The Aureol Insurance Company (AIC) Limited has on Friday 27th June, at the National Stadium Hostel held its 27th Annual General Meeting. The meeting was to receive and consider audited financial statements for the year ended 31st December 2013 and the reports of the Directors and Auditors thereon, to declare dividend, to elect Directors and determine their remunerations and to appoint Auditors and authorize the Directors to fix their remunerations.
Speaking on the Economy, the Chairperson Mrs. Yasmin Fofanah said in 2013 the company’s GDP growth remained brisk at an estimated average of 6% excluding Mining and 13% including Mining activities. Growth, she said was driven mainly by activities in the Mining, Agricultural and Construction sectors.
On the area of Inflation, she said the year-on-year inflation rate fell from 11.419% in December 2012 to 9.6% in December 2013 thus achieving the Government’s target of a single digit inflation figure, adding that, the average annual yield for the 91 days Treasury Bill rate declined from 20% to 3% and the 182 days Treasury Bill rate from 25.48% to 7.50% whilst the 364 days Treasury Bill rate reduced from 20% to 6%.
Reporting on the Life Claim Payment, Mrs. Fofanah said ever in the history insurance industry in Sierra Leone, only the AIC has paid the single life claim in the region of Le1.5 Billion.
She then spoke on the Sierra Leone Insurance Industry as according to her it continues to be highly competitive. The significant portion of her company’s investment is in Government Security as required by the Insurance Act 2000. She also spoke on areas of Recapitalization, Exchange Rate, Dividend and Bonus Issue.
In his statement, the Managing Director Mr. Samba said AIC continues to deliver a very strong performance in terms of underwriting results and overall profitability in our general insurance business inspite of a very challenging operational environment.
The Gross Written Premium, he informed his audience for the period to 31st December 2013 was 20.560 Billion Leones as compared to 15.927 Billion for the corresponding period to 31st December 2012 which recorded an increase of 29%. He said the Claim incurred for the current year was 5.380 Billion Leones as compared to 3.957 Billion Leones for the corresponding year to 31st December 2012 with an increased percentage of 36%. However, he went on, claims ration for the current period was 38% as compared to 36% for the period to 31st December 2012.
He furthered that, Profit Before Tax for the current year is 3.84 Billion Leones as compared to 3.180 Billion Leones and has an increase of 12%. Mr. Samba said the company’s Earnings Per Share increased from 1.93 cents for the period 31st December 2012 to 2.25 cents for the corresponding year to 31st December 2013, which recorded an increase of 16.58%. He informed his audience that, the Expense Ratio for the 12 months to December 31st 2013 was 47% as compared to 52% for the corresponding period to 31st December 2012.
He also spoke on their Corporate Social Responsibilities, Staff Matters and future outlook.
The meeting also saw the re-appointment of PKF as the company’s auditors, Dr. Leonard Gordon-Harris and Haja Alimatu Abdullah as Board Members, whilst Mrs. Yasmin Fofanah was re-appointed as Board Chairperson. The remuneration for Non-Executive Directors was fixed with a common vote by shareholders.
Source: Awareness Times