After navigating a turbulent economic landscape, Great Nigeria Insurance (GNI) Plc has made an impressive return to profitability, reporting a ₦2 billion profit after tax for the 2024 financial year. This marks a remarkable turnaround from a ₦736 million loss recorded in 2022, underscoring the company’s strong recovery strategy and prudent financial management.
The Insurance Service Expense for 2023 stood at ₦2 billion, up from ₦1.5 billion in the previous year, reflecting the company’s increased underwriting activities and improved claims management efficiency. More notably, GNI’s Net Investment Income surged to ₦4.6 billion, a sharp rise from ₦1.3 billion, representing a 254 percent increase. This significant boost in investment performance was identified as one of the major drivers behind the company’s overall profitability.
In the company’s annual report, the chairman highlighted that “in the current reporting year, the company’s Net Investment Income stood at ₦4.6 billion as against the 2022 figure, which was ₦1.9 billion.” He attributed this growth to disciplined portfolio management, prudent risk selection, and the implementation of forward-looking investment strategies.
Looking ahead, GNI’s Chairman, Mr. Aluko, outlined the powerful forces expected to shape the future of Nigeria’s insurance industry. According to him, “The future of Nigeria’s insurance industry will likely be shaped by four powerful forces: regulatory upgrades like IFRS 17, ongoing economic reforms, accelerated technology adoption which will create both challenges and opportunities and the newly signed Nigerian Insurance Industry Reform Act (NIIRA) 2025.”
He explained that IFRS 17 would significantly transform the way insurance performance is reported, enhancing transparency and boosting investor confidence. “By standardising key assurance measures and performance reporting, IFRS 17 will help attract foreign capital and make it easier for investors to compare companies within the market,” he said.
On the newly enacted NIIRA 2025, Aluko noted that the law introduces a series of bold reforms designed to strengthen confidence and trust in Nigeria’s insurance sector. “The act also provides a robust framework that guarantees the financial safety of policyholders in cases of insolvency while establishing a strong safeguard for insurers themselves,” he added.
Despite these positive developments, Aluko acknowledged the persisting headwinds facing the industry, including inflationary pressures and macroeconomic instability. He cautioned that “these challenges could slow growth in the near future if not properly and timely mitigated.” Nonetheless, he reassured shareholders of GNI’s unwavering commitment to maintaining operational resilience and adapting to market dynamics through innovation, efficiency, and strategic partnerships.
Great Nigeria Insurance’s strong rebound not only reflects its internal discipline but also signals a broader wave of optimism for Nigeria’s insurance industry. With renewed investor confidence, regulatory reforms, and accelerating digital adoption, GNI is well positioned to sustain its growth momentum and play a leading role in driving the next phase of the sector’s evolution.
