AIICO Insurance delivers strong 2025 performance as revenue hits N137bn
AIICO Insurance Plc
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AIICO Insurance Plc has reported a robust financial performance for the full year ended December 31, 2025, underscoring its position as one of Nigeria’s leading insurance providers despite a challenging macroeconomic environment marked by inflationary pressures and global uncertainties.
According to its audited financial statements, the company recorded a 26.5% increase in insurance revenue to ₦137.0 billion, up from ₦108.4 billion in 2024. Gross premiums written also rose by 20.2% to ₦191.7 billion, reflecting sustained customer confidence and expanded policy uptake across its business segments.
A key highlight of the results was the sharp growth in profitability. AIICO’s normalized profit after tax surged by 195.4% to ₦23.7 billion, significantly outperforming expectations by 23.1%. The company attributed this performance to improved underwriting discipline, stronger investment income, and operational efficiency across its subsidiaries.
Life, General Insurance Drive Growth
The life insurance business emerged as a major growth driver, with revenue rising by 34.1% to ₦69.6 billion. Profitability in the segment soared by 221% to ₦16.6 billion, driven by strong uptake of savings-linked products, annuities, and protection plans.
The general insurance arm also recorded a significant turnaround, delivering an insurance service result of ₦3.7 billion compared to a loss in the previous year. This recovery was attributed to improved risk selection and pricing strategies.
AIICO Multishield, the company’s health insurance subsidiary, posted a 414.2% increase in profit to ₦144.3 million, reflecting growing demand for health coverage amid rising medical costs. Meanwhile, AIICO Capital recorded a 108.6% rise in investment income to ₦15.4 billion, supported by effective portfolio management.
Stronger Margins and Investment Performance
The group’s insurance service margin improved significantly to 9.1%, from a negative 2.8% in the previous year, highlighting operational recovery across business lines. Net investment income also rose by 45.9% to ₦61.2 billion, reinforcing the company’s strong financial buffer against economic volatility.
Total comprehensive income increased by 89% to ₦33.5 billion, while normalized return on equity stood at a strong 31.2%. The board also proposed a dividend of 12 kobo per share, payable on June 5, 2026.
Management Outlook
Managing Director and Chief Executive Officer, Babatunde Fajemirokun, described the performance as a reflection of disciplined execution and strategic resilience.
He noted that despite macroeconomic headwinds and policy transitions, the company maintained steady growth across its core businesses, supported by prudent risk management and targeted investments.
Looking ahead, AIICO Insurance Plc said it remains focused on strengthening its balance sheet, enhancing customer value, and leveraging opportunities in Nigeria’s evolving financial services landscape.
