Axa Mansard profit up 116% to ₦25.9bn in FY'24

AXA Mansard, a leading insurance company, has announced an impressive 116 per cent growth in its profits for the year 2024. The surge in profits can be attributed to the strong performance of its health insurance and savings revenue sectors. Ngozi Ola-Israel, the Chief Financial Officer at AXA Mansard, recently appeared on CNBC Africa to discuss and analyze the company's financial results. Ola-Israel highlighted the key factors that contributed to the significant growth in profits. She explained that the group's revenues increased by 59 per cent overall, with various lines of business, including property and casualty (P&C), health, and life insurance, making substantial contributions. The P&C business saw an 87 per cent growth, the health business grew by 46 per cent, and the life insurance sector expanded by 31 per cent. This diversification across different classes of business played a crucial role in driving the company's overall performance for the year. Despite the impressive financial results, Ola-Israel also addressed the issue of low insurance penetration in the market. She acknowledged that there is still a lack of trust among consumers regarding insurance companies' ability to honor claims and provide adequate compensation. To combat this challenge, AXA Mansard has been actively working to improve awareness and build trust through transparent claims payment processes and regulatory compliance. Ola-Israel emphasized the importance of maintaining a diversified portfolio to manage risks effectively. She noted that AXA Mansard's portfolio includes non-life, life, and health insurance products, which help in spreading risks and mitigating the impact of potential claim payments. The company remains committed to paying out legitimate claims promptly while focusing on cost-saving measures to ensure profitability. Looking ahead, Ola-Israel shared insights on the industry outlook for the coming year, highlighting the ongoing discussions around recapitalization in the insurance sector. She underscored the importance of adequate capitalization, especially in the face of currency devaluation and inflationary pressures. AXA Mansard supports the idea of industry consolidation and mergers, viewing it as a positive step towards strengthening the sector. As the company continues to grow its business, Ola-Israel remained optimistic about the future prospects and hinted at positive growth trends in the upcoming quarterly results. With a focus on sustainable growth and regulatory compliance, AXA Mansard is poised to navigate the evolving insurance landscape and deliver value to its stakeholders.