Unity Kapital PLC has just disclosed that it recorded 15% drop in its gross premium for the third quarter of 2016.
Gross premium dropped from NGN2 billion in third quarter 2015 to NGN1,7 billion in Q3 2016. Re-insurance premium cost for the quarter slightly fell to NGN566 million from NGN682 million expended on the same item last year.
Unity Kapital reported that its net premium income fell to NGN1,1 billion versus NGN1,3 billion recorded last year. Fees and income increased from NGN24 million to NGN36 million for the quarter.
Unity Kapital is has grown its fees considerably given the fact that the company reported NGN25 million in Q4 2015. It is also an indication that it has widened its product offering to get more fees.
Unity Kapital reported that its claims expenditure increased to NGN428 million. Last year, the company expended about NGN251 million on the same expenditure. This might be an indication that the company is seen increasing costs in fulfilling claims on incidences.
Although impairment form bad debt is slowing down, it is still high at NGN721 million for the quarter compared to NGN763 million recorded in third quarter of 2015.