Mr. Vikash Peerun
Today, it is with much relief, satisfaction and uncontested pride that I announce the commendable performance of the National Insurance Co. Ltd (“NIC Life”) for achieving a profit, prior one-off exceptional cost and tax, of MUR 345.3m, representing an increase of 143% compared to the previous year. The Profit for the Year (post exceptional costs and taxation) amounted to MUR 142.4m compared to MUR 142.2m in 2020. All to say that the restructuring and transformation strategies adopted will undoubtedly realise sustained stakeholders’ value at greater heights in the coming years.
The journey that awaits us is exciting and our new foundations will be our thrust to create a long-lasting legacy in this new decade in line with our brand promise of Serving You, Serving the Nation.
July 2020 to June 2021 – a financial year, loaded with a multitude of business challenges as well as intensive learning experiences, testing both our resilience and capabilities for steering through whilst setting a stronger foundation for a more promising future and growth. Amidst the turmoil brought about by the Covid-19 pandemic and the effects of its ensuing waves of upsurge, scathing all along business enterprises and households, the NIC Life had to steer through its own inherent challenges. The implementation of
its restructuring and balance sheet transformation plans coincided with the refreshed labour laws coming into play and the stringent regulatory developments arising from the revised AML-CFT regime and controls. We steered through the challenging seas with rigour, dedication and passion, maintaining our undivided focus on the multiple, and at times competing, objectives of preserving the safety of our clients, employees and business partners, sustaining uninterrupted business services whilst gradually manoeuvring through the milestones of our mammoth restructuring plan to finally reach ashore with a number of noteworthy achievements.
"Our vision is to make the NIC Group a promising regional brand in the insurance space over the next 5 years and continually ADD VALUE TO THE LIVES of policyholders, business partners and the community at large"
Growth in Total Assets Over 7% growth over last year to reach Total
Assets of MUR 579 million in 2021
Growth in Profits from Operations Over 21% growth in Profits from
Operations, prior taxation and exceptional item, to reach MUR 41.6 million in 2021
Average Annual Growth Rate in Gross Premiums
Growth of 15.7%
over the last 5
Growth in Shareholder's Fund
The shareholder's Fund grew from Mur 209.7 million (2020) to reach Mur 214.8 million (2021)
Gross Insurance Claims paid to Clients
Over 36,000 claims paid for a total amount of MUR 239.4 million
These remarkable results are the fruits of a long journey of sustained hard work, combined efforts and commitment of our Ultimate Shareholder, the board of directors, the management team and the workforce who have demonstrated resilience and perseverance against all odds. Yet, it would not also have been achieved without the unflinching trust of our long-standing portfolio of clients who have remained by our side over decades, the support of our reinsurers and that of our various other business partners.
As we now progress towards new milestones in our transformation journey, it is more than ever opportune for me to express my heartfelt thanks and gratitude to all of our stakeholders for maintaining this continuum in trust and loyalty through hard and better times. With such praiseworthy relationships in mind, we are confident that the value adding initiatives we are putting in place through
our spectrum of insurance protection, savings and pension covers, and the breadth of lending solutions to support individual and
business needs will improve their lives and businesses.
The June 2021 financial period has also been a major turning point for the NIC Group as we completed a major phase of the restructuring exercise with a thorough review of operating models, cost structures, products and services amongst others. The restructuring exercise, which also included a strategic measure for HR right-sizing and cost optimisation, was successfully implemented in December 2020. This was undertaken through the implementation of a Mutually Agreeable Retirement Scheme for eligible employees, the exceptional cost of which has already been incurred during the course of the year thereby resulting in a Profit for the Year of MUR 142.4m, post the exceptional cost and taxation (Profit from Operations, prior this exceptional restructuring
cost and taxation, being MUR 345.3m for the year ended 30 June 2021).
Our focus will be to maintain our strong position in the long-term insurance business and augment our reach of Mauritian citizens from all demographic segments.
Against this backdrop, the NIC Group is now comfortably set to embark onto the next phase of its burgeoning growth and development.
Our upcoming renewed suite of offerings, whether in terms of life insurance, pension products and lending solutions, is geared towards empowering the nation at large, particularly the vulnerable groups and SMEs with products that would suit their needs and
budgets. The diversity that we bring, in terms of new products, loans and property development projects, will definitely appeal to young professionals and the working population affording them and their family reliable protection and solutions in these uncertain
times. We are extending our investments in technology, systems and process digitisation to enhance and transform the way we do business in the new normal era and to elevate the service experience of our clients and workforce at large. As Chairman of the National Insurance Co. Ltd, my task will be multifold: to pursue the Board’s commitment to the rules of good governance, ensuring that the decisions taken reflect the expectations of all our stakeholders, drive the Company to deliver on its strategies amidst the
unprecedented environmental landscape and above all, preserve and develop the values of the NIC Group, which are, today, its hallmark: an entrepreneurial spirit blended with respect, relationship, rigour and meaningful results. The Board of Directors, Senior Management and myself are committed to making a difference and I believe we are on track to achieving our goal of creating enhanced value for all stakeholders and making the NIC Group a prominent market player on the local and regional arena.
"Thanks to the unflinching support of the Ultimate Shareholder and belief in the NIC Group and its future
plans, we are now well poised to embrace the next wave of development and growth in line with our vision
and strategic orientation."
I seize this opportunity to thank all our clients for their loyalty. I also extend my sincere appreciation to all our key stakeholders including the Shareholder, Parent Ministry, the NIC Board of Directors, Management and Workforce for their continuing commitment and service to the Company and to our valued clients.
I invite you to read through the 2021 Annual Report of the National Insurance Co. Ltd for more insights.
Growth in Assets
Growth in Profits
Growth in Rate in
Investment Income & Gains
Benefits & Claims paid
142% growth to reach MUR 10.1 billion in 2021
143% growth in Profits from Operations, prior taxation and exceptional item, to reach MUR 345.3 million in 2021
73% growth from Mur 216.5 million (2020) to reach MUR 373.8 million (2021)
24% growth in payments made to clients from Mur 984 million (2020) to MUR 1.22 billion (2021)
MUR 1.76 billion