NAIROBI, Kenya, Mar 27 – CIC Insurance Group has posted a 138 percent growth in its net profit for 2012 growing from Sh584 million to Sh1.39 billion for the year ended December 31, 2012.
CIC insurance group CEO Nelson Kuria said that the firm’s pre-tax profit grew mainly due to improved premium income, higher investment income and new business acquisition.
“Gross premiums increased by 34 percent from Sh6.7billion to Sh9billion in 2012 and total assets increased by 27 percent from Sh11.1 billion to Sh14.1 billion,” he said.
Kuria also announced that the group’s cost of operations rose by 10 percent to Sh1.9 billion largely driven by the high inflation and reorganisation costs.
“Investment income grew by 169 percent to stand at Sh1.4 billion due to the prevailing high interest rates,” he explained.
He said that the group has also ventured into the property market, unit trust business and pension schemes management.
Kuria also added that the leading co-operative enterprise and a pioneer micro insurer, is pursuing regional expansion to southern Sudan and Uganda this year and also micro insurance new channels of distribution and investment diversification strategies to sustain the high growth momentum.
The company scooped seven awards at the annual insurance awards last year, among them ranking the top in claims settlement.