UAP Insurance Kenya has announced a Ksh. 1.249 billion profit before tax for the financial period ended 31st December 2019. This is a 316% increase from the Ksh. 299 million net profit in the previous year.

“This good performance is attributed to our strategic focus on profitable growth and providing superior customer experiences through digitization of our solutions and enhancing our discipline in operation excellence. In addition, we implemented prudent risk selection, innovation in claims value chain and cost control which are key strategic initiatives geared towards enabling us to achieve these great results” said David Kuria, Managing Director, UAP Insurance Kenya.

The gross written premiums grew by 1% to Ksh. 9.37 billion in 2019 from Ksh. 9.25 billion in 2018 , while the net earned premiums increased by 2%. Despite the net claims payables marginally increasing by 3% in line with business growth, the claims ratio improved from 69% in prior year to 68% in 2019. This was driven by the Company’s focus on profitable business growth as well as claims cost management initiatives undertaken.

The high profitability was also boosted by good investment income returns. Yields on government securities remained relatively stable in the year which was mainly due to the attractive bond returns and the risk-free nature of government securities. Equities also recorded a good performance following a recovery from one of the worst performances in 2018.

“UAP Insurance Company has continued to post improved performance resulting in a strong balance sheet with a total asset base of Kshs. 16 billion & total equity of Kshs. 7 billion. UAP Insurance Kenya is positioned 3rd in the Industry commanding a market share of 7.1% based on the IRA full year 2019 industry report” remarked Mr. Kuria.

The company also won Company of the year award during the 2019 Association of Kenya Insurance (AKI) awards which is a testament of their continued growth in key strategic areas geared towards fulfilling their customers and Business Partners financial needs.

UAP Old Mutual Group is a subsidiary of Old Mutual Limited, a listed company on the Johannesburg Stock Exchange with secondary listings on the London, Malawi, Namibia and Zimbabwe stock exchanges. The company has presence in 14 markets across Africa. In East Africa, the Group has over 1.5M customers, 1,400 employees, 12 iconic properties and over USD 2B in funds under management in the region.