STACO shareholders laud financial performance

SHAREHOLDERS of STACO Insurance Plc at the 19th yearly general meeting commended the board and management for the financial performance in spite of the tough domestic terrain.

According to the investors, notwithstanding the tough regulatory environment, they will continue to support the company to remain a strong underwriting outfit.

The company, however, announced a gross premium written for 2014 amounting to N5.964 billion when compared to N5.765 billion in 2013. Net premium dropped to N4.426 billion in 2014, against N4.678 billion in 2013.

The Chairman of the company, Dere Otubu, addressing the investors said the drop was due to our resolve to reduce our risk exposure by embarking on more adequate reinsurance. This, he said, gave rise to increase reinsurance expenses.

According to him, the underwriting result was N2.331 billion up from N2.129 billion in 2013. Profit before tax was N137.683 million,.

On the future outlook, he said, “We are determined to continue the consolidation of our footing in the industry. Although 2015 is an election year which started on a tough note due to the sharp drop in oil price coupled with our weaker naira, we shall do better than we did in 2014 as we expect policy decisions from the new government that will impact positively on the insurance industry”.