By Favour Pius
AIICO Insurance Plc has posted a 195.4 per cent increase in normalised profit after tax to N23.7 billion for the financial year ended December 31, 2025, reinforcing its position among Nigeria’s strongest underwriters at a time the insurance industry battles recapitalisation pressures and weak market penetration.
The company’s audited financial results showed that insurance revenue rose by 26.5 per cent to N137 billion from N108.4 billion in 2024, while gross premiums written increased by 20.2 per cent to N191.7 billion.
The performance comes as operators in the insurance sector intensify efforts to meet the new capital requirements introduced under the Nigerian Insurance Industry Reform Act (NIIRA) 2025 ahead of the July 31, 2026 deadline set by the National Insurance Commission (NAICOM).
Industry analysts said the strong earnings performance by AIICO reflects the growing importance of scale, capital strength and operational efficiency as insurers position for consolidation and heightened competition in the sector.
Managing Director and Chief Executive Officer of AIICO Insurance Plc, Babatunde Fajemirokun, said the company’s performance was driven by disciplined execution of strategy, prudent risk management and sustained focus on customer service.
“In a year shaped by macroeconomic transition and evolving policy reforms, AIICO delivered solid performance across our businesses, reflecting steady execution of our strategy and our continued commitment to serve our clients with excellence,” he said.
According to the results, the company’s life insurance business recorded a 34.1 per cent growth in revenue to N69.6 billion, while normalised profit rose by 221 per cent to N16.6 billion, supported by increased demand for annuity and life protection products.
The general insurance segment also returned to profitability with an insurance service result of N3.7 billion, representing a 171.2 per cent improvement from the previous year following stronger underwriting discipline and improved risk selection.
AIICO Multishield grew profit by 414.2 per cent to N144.3 million, while AIICO Capital recorded a 108.6 per cent rise in investment income to N15.4 billion.
The company’s net investment income rose by 45.9 per cent to N61.2 billion, while total comprehensive income increased by 89 per cent to N33.5 billion during the review period.
Analysts noted that the result highlights the resilience of tier-one insurance firms despite inflationary pressures, foreign exchange volatility and weak consumer purchasing power that continue to affect demand across the financial services sector.
Fajemirokun said the company would sustain its focus on innovation, targeted investments and disciplined asset-liability management as it positions for further growth in 2026.
The board also proposed a dividend of 12 kobo per share payable to shareholders on June 5, 2026.
