This archive report was first published on 28 August 2021.
On August 28, 2021, Jubilee Insurance announced a significant profit increase, with a 146% rise in profits for the first half of the year.
The insurer attributed the growth to part payment on the sale of its general insurance business, with the company making Sh4.5 billion in the period to June 2021, compared to Sh1.8 billion in the same period last year.
Additionally, the company's insurance business saw a slight increase of over a third to Sh3.13 billion in the period under review, up from Sh2.39 billion last year.
Chairman Nizar Juma stated that the company had received a conservative figure for the sale of its general insurance business, with two-thirds of the company being sold to Allianz, resulting in a further Sh2.07 billion.
As part of a broader $100 million (Sh10 billion) deal, Allianz completed the acquisition of a 66% stake in Jubilee's Kenyan general insurance business in May 2021.
Further payments of Sh3 billion are expected to be received by the company in due course, with the deal expected to be completed by the end of 2022, subject to regulatory approvals.
Regional Chief Executive Julius Kipng'etich noted that the rollout of Covid-19 vaccination programs across the country is expected to lead to normal economic patterns, and the company has accelerated its digital innovation journey and improved its distribution network.
As a result, Jubilee Insurance became the first company to announce an interim dividend, with shareholders set to receive Sh1 per share to be paid on or about October 11, 2021, totaling Sh72.5 million.
