Jubilee Insurance has registered significant growth for the year ended December 2019.
The insurer, which is one of the biggest in Uganda, according to a financial statement, saw written premiums grow to Shs155b for the period compared to Shs146b in 2018.
During the period, profits grew to Shs22.8b compared to Shs20.2b in 2018 while Shs30.9b was paid out in claims compared to Shs27.1b in the 2018.
Income tax expenses during the period marginally increased from Shs8.1b in 2018 to Shs8.2b while commission expenses reduced to Shs12.9b from Shs15.4 in 2018.
Total income, the financials show, increased to Shs93 billion in 2019 compared to Shs87b in 2018.
Net earned premium dropped to shs51b in the period compared to Shs53b in the same period in 2018.
Total assets grew to shs281b compared to Shs263b in 2018.
Meanwhile, UAP Old Mutual registered mixed performance with a drop in profit margins due to losses incurred from fluctuations in the property market.
The total income, according to the financial statement, stood at Shs96.3b for the period ended December 2019 compared to shs95.6b in the same period in 2018.
Mr Stephen Chikovore, the UAP Old Mutual General Insurance, managing director, noted in notes accompanying the financial statement that core business total income had in the period increased marginally by 0.4 per cent due to growth in net earned premiums which grew by 11 per cent.
“The property market experienced fluctuations in the key variables (per square meter inter alia) which in turn affected the property portfolio performance. The property within the company balance sheet experienced fair value losses of Shs3b compared to Shs100m in 2018 which significantly impacted profitability,” he said.
The UAP, owns 45 per cent of UAP Old Mutual properties, Mr Chikovore said was severely impacted by fair value loss which in turn affected the company profitability by Shs7.4 billion.
Profit after tax for the period, according to the financial statement, dropped to Shs1.6b compared to Shs9.7b in 2018.
Net earned premiums stood at Shs86b during the period compared to Shs78b in 2018 driven by controlled reinsurance costs.
However, gross written premiums marginally dropped by 1 per cent from due to new business strain that stood at Shs111.1b in 2019 compared to Shs111.9b in 2018.
The health insurance unit of the business posted a 16 per cent on the back of superior customer experience.
Total assets dropped marginally to Shs197.9b in 2019 compared to Shs205.8b in 2018.