Jubilee Insurance achieves a premium growth of 30%

Story by:        Albert Bwana

East Africa’s Leading Insurer, Jubilee Holdings Limited achieved a turnover of Ksh 30.3 billion; a growth of 30 per cent over 2013.

                Profits grew by 38 per cent to Ksh 1.25 billion; the insurer also realized 25.3 per cent increase in its pre-tax profits to Kshs 3.95 billion.

The countries that it operates including Kenya, it grew by 37 per cent, Tanzania by 20 per cent, Uganda by 7 per cent, Mauritius by 19 per cent and Burundi by 29 per cent in 2014, compared to the same period in the previous year.

 “We are pleased with the growth we have achieved in 2014 and we are grateful to all our stakeholders including shareholders, loyal clients, intermediaries and staff for their support and continued commitment to Jubilee,’ said Jubilee Holdings Chairman Nizar Juma.

 He added that this year, Jubilee will continue to make investments in systems and networks that will enable the company extend its reach across the whole of this region so as to make insurance products more accessible to consumers in all markets.

The insurance Group still retained its leadership position in Medical insurance across the region with a 21% growth in premiums to Kshs 7.62 billion up from Kshs 6.32 billion in 2013.

 General Insurance, excluding medical, produced excellent underwriting results with a 90 per cent combined ratio with premiums growing to Kshs 11.14 billion up from Kshs 9.88 billion in 2013.

Life insurance gross premium and deposit administration inflows saw a growth of 61% to Kshs 11.59 billion, compared to Kshs 7.22 billion in 2013, the insurer attributed the growth is due to its strategic product development approach.

The Group’s strategy of diversifying its investment and asset base provided an impressive investment income growth of 31 per cent to 4.8 billion in 2014.  Group profit after tax grew by 24 per cent to Kshs 3.1 billion in 2014 from Kshs 2.50 billion recorded in the same period in 2013. Earnings per share rose to Kshs 48 as at December 2014 from Kshs 38 in the previous year.

Jubilee insurance also launched the ‘Tumaini ya Jamii’ life insurance product, which aims to make insurance more accessible for lower income groups, and a 24hr PSV passengers’ medical cover named ‘Jubilee Msafiri’, which is a benefit designed to cover travellers while on a long distance bus journey within East Africa. 

In addition, Jubilee also launched Lady Jubilee in Kenya and Tanzania, the first motor insurance product that offers cash back rewards to accident free drivers and which is designed specifically to meet the insurance needs of Ladies. 

This year, Jubilee Kenya CEO Patrick Tumbo won the African Insurance Awards 2015 CEO of the Year, at the 42^nd Conference and General Assembly of Africa Insurance Organization.

Jubilee announced a dividend of 170% for the year 2014 on the share capital of Kshs 299 million. An interim dividend of 20% (Kshs 1per share) was paid in October last year. The board received approval for final dividend of 150% (Kshs 7.5 per share).

The Jubilee Group declared a total dividend of Kshs 8.50 compared to Ksh 7per share last year and a 1 for 10 bonus share issue in 2015.

Jubilee Insurance was established in August 1937, as the first locally incorporated Insurance Company based in Mombasa in 1937.

Jubilee Insurance has spread its sphere of influence throughout the region to become the largest Composite insurer in East Africa, handling both long-term and short-term insurance. Today, Jubilee is the number one insurer in East Africa with over 450,000 clients.

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