CIC Insurance Group Plc has posted a Profit Before Tax of Kshs 3.99 billion for the year ended December 2024, marking a 57% increase from Kshs 2.54 billion recorded in 2023. The robust growth was driven by higher insurance revenue and a significant rise in investment income, which surged by 201% from Kshs 2.9 billion in 2023 to Kshs 8.8 billion in 2024.
The company attributed its strong performance to the continued execution of its 2021-2025 strategic plan, anchored on 12 transformational initiatives. Sustainability has also become a key focus, with the firm integrating environmental, governance, and social impact considerations into its business operations.
Financial Highlights
- Insurance revenue grew by 4%, rising from Kshs 26.3 billion in 2023 to Kshs 27.4 billion in 2024.
- Profit After Tax doubled to Kshs 2.8 billion from Kshs 1.4 billion in the previous year.
- Investment income saw remarkable growth, soaring by 201% to Kshs 8.8 billion.
- Insurance service expenses increased by 7% to Kshs 24.2 billion.
- Total assets expanded by 23%, reaching Kshs 61.9 billion.
- Assets Under Management grew from Kshs 146 billion to Kshs 152 billion.
Performance of Kenyan Subsidiaries
General Insurance Business
The general insurance segment recorded Kshs 16 billion in revenue, a 3% increase from 2023, attributed to new business acquisitions.
- Profit Before Tax stood at Kshs 1.2 billion, demonstrating resilience despite rising industry costs.
- Claims and insurance service expenses grew to Kshs 15 billion, reinforcing CIC’s commitment to policyholder obligations.
- Total assets grew by 19%, driven by a 13% expansion in investments.
CIC Life Assurance
The life assurance business reported Kshs 6.8 billion in insurance revenue, reflecting a 2% year-on-year growth.
- Profit Before Tax reached Kshs 1.2 billion, underscoring strong earnings performance.
- Deposit administration assets surged by 44% from Kshs 9.9 billion to Kshs 14.2 billion.
- Total assets increased by 35%, while liabilities grew by 30% due to higher insurance contract reserves.
CIC Asset Management
- Assets Under Management expanded by 5% to Kshs 152 billion.
- Profit Before Tax rose by 7% from Kshs 704 million to Kshs 753 million.
- The firm enhanced customer experience through its newly launched mobile app.
Regional Expansion and Performance
CIC’s regional subsidiaries contributed 16% of the Group’s Profit Before Tax and 14% of its insurance revenue in 2024.
- CIC South Sudan grew insurance revenue by 15%.
- CIC Malawi recorded a 24% increase in revenue.
- CIC Uganda experienced a 2% decline due to challenges in its agriculture portfolio.
To strengthen its regional footprint, CIC launched an individual life business in Malawi and introduced a medical insurance business in Uganda.
Strategic Outlook
As CIC approaches the final year of its 2021-2025 strategic plan, the company is focusing on digital transformation, product innovation, and financial inclusion. Key priorities include:
- Expanding digital capabilities and enhancing product diversification.
- Rebalancing the balance sheet by offloading non-core assets.
- Strengthening its microinsurance business to drive financial inclusion.
- Deepening sustainability efforts and employee engagement.
With a solid financial foundation and strategic growth initiatives in place, CIC Insurance Group is well-positioned to maintain its upward trajectory in 2025.
