Monday 28 October 2013

MET Insurance to shore up capital

By Samuel Doe Ablordeppey

 

Metropolitan Insurance is to shore up its minimum capital by the close of the year with additional $5 million.

This should make the general business insurance company one of the most capitalised in the country way above the National Insurance Commission's GH¢1 million minimum capital threshold and strengthen the company's ability to retain a greater chunk of the business it writes.

Currently, Met Insurance reinsures about 60 per cent of the business it underwrites and this is expected to change when its capital moves above the current GH¢4.6 million. Its shareholders' funds stands at GH¢12 million.

The Chief Executive Officer of Met Insurance, Mr Kwame Gazo-Agbenyadzi, told the Daily Graphic at Prampram last Friday, that local and foreign investors had already shown interest in the recapitalisation process and were poised to take up their calls.

Mr Gazo-Agbenyadzi disclosed these at the annual sales day out at Prampram, near Accra, to appreciate the contribution of its sales team to the premium income of the company.

Last year, the total gross premium of Met Insurance stood at GH¢45 million. As of last month, the company was only a percentage shy of its GH¢51 million premium income target, which company executives believed would be overshot by the close of the year.

'As at the end of September, 2013, the contribution of the sales team stood at GH¢16.5 million, a 17.4 per cent growth over the 2012 output of GH¢14 million for the same period,' the CEO told the sales team, some of whom were awarded for their hard work.

The sales team contributed 35 per cent of the total gross premium of the company.

The company wants to invest part of the fresh capital to expand its branch network to be closer to the customer and upgrade its information technology infrastructure, making it possible for its sales team to process insurance business online.

'Better capitalised companies are able to compete. We will have the resources to maintain our quality human capital, support our sales team with more training and capacity to enable them to grow their business and contribution to our gross premium,' Mr Gazo-Agbenyadzi stated.

The CEO of Met Insurance was also happy about the performance of the sales force, as 13 sales executives achieved a 100 per cent growth over their performance last year.

'Some of you have even collected more than the debits raised in your names for the period under review; this is highly commendable,' he said and called on them to remain professionals with unquestionable integrity.

Mr Richard Reichmann, a MET2U Manager, emerged the overall best in premium production and debt ratio, as well as the overall best in new business production.

Mr Paschal Dusi also emerged the overall best in debit premium production, with Ms Zalia Garia, emerging the Fastest Growing MET2U office manager.

For the sales executives category, Mr Vincent Mawuli Anane, emerged the overall best in company's debt ratio; Mr Peter Richie Adzogble took twin awards of overall best in debit premium production and overall best in new business production, while the fastest growing sales executive went to Mr George Kobina Ackom. Ms Doreen Akosua Aboney was adjudged the most entrepreneurial sales executive for 2013.



Source: Daily Graphic

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