SUNU Assurances clears recapitalisation hurdle, targets expansion

SUNU Assurances Nigeria Plc has successfully cleared the insurance industry’s recapitalisation hurdle, strengthened its capital base and positioned the company for renewed growth across the Nigerian market.

The company disclosed this at its Annual General Meeting, where shareholders commended the board and management for successfully navigating the capital-raising process amid the industry’s transition to higher minimum capital requirements under the Nigerian Insurance Industry Reform Act 2025.

Speaking at the meeting, the Chairman of SUNU Assurances Nigeria Plc, Kyari Bukar, stated that the board acted proactively by developing a comprehensive recapitalisation strategy and securing timely shareholder approvals.

He said, “Having met the minimum capital requirement, SUNU is now well positioned to pursue sustainable growth while maintaining a strong capital base and proactive regulatory readiness. The successful exercise places us in a stronger position to take advantage of emerging opportunities in the insurance market.”

Presenting the financial performance, the Managing Director/Chief Executive Officer, Samuel Ogbodu, disclosed that gross insurance revenue rose 41.1 per cent from N15.3bn in 2024 to N21.6bn in 2025, while gross premium written increased 30.05 per cent to N17bn from N13.03bn. Net premium income also appreciated by eight per cent to N9.06bn.

Ogbodu noted that the company would leverage its recapitalised platform to deepen market penetration across corporate, SME, retail, broker, and partnership channels.

However, profitability faced headwinds during the period due to macroeconomic challenges. Elevated inflation drove up insurance service costs, while foreign exchange movements and higher reinsurance treaty expenses impacted bottom-line earnings.

Consequently, net profit stood at N1.53bn compared to N3bn recorded in 2024.

Despite the earnings pressure, Bukar highlighted the firm’s balance sheet resilience, noting that total assets rose by over four per cent to N24.38bn, while shareholders’ funds grew six per cent to N14.5bn. Investment income also recorded a 13.9 per cent increase on favourable institutional placements.

Outlining the 2026 growth blueprint, Ogbodu stated that the company would focus on operational efficiency, claims management, digital adoption, and product innovation tailored to retail and corporate clients.

Shareholders at the event commended the management’s transparent engagement and prompt claims settlement record. A shareholder, Chibuzor Godfrey, urged the board to ensure seamless succession planning as Bukar’s tenure expires before the next AGM. Another investor, Esther Obideyi, tasked the insurer to aggressively deploy artificial intelligence to scale distribution.

The company also announced the appointment of Lucie Barry and Roland Ouedraogo as non-executive directors, alongside Olayinka Adaramola as Executive Director, Technical Operations, following approval from the National Insurance Commission.