Cornerstone Insurance posts 49% revenue growth, 68% profit surge
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Cornerstone Insurance Plc has announced a remarkable financial performance for the year ended 2024, reporting a 49 per cent increase in insurance revenue and a 68 per cent surge in profit before tax.
The Chairman, Segun Adebanji, made the announcement during the company’s 33rd Annual General Meeting held in Lagos on Tuesday.
The company posted insurance revenue of N38.6 billion, up from N25.9 billion in 2023, while profit before tax rose to N28.6 billion, reflecting strong year-on-year growth.
“This performance underscores our commitment to strategic execution, a diversified portfolio, and prudent risk management,” said Mr. Adebanji.
Key contributors to this success were the General Business lines, especially Engineering, Oil & Gas, and Motor Insurance portfolios, which delivered returns of N6.11 billion, N5.24 billion, and N4.75 billion respectively.
Additionally, strategic asset allocation and a favorable yield environment significantly boosted investment income.
The company also focused on expense optimization, improved underwriting discipline, and enhanced claims management through technology to elevate customer experience.
Giving more details on the Group’s performance, the Group Managing Director/CEO, Mr. Stephen Alangbo, disclosed that the Group’s Life Insurance business revenue rose by 46.1 per cent to N7.6 billion, driven by a strong performance in its Group Life Assurance portfolio, improved policy persistency, and the successful introduction of innovative, retail-focused products.
Notable among these are the Cornerstone REST (C-REST) Plan, Flex! Endowment, and the Cornerstone Life Insurance Plan (CLIP) products designed to offer greater value and deepen customer engagement.
He added that the strategic restructuring of the Agency Network also played a pivotal role in bolstering growth, setting the stage for continued upward momentum in the Life portfolio.
On the General Insurance front, Alangbo revealed that the business segment grew by 54.4 per cent, with revenues climbing from N14.7 billion in 2023 to N22.7 billion in 2024, contributing approximately 58.8 per cent of the Group’s total insurance income.
The growth was largely powered by strong performances in the Engineering (N6.11 billion), Oil & Gas (N5.2 billion), Motor (N4.75 billion), and Fire (N2.6 billion) business lines, which recorded year-on-year increases of 36.6 per cent, 48.5 per cent, 88 per cent, and 25 per cent, respectively.
Alangbo noted that the Motor insurance portfolio particularly benefited from rising asset values, a consequence of inflation, currency devaluation, and increased import duties.
The Group’s subsidiaries also made notable contributions. FIN Insurance Limited posted a 32 per cent increase in revenue to N7 billion, up from N5.3 billion in 2023, while Hilal Takaful Nigeria Limited recorded a remarkable 160 per cent growth, with revenue rising from N548 million to N1.3 billion.
Together, these subsidiaries accounted for 21 per cent of the Group’s total insurance revenue, with FIN contributing 18 per cent and Hilal 3 per cent.
Looking to the future, Alangbo reaffirmed Cornerstone Insurance’s commitment to sustainable growth, stating that the Group’s strategy for 2025 and beyond is anchored on five strategic pillars: Retail Expansion, Technology Leadership, Capital Optimization, Sustainable Impact, and Customer Delight.
