Veritas Kapital Assurance’s profit soars 500% amid COVID-19

Veritas Kapital Assurance Plc has reported a profit of N740.93 million for the financial year 2020, up from N123.42 million in the previous year.

The company’s profit before tax jumped to N596.43 million last year from N253.95 million in 2019, according to its audited financial statements obtained by Markets Reporters on Sunday.

Its gross premium written more than doubled to N6.06 billion from N2.95 billion.

The shareholders’ equity grew by nine percent from N7.95 billion to N8.69 billion in the year 2020.

“The board is continuously committed to sustaining the growth in profitability through improved cost management and growth in all income lines,” the Managing Director/Chief Executive Officer, Mr Kenneth Egbaran, said.

“Despite the economic rude awakening induced by the pandemic in the year, the company, for the first time in its history, crossed the N5 billion mark in terms of gross premiums written.”

He noted that the Nigerian insurance sector, like other sectors in the economy, struggled to overcome the challenges posed by the effects of the economic downturn caused by the dual challenges of ENDSARS protest and the COVID-19 pandemic, which left businesses in stagnated positions.

Egbaran said, “However, the industry is set to be even more resilient and competitive with companies adapting and embracing technology to drive performance.

“As a whole, the future of the industry looks promising, with the COVID-19 pandemic forcing businesses to rethink and ultimately re-strategise the way and manner they communicate with their customers.”