In preparation for any recapitalisation measures that may be introduced by the National Insurance Commission, Cornerstone Insurance Plc is confident about its current positioning.
During the 32nd annual general meeting in Lagos, the firm’s Managing Director, Stephen Alangbo, expressed their readiness for potential regulatory changes, emphasizing the benefits it could bring such as improved financial stability, increased underwriting capacity, and opportunities for investment in new technologies and products.
Looking forward, Cornerstone Insurance remains committed to its vision of becoming a leading insurance-based financial services group. They aim to create long-term value for stakeholders through responsible and sustainable practices, innovation, investment in people and technology, and maintaining integrity while meeting the changing needs of customers and communities.
The Nigerian Insurance Industry Reform Bill 2024, currently undergoing legislative processes, aims to raise the minimum capital requirements for insurance companies, significantly impacting the industry’s financial landscape.
At the AGM, some shareholders raised concerns about the recapitalisation move and its potential business implications. The company addressed these questions and emphasized its strategic focus on enhancing insurance penetration in Nigeria, particularly through retail business growth.
For the financial year ending in December 2023, Cornerstone Insurance reported a substantial 38% increase in revenue, reaching N30.6bn from N22.2bn in 2022. The adoption of new IFRS 17 standards led to a notable growth in insurance revenue and a significant rise in profit before tax compared to the previous year.