Between January and September this year, the consolidated net profit of insurer Axa Mansard reached N5.67 billion ($14.3 million), the company reported. The figure, which is up 170% compared to the same period in 2019, reflects a good resilience of the company despite the coronavirus context.

Gross premiums paid by customers amounted to 39.4 billion naira over the period, higher than that over the same period in 2019. In detail, the non-life insurance segment experienced a decline in premiums collected. At the same time, premiums related to health maintenance services increased by 3 billion naira. This area is all the more profitable as it is inexpensive in terms of reinsurance costs.

Expenditures to address loss in the health sector are the largest and have even increased to 8.5 billion naira (7.5 billion naira in 2019). The expenditures in the non-life insurance segment reached 3.7 billion naira (they were only 294.15 million naira at the end of September 2019).

Over the period reviewed, Axa Mansard sold its subsidiary in charge of pension fund management to Estacia Limited, a subsidiary of the Verod Capital Group, for 3 billion naira. The operation offset losses on other asset disposals during the same period.

Axa Mansard can also limit its losses because it has not yet adopted the IFRS 9 on investment risk reporting. The company had 28 billion naira of assets under management. It also had 10 billion naira of premiums pending payment.

Idriss Linge