UNIVERSAL INSURANCE : QUARTER 1 - FINANCIAL STATEMENT FOR 2022

1ST QUARTER MANAGEMENT ACCOUNT

For The Period Ended 31 MARCH 2022

Universal Insurance Plc

RC 2460

UNIVERSAL INSURANCE PLC.

1ST QUARTER 2022 MANAGEMENT ACCOUNT

UNIVERSAL INSURANCE PLC

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

As at 31,MARCH 2022

COMPANY

NOTES 31-Mar-2231-Mar-2131-Dec-21

Assets
Cash and Cash Equivalents	6
Financial Assets	7
Trade Receivable	8
Reinsurance Assets	9
Deferred Acquisition cost	10
Deferred tax assets	23.a
Other Receivables	11
Investment in Subsidiaries	12
Investment Properties	13
Intangible Asset	14
Property, Plant and Equipment	15
Statutory Deposits	16
Total Assets
Liabilities
Insurance Contract Liabilities	17
Borrowings	18
Trade payable	19
Other payable	20
Employee benefit liability	21
Income Tax liabilities	22
Deferred tax liabilities	23

N'000	N'000	N'000
246,580	441,212	187,624
2,501,227	1,953,738	2,325,185
848,961	330,386	65,346
437,710	416,585	437,703
366,884	201,536	153,093
403,685	403,685	403,685
436,492	348,773	354,876
2,449,516	2,451,016	2,449,516
1,901,750	1,891,000	1,901,830
74,676	71,436	68,544
2,623,344	2,651,781	2,623,317
335,000	335,000	335,000
12,625,826	11,496,148	11,305,719
2,313,155	1,747,348	1,558,508
-	-	-
117,542	181,234	206,119
74,448	69,269	97,187
-	-	-
5,870	10,406	1,634
296,875	296,875	296,875

Total Liabilities		2,807,890	2,305,131	2,160,323
Equity
Issued and paid Share capital	24. 1	8,000,000	8,000,000	8,000,000
Share Premium	24. 2	825,018	825,018	825,018
Contingency Reserves	24. 3	783,916	653,034	713,897
Fair value reserve	24. 4	6,460	6,460	6,460
Non Current assets revaluation reserve	24. 5	768,329	768,329	768,329
Retained earnings	24. 6	(565,787)	(1,061,824)	(1,168,307)
Shareholders funds		9,817,936	9,191,016	9,145,397
Other equtiy instruments		-		-
Non - controlling interests
TOTAL EQUITY & LIABILITIES		12,625,826	11,496,147	11,305,719

Signed on behalf of the Board of Directors on 27th April, 2022

BENEDICT UJOATUONU	SAMUEL U. NDUBUISI
CHIEF EXECUTIVE OFFICER	CHIEF FINANCE OFFICER
FRC/2013/CIIN/0000003282	FRC/2013/ICAN/0000003290

The accounting policies and the accompanying notes form an integral part of these financial s

60

UNIVERSAL INSURANCE PLC.

1ST QUARTER 2022 MANAGEMENT ACCOUNT

Universal Insurance Plc

Statements of Comprehensive Income

For the PERIOD ENDED 31 MARCH 2022

Notes

		31-Mar-22		31-Mar-21
		N'000		N'000
Gross Premium written	25	2,333,972		1,581,232
Decrease/(increase) in unearned premium		(1,009,476)	-	539,356
Gross Premium Earned		1,324,496		1,041,875
Reinsurance Premium Expense	26	(280,089)	-	182,956
Net Insurance Premium Income		1,044,407		858,919
Fees and Commission income	27	16,530		8,860
Total Underwriting Income		1,060,937		867,779
Insurance benefits
Claims expenses	28	70,854		55,391
Increase/(Decrease) in claims and IBNR reserves per actuarial valuation	28	-
Claims Expense Recovery from Reinsurance	28	-		1,462
Change in contract liabilities	28	-		-
Net insurance benefit and claims		70,854		56,853
Underwriting Expenses
Acquisition expenses	29	(204,980)	-	161,941
Maintenance expenses	29	(219,501)	-	231,246
Total Underwriting Expenses		(424,481)	-	393,187
Underwriting Profit/(Loss)		707,310		531,444
Investment income	30	261		548
Other operating income		-		-
Total investment income		261		548
Net Income		707,571		531,993
Unrealised fair value loss		176,042	-	51,716
Net realised gains/(loss) on financial assets	31 (i)	-		-
Deferred tax derecognised on reclassification of financial
assets	23	-		-
Net fair value gain/(loss) on investment properties		-		-
Other operating and administrative expenses	32	(204,662)	-	308,623
Total Expenses		(28,621)	-	360,339
Result of operating activities		678,951		171,654
Interest expense	33	-		-
Profit or (Loss) before Taxation		678,951		171,654
Income Tax Expense/ (Credit)	22.1a	(4,821)	-	3,364
Profit or Loss after Taxation		674,130		168,290
Profit/(Loss) to Equity holder		674,130		168,290
Other comprehensive income /(loss)		-
Revaluation surplus on PPE		-
Total other comprehensive income
Total comprehensive income / (loss) for the year
Profit attributable to:
Equity holders of the Company		674,130		168,290
Non-controlling interest		-
Profit/(loss) for the period		674,130		168,290
Other Comprehensive income
Items within OCI that may be reclassified to the profit or loss;
Fair value changes in AFS financial assets		-
Deferred tax impact of changes in AFS financial assets		-
Items within OCI that will not be reclassified to the profit or loss;
		-		-
PPE revaluation gains		-		-
Deferred tax impact of revaluation gains		-
Other comprehensive income for the period		-		-
Total comprehensive income		674,130		168,290
Total comprehensive income attributable to:
Equity holders of the company		674,130		168,290
Non-controlling interests		-		-
Total comprehensive income for the period		674,130		168,290
Earnings per share-(basic and diluted)(Kobo)	34	4.21		1.05

61

UNIVERSAL INSURANCE PLC. 4TH QUARTER 2021 MANAGEMENT ACCOUNT

THE UNIVERSAL INSURANCE PLC

UNDERWRITING REVENUE ACCOUNT

FOR THE PERIOD ENDED 31St MARCH 2022

								GENERAL
						MOTOR	FIRE	ACCIDENT	BOND	ENGINEERING	OIL & GAS	AVIATION	AGRIC INS	MARINE	Mar-22		Mar-21
						N`000	N`000	N`000	N`000	N`000	N`000	N`000	N`000	N`000	N`000		N`000
Direct Premium Written				126,859	240,059	285,953	48,523	13,642	545,486	-	-	189,479	1,450,001		1,216,959
Reinsurance Accepted				15,268	39,475	16,724	4,011	9,087	766,150	-	3,403	29,854	883,971		364,273
Gross Premium Written				142,127	279,535	302,676	52,534	22,729	1,311,636	-	3,403	219,333	2,333,972		1,581,232
Changes in Reserve for Unexpired Risk (*)			87,490	(35,555)	(150,842)	9,859	104,341	(995,788)	22,832	3,179	(54,992)	(1,009,476)	-	539,356
Gross Premium Earned				229,616	243,979	151,834	62,393	127,069	315,848	22,832	6,582	164,341	1,324,496		1,041,875
Net Reinsurance Recovery (UPR) per actuarial valuation													-		-
Reinsurance cost				(9,885)	(35,053)	(27,371)	-	-	(205,999)	-	-	(1,780)	(280,089)	-	182,956
Net Premium Written				219,732	208,926	124,463	62,393	127,069	109,849	22,832	6,582	162,560	1,044,407		858,919
Commission Receiveed				1,556	8,450	6,123	-	-	-	-	-	401	16,530		8,860
Net Income				221,288	217,376	130,586	62,393	127,069	109,849	22,832	6,582	162,961	1,060,937		867,779
Claims Incurred:
Direct Claims Paid				26,131	27,047	69,327	7,000	21,859	2,267	28,545	131	1,666	183,975		153,245
Provision for Outstanding claims (IBNR)			(20,074)	(101,385)	(29,268)	167	(12,040)	(30,599)	(22,693)	(1,473)	(25,680)	(243,045)	-	279,224
Additional charge to claims reserve per actuarial valuation (IBNR)			-	-	-	-	-	-	-		-	-		-
Changes in Provision for Outstanding Claims (**)		(2,519)	30,358	(5,382)	(15,325)	(21,813)	-	420	-	2,477	(11,784)		70,588
Gross Claims Incurred			3,539	(43,979)	34,677	(8,158)	(11,993)	(28,332)	6,272	(1,342)	(21,537)	(70,854)	-	55,391
Reinsurance Claims Recovery per actuarial valuation												-		-
Reinsurance Recovery (IBNR) per actuarial valuation			-	-	-	-	-	-	-	-	-	-		-
Reinsurance Claims Recovery			-	-	-	-	-	-		-	-	-	-	1,462
Net Claims Incured				3,539	(43,979)	34,677	(8,158)	(11,993)	(28,332)	6,272	(1,342)	(21,537)	(70,854)	-	56,853
Underwriting Expenses:		-
Commission Paid				14,255	59,175	63,517	10,254	5,306	229,304	-	1,138	35,823	418,770		254,415
Changes in deferred commission			8,796	(9,913)	(32,642)	1,822	14,893	(194,182)	4,298	637	(7,500)	(213,791)	-	92,474
Additional (DCA) per actuarial valuation report													-		-
Maintenance expenses				24,307	23,884	23,884	23,884	23,884	23,884	23,884	23,884	28,003	219,501		231,246
Total Underwriting Expenses				47,357	73,146	54,759	35,960	44,084	59,006	28,183	25,659	56,327	424,481		393,187
Total Expenses				50,897	29,167	89,435	27,802	32,090	30,674	34,455	24,317	34,789	353,626		336,335
Underwriting Result				170,391	188,210	41,150	34,591	94,979	79,175	(11,623)	(17,735)	128,172	707,310		531,444
Provision for Unexpired Risk- 1 JANUARY 2021		207,967	172,850	95,490	47,690	122,601	199,221	41,337	3,179	83,746	974,080		685,170
Provision for Unexpired Risk- 31 Dec. 2021			120,477	208,405	246,331	37,831	18,261	1,195,008	18,505	-	138,738	1,983,556		1,224,527
Additional charge (UPR) per actuarial valuation				-	-	-	-	-	-	-		-	-		-
Provision for Unexpired Risk- 31 Dec. 2021		120,477	208,405	246,331	37,831	18,261	1,195,008	18,505	-	138,738	1,983,556		1,224,527
* Changes in reserve for unexpired Risk			87,490	(35,555)	(150,842)	9,859	104,341	(995,788)	22,832	3,179	(54,992)	(1,009,476)	-	539,356
Gross Claims Outstanding
Provision for Outsanding Claims- 1 JANUARY 2021		55,590	36,102	101,005	35,251	22,573	40,147	2,404	-	18,348	311,420		404,704
Provision for Outsanding Claims- 31 Dec. 2021			53,072	66,461	95,622	19,926	760	40,147	2,823	-	20,824	299,635		475,292
** Changes in provision for outstanding claims			(2,519)	30,358	(5,382)	(15,325)	(21,813)	-	420	-	2,477	(11,784)		70,588

88

UNIVERSAL INSURANCE PLC.

1ST QUARTER 2022 MANAGEMENT ACCOUNT

Universal Insurance Plc

Statement Of Cash Flows

COMPANY

For the year ended 31 MARCH. 20212

31-Mar-2231-Mar-21

	N'000	N'000
Cash flows from operating activities
Insurance premium received from policy	1,815,397	1,259,581
holders,Brokers & Agents,Cedants
Commission received	16,530	8,860
Reinsurance receipts in respect of claims	(295,952) -	295,952
Reinsurance premium paid	(280,089) -	182,956
Prepaid Minimum and Deposit on Oil & Gas	(52,312) -	63,179
Other operating cash payments	(568,700) -	62,342
Insurance benefits and Claims paid	(183,975) -	153,245
Payments to intermediaries to acquire insurance	(418,770) -	254,415
contracts
Maintenance expenses	(219,501) -	231,246
Interest Received	261	-
Dividend Income Received	-	-
Cash generated from operations	(187,112)	25,104
Company Income Tax paid	-	-
Net cash provided by operating activities	(187,112)	25,104
Cash Flows from Investing Activities
Purchase of property, plant and equipment	(1,388) -	1,801
Purchase of Intangible Assets	(6,133) -	13,225
Purchase of Listed Equities	-	-
Investment income and other receipts	-	548
Unlisted AFS Disposed	-	-
Net Cash provided by investing activities	(7,520) -	14,477
Cash Flows from Financing Activities	-	-
Proceeds from borrowings	-	-
Net cash provided by financing activities	-	-
Net Increase/(decrease) in cash and cash equiv.
Cash and Cash equivalent at the beginning	441,213	430,586
Net increase/decrease in cash and cash equivalents	(194,632)	10,627
Cash and Cash equivalent at the end of period	246,581	441,213

64