised pertinent questions regarding rising management costs and the performance of IGI’s foreign subsidiaries. Williams Adebayo, the President of the Greenwich Shareholders Association, voiced his support for the board, acknowledging the immense pressures facing the insurance sector, particularly from encroaching competition from banks. He called for regulatory intervention to create a level playing field, protecting insurance companies from being marginalized by the dominance of banking institutions. This plea highlights the challenges faced by the insurance industry and the need for regulatory support to ensure its sustained growth and viability.
The AGM concluded with the formal re-election of retiring directors, the appointment of auditors, and the presentation of the company’s audited financial statements for the years 2019 through 2022. Ambassador Nuhu Bamalli, IGI’s chairman, acknowledged shareholder concerns and called for continued support while also echoing the need for a level playing field within the financial sector. This collaborative spirit and the transparency demonstrated by presenting the audited financial statements underscore IGI’s commitment to accountability and stakeholder engagement. The meeting marked a significant step forward for IGI, demonstrating its commitment to transparency, responsiveness to stakeholder concerns, and its strategic focus on rebuilding trust and positioning itself for sustainable growth in a competitive and evolving market.
