Britam shareholders approve Shs 631 million dividend
Shareholders of Britam Holdings Plc have approved a final dividend of 25 cents per share for the financial year that ended on 31st December 2019 during the company 24th Annual General Meeting (AGM).
The historical virtual AGM was held electronically, in line with Capital Market Authority(CMA) guidelines and government regulations banning large gatherings as a result of the ongoing COVID -19 pandemic.
The Group reported a Profit before tax of Shs 4.6 billion in 2019 compared to a pre-tax loss of Shs 2.3 billion the previous year, where no dividend was declared. During the year in review gross earned premiums and fund management fees registered a growth of 11%. This was buoyed by strong revenue growth in life assurance, and International General Insurance Businesses which achieved growths of17% and 22% respectively. The Life Business continues to cement its leadership in the Kenya life assurance industry with a 24.52% market share, more than ten percentage points ahead of the nearest competitor.
International Business contribution to gross earned premium grew to 19% up from 18%in 2018.
Technology InvestmentBritam Group Managing Director Dr. Benson Wairegi noted that the global COVID-19pandemic had introduced unique challenges, “In these uncertain times, we at Britam have made it our primary focus and concern to look out for the health and well-being of our employees, financial advisors, and customers. We have incorporated the guidelines provided by the government and introduced necessary measures to minimize the impact of the pandemic on our stakeholders, especially our staff and customers,” he noted.
Dr. Wairegi said Britam’s investment in technology through Project Jawabu was paying off by ensuring business continuity during this period. This investment in IT, he said, has propelled the business, racking up a number of firsts in the industry: Britam Life Assurance Company was the first Life Company to issue electronic policies (e-policies) and to provide monthly e-statements to customers.
‘We are also the first Company to enable our Financial Advisors to step into the 21stcentury with fully digital capabilities from the issuance of quotations, to customer onboarding right through to the issuance of policies,” he added. Britam was also among the first to go to market with the issuance of digital motor certificates for our General Insurance Business.
Going forward, Dr. Wairegi said that the effects of the Covid-19 pandemic is are expected to lead to a slowdown in the 2020 financial year, as premium growth would not be as robust as envisaged.