CBZ Holdings insurance units in 5.2% income contribution, both units profitable in 2017
By Insurance24
HARARE, CBZ Holdings insurance units made a 5.2% income contribution to group’s total income which amounted to $175 mln in 2017, a 10% increase from $159 mln in 2016.
The Group’s insurance units, CBZ Life and CBZ Insurance were both profitable during the year and the underwriting income was at $8.1 mln which was however a 2.4% decline from $8.3 mln prior year.
Acting chief executive officer Peter Zimunya during a presentation of the financials said during the period, both insurance units were adequately capitalized at $25.36 mln for CBZ Life, a cover 5.1 times from the regulatory $5 mln. This means the unit has a buffer of $20.36 mln.
CBZ Insurance has a core capital base which is 2.8 times cover the minimum regulatory of $2.5 mln at $7 mln, leaving the company with a buffer of $4.5 mln. Both units were rated BBB+ during the period.
Consolidated, gross premium insurance for the year amounted to $19.12 mln, a decline from $19.21 mln in 2016. Reinsurance premium was at $5.33 mln compared to $5.41 mln.
Net claims for the year amounted to $5.56 mln which was a decline from $5.63 mln in 2016. Gross claims were at $9.24 mln while Reinsurance claims amounted to $3.78 mln for the year.
On individual performance, CBZ Life achieved a profit of $3.7 mln from total income of $7.1 mln after costs incurred amounted to $3.4 mln. The profit position was an increase from $2.6 mln achieved in 2016.
During the period CBZ Life launched the CBZ Life Employee Benefits scheme. Total assets increased 20.2% to $23.2 mln from $19.3 mln in prior year.
CBZ Insurance also achieved a $2.4 mln profit in 2017 having achieved total income of $4.6 mln with expenses at $1.9 mln. Assets amounted to $13.2 mln for the year.
Meanwhile, the Group’s after tax profit for the year increased 17% to $27.83 mln from $23.78 mln in 2016. Net non-interest income constituted bulk of total income at $91.39 mln while net interest income amounted to $75.55 mln.
