Universal Insurance @60: Shareholders To Receive Dividends As Company Grows Revenue by 80percent Amidst Pandemic

..We Will Stand Post Recapitalization When Resuscitated, MD/CEO Assures

By LOVETH AZODO, Lagos

The management of Universal Insurance Plc has assured its shareholders that the company will in a short time commence the payment of dividends to its investors.

This is just as the company’s Managing Director/CEO, Ben Ujoatuonu assured the company’s policyholders and shareholders that the company will stand the post recapitalization whenever it is resuscitated.

The Universal Insurance Boss who disclosed this Today to Newsmen in Lagos revealed that despite the impact and effect of COVID-19 on the economy, the company was able to grow its revenue to over 80percent and bottom line by over 1,600percent for the year 2020.

(3rd Left) Managing Director/CEO, Universal Insurance Plc, Ben Ujoatuonu and Team at the Media Parley held Friday in Lagos.

Narrating the company’s 60year journey, Ujoatuonu stated that the company has been meeting obligations, creating values and ensuring that its policyholders get their claims as at when due.

However, he maintained that the company in the past 60years has travailed through thick and thin like every other organization, surmounting challenges and moving ahead.

On challenges posed to the company, he said “in 2008, the capital market in Nigeria experienced very serious challenges, Universal Insurance was one of the companies that invested seriously in the capital market and still have. As a result of that collapse, we have a very serious negative impact on our financials that made us carry over N3b negative retained earnings.”

“I make bold to report to you that within the time we have been on board and working that negative retained earnings has been reduced to about N600M,” he said.

In his optimism, he assured that the entire negative will be cleared and retained earnings thrown to positive before the close of operations for 2021.

On the shareholders reaction to the development, he said that after an interactive section with its shareholders, they were pleased with the company having consistently followed the effort of the company in wiping off the negative earnings.

“The shareholders have seen that in a short time very good dividends will begin to roll into the investors,” he said.

According to the Universal Insurance Boss, he said that Asset base of the company stand at N11b while shareholders funds at N12b presently.

He attributed the growth to investing in retail line of business.

He said that as a result of the success recorded in its recently launch retail products such as Okada pass, Unipersonal cover, parcel guide, keke pass to mention but a few, the board of directors of the company has approved that it should apply and obtain the Micro Insurance license “we have duly applied and we are optimistic that NAICOM will grant us the license” he said.

It would be recalled that NAICOM had recently opened the window for interested underwriters to apply for Micro Insurance license.

On recapitalization, he revealed that the paid up capital of the company is N8b and going by the template the company is 80percent compliant before the recapitalization was paused.

However, he stated that the management of the company are still working hard to ensure that the company makes up to N10b as directed by the regulator.