NEM Insurance Becomes First Non-Life Insurer to Surpass N100bn Gross Premium

NEM Insurance Plc has achieved a historic milestone by becoming the first non-life insurance company in Nigeria to surpass N100 billion in gross premium income. The announcement was made during the company’s 55th Annual General Meeting held in Lagos.

Group Chairman Tope Smart described the achievement as a landmark moment, emphasizing the company’s continued leadership in the industry. He stated that NEM Insurance recorded over N100 billion in gross premium income, marking a significant milestone in Nigeria’s insurance sector.

In its financial results for the year ended December 31, 2024, the company reported N97.9 billion in total insurance revenue, reflecting an 88% growth compared to N52.1 billion in 2023. Profit before tax stood at N33.7 billion, representing a 78% increase from N18.9 billion recorded in 2023. The parent company’s profit before tax also rose by 74%, reaching N33.5 billion in 2024.

Investment income saw a 130% year-on-year increase, rising to N7.6 billion from N3.3 billion in the previous year. Claims expenses increased by 59.6%, reaching N24.9 billion, though the claims ratio declined to 25.5% in 2024 from 30% in 2023.

Management expenses grew to N8.5 billion, up from N5.2 billion, driven by inflation and business expansion. The company’s financial assets increased by 70.7%, while total assets and total equity rose by 67% and 70%, respectively.

Based on its strong performance, the board recommended a dividend of 100 kobo per N1 ordinary share, amounting to N5.02 billion, pending shareholder approval and withholding tax deductions.

Earnings per share for the group climbed to 582 kobo in 2024, compared to 260 kobo in the previous year. The parent company recorded an EPS of 580 kobo, up from 264 kobo in 2023.

The chairman also highlighted the success of NEM’s subsidiaries, NEM Asset Management Limited and NEM Health Limited, which exceeded expectations during the year. He further revealed that plans are underway to launch a life assurance subsidiary as part of the company’s expansion strategy.