Staco Insurance Plc said its shareholders fund grew by 10.33 per cent at the close of business last year. It rose from N3.4 billion in 2015 to N3.8 billion for the year ended December 31, 2016.
Disclosing this to shareholders at the company’s 21st Annual General Meeting in Lagos, Chairman of the company, Prince Samuel Turoti, said the growth represent a positive solvency margin.
He however said the company experienced a decline in profit, which fell to N1.8billion, which he attributed to foreign exchange fluctuations arising from unfavourable exchange rate of the naira to the dollar denominated liabilities – both contractual and operational.
He added that the paid claims in the 2016 operating year were N1.99billion, of which a substantial part were dollar denominated.
Despite the shortcomings resulting from the high exchange rate, the company’s board and management reaffirmed its commitment to turning things around for the better, by continuously delivering value and positively affecting the lives of its stakeholders and leveraging best practices.
He further said they are reviewing the company’s circumstances with a view to making it profitable as soon as possible notwithstanding the current economic downturn in the country.