AIICO Insurance Plc has reported a strong financial performance for the year ended December 31, 2025, delivering significant growth across key metrics despite a challenging macroeconomic environment.
Strong Financial Performance
According to its audited results, AIICO recorded a 26.5% increase in insurance revenue, rising to ₦137.0 billion from ₦108.4 billion in 2024. Gross premiums written also grew by 20.2% to ₦191.7 billion.
Notably, the company’s normalized profit after tax surged by 195.4% to ₦23.7 billion, outperforming internal projections by 23.1%. This growth reflects improved operational efficiency and resilience, even as inflationary pressures weighed on consumer demand.
Growth Across Business Segments
Performance was broadly driven by gains across all major business lines:
- Life Insurance: Revenue increased by 34.1% to ₦69.6 billion, with normalized profit rising by 221% to ₦16.6 billion, supported by strong uptake of annuities and long-term savings products.
- General Insurance: The segment rebounded from a loss position in 2024 to deliver an insurance service result of ₦3.7 billion, reflecting improved underwriting discipline and risk management.
- Health Insurance (AIICO Multishield): Profit grew by 414.2% to ₦144.3 million, driven by increased demand for prepaid healthcare plans.
- Asset Management (AIICO Capital): Investment income rose by 108.6% to ₦15.4 billion, contributing significantly to overall profitability.
Overall, insurance service margin improved to 9.1%, compared to a negative 2.8% in the prior year, while net investment income rose 45.9% to ₦61.2 billion.
Leadership and Strategy
Commenting on the results, Managing Director and CEO Babatunde Fajemirokun attributed the performance to disciplined execution, prudent risk management, and targeted investments.
He noted that despite ongoing macroeconomic adjustments and policy reforms, the company maintained a consistent focus on operational efficiency and customer service delivery. AIICO also recorded a normalized return on equity of 31.2% and proposed a dividend of 12 kobo per share, payable on June 5, 2026.
Outlook
The company indicated that it will continue to prioritise risk management and strategic investments as it navigates economic uncertainties, including inflation and foreign exchange volatility.
With a diversified portfolio spanning life, general, health, and asset management services, AIICO is positioning itself for sustained growth while strengthening its capacity to meet customer obligations.
Market Position
Founded over five decades ago, AIICO continues to play a significant role in Nigeria’s insurance sector. Its latest results reinforce its position as a major industry player, demonstrating resilience and adaptability in a volatile economic climate.
