BY NKECHI NAECHE-ESEZOBOR—Ahead of post recapitalization, Prudential Zenith Life Insurance has raised its authorised share capital to N5 billion.
According to statement released by the company, this surpassing the new minimum capital requirement of N4 billion by Dec. 31 set by the National Insurance Commission (NAICOM).
Speaking on the increase, Mr Chuks Igumbor, Managing Director and Chief Executive Officer of the firm said, “We have met and exceeded the minimum requirement of the Dec. 31, 2020 recapitalistion deadline set by NAICOM .
“We are positioned to meet the additional capital requirement of N8billion well ahead of the Sept. 30, 2021 deadline ”
He noted that the seamless recapitalisation effort was hinged on the enormous financial strength and support from the company’s key shareholders.
He said the firm is poised to emerge stronger with greater capability to serve its customers and to continue to grow its business.
Prudential Zenith Life Insurance Limited is part of Prudential Plc, one of the oldest and strongly capitalised life insurance companies in the world.
NAICOM had directed that insurance companies pay 50 per cent of the minimum paid-up capital while Re-insurance companies are expected to pay 60 per cent by Dec. 31, 2020.
According to the commission Life Insurance business with existing minimum paid-up capital of N2 billion is expected to pay a minimum paid – up capital of N4 billion by Dec. 31, 2020 and N8 billion by Sept. 30, 2021.
General Insurance business with existing minimum paid-up capital of N3 billion is expected to pay a minimum paid-up capital of N5 billion by Dec. 31, 2020 and N10 billion by Sept. 30, 2021.
Composite Insurance business with existing minimum paid-up capital of N5 billion is expected to pay a minimum paid-up capital of N9 billion by Dec. 31. 2020 and N18 billion by Sept. 30, 2021.
