Insurance companies in Nigeria have continued to show increased strength in premium generation as the industry’s gross written premium soared to N1.21 trillion in the second quarter of 2025, indicating a growth rate of 49.3 percent compared to the same period in 2024 and an increase of 57.8 percent quarter on quarter.
According to the National Insurance Commission (NAICOM), the insurance sector recorded notable performance amid economic headwinds in the country, as reflected in the Insurance Market Performance Bulletin recently published by the regulator.
One of the companies that over the years has continued to shore up the financial situation of the industry is NEM Insurance Plc, which, according to available data, is among the top three insurance companies in Nigeria, in terms of generating insurance revenues in general business operations.
NEM Insurance Plc’s financial performance for the second quarter ended June 30, 2025 showed that it recorded insurance revenue of ₦75.41 billion, significantly higher than the ₦45.47 billion reported in the same quarter of the previous year.
The company’s financial status in the second quarter of 2025 revealed its strong capital which significantly exceeded the minimum capital required (MCR) in accordance with the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
NEM Insurance’s profit before tax (PBT) for the quarter was ₦3.08 billion, compared to ₦17.94 billion in the previous year, and profit after tax for the quarter was ₦2.66 billion, compared to ₦15.48 billion in the previous year. The decrease in earnings is primarily due to increased claims and expenses.
NEM Insurance Plc reported total assets of ₦159.90 billion as of June 30, 2025, compared to ₦121.93 billion as of December 31, 2024. Total liabilities stood at ₦83.97 billion, up from ₦56.49 billion in the previous period. Capital increased to ₦75.93 billion from ₦65.44 billion.
Net cash inflow from operating activities was ₦8.78 billion, compared to ₦12.94 billion in the same period last year. Investing activities resulted in a net cash outflow of £4.46 billion, while financing activities resulted in a net cash outflow of £5.28 billion. The company’s cash and cash equivalents at the end of the quarter were ₦11.82 billion.
The company’s share capital remained unchanged at ₦5.02 billion. The statutory contingency reserve increased to £18.75 billion. Retained earnings grew to £49.40bn and the asset revaluation reserve remained at £2.79bn.
According to NAICOM, total assets of the insurance industry amounted to approximately N4.4 trillion in the second quarter, compared to N2.3 trillion reported in the corresponding period of 2024.
A breakdown of the financial situation of the industry revealed a total of N2.5 trillion in assets for the Non-Life business, while the Life business stood at N1.9 trillion.
The performance breakdown shows that “the non-life segment maintained its relative dominance in the market, contributing 67.2 percent to the total premium pool, mirroring its performance in the corresponding quarter of 2024.”
On the other hand, the Life Insurance segment represented 32.8 percent of the total premiums generated during the same period.
The non-life segment indicated that the oil and gas portfolio remained the largest contributor, accounting for 31.2 percent of total non-life premiums during the quarter.
Fire insurance followed at 18.9 percent and motor insurance at 15.8 percent, while general casualty, miscellaneous, marine and aviation portfolios contributed 8.9 percent, 8.9 percent, 8.8 percent and 7.4 percent, respectively.
He was rated as one of Nigeria’s outstanding corporate leaders at the prestigious BusinessDay Top 25 CEOs Awards held in Lagos.
Organizers of the award described him and NEM Insurance as a shining example of resilience and innovation in the country’s insurance sector, while applauding the company’s consistent growth, operational efficiency and strong customer trust, noting that its commitments to digital innovation, corporate governance and product diversification have firmly positioned it as one of the most trusted insurers in Nigeria.
They further praised Ikekhua’s visionary leadership, saying he has fostered a culture of inclusion and innovation, created value for shareholders and raised industry standards, qualities that earned him a place among Nigeria’s top CEOs.
Ikekhua, in his acceptance speech, dedicated the honor to the hard-working team of NEM Insurance and to Almighty God, who, through His grace, has enabled the company to remain a beacon of light in the insurance industry and economy.
In the 2025 edition, NEM Insurance Plc was recognized among the elite group, underscoring its reputation for disciplined execution and sustainable growth.
The recognition comes against the backdrop of strong fundamentals and industry leadership that continue to distinguish the company.
During the period under review, Global Credit Rating (an affiliate of Moody’s Corporation) assigned NEM Insurance Plc a credit rating of “AA+ (NG)” with a stable outlook.
The rating reflects the company’s strong capital adequacy, prudent risk management framework and consistent earnings generation ability.
By the end of 2024, the company’s total assets had exceeded £150 billion, while shareholders’ funds exceeded £75 billion. These indicators not only reinforced the strength of NEM’s balance sheet but also positioned it as the leading insurance company listed on the Nigerian Stock Exchange.
Beyond financial strength, NEM demonstrated operational reliability by meeting claims obligations of ₦24 billion to customers, reinforcing its reputation as a reliable insurer.
In parallel, shareholders benefited from dividend payments in excess of £5 billion, reflecting a balanced commitment to policyholder confidence and value creation for investors.
Through integrity-driven practices, strong corporate governance and a consistent track record of performance, NEM Insurance Plc continues to set the standard for insurance leadership in Nigeria; a standard now firmly recognized nationally through its inclusion in the Top 25 CEOs Awards 2025.