Olufemi Adeyemi
Mutual Benefit Assurance Plc has assured stakeholders of its robust capital position and readiness to scale amid the ongoing insurance industry recapitalisation exercise, as it marked its 30th anniversary with a thanksgiving service in Lagos.
The company’s chairman, Dr. Akin Ogunbiyi, revealed that the firm has diversified beyond its core insurance operations by investing a whopping $64 million (about N96 billion) in a producing oil asset. He described the move as a strategic hedge against economic volatility and a major milestone for a company that started with an initial capital of about N5 million three decades ago.
Speaking at the event, Ogunbiyi said the investment reflects Mutual Benefit’s resilience and long-term growth strategy, noting that the firm has evolved from a modest local insurer into a diversified financial services group with regional footprints.
He also highlighted the growing contributions of the company’s regional subsidiaries, revealing that Mutual Benefit’s Niger Republic operation has become the second-largest insurer in the market and is positioned to become the leader following the exit of several francophone competitors.
The chairman recounted the company’s journey, including overcoming a liquidity crisis in 2020 through a $10 million capital injection from U.S. investors and the successful resolution of a debt dispute at a London court. He also paid tribute to staff, recalling the numerous challenges the company weathered over the years, including the Daewoo loan crisis, which he said affected several insurers in the industry.
Growth Strategy Focuses on Retail Market and Technology
Dr. Ogunbiyi said the company would intensify efforts to grow its retail market, describing the segment as largely untapped and offering significant opportunities for sustainable expansion.
In a separate briefing with journalists, Managing Director/CEO Mr. Olufemi Asenuga said Mutual Benefit had positioned itself to meet recapitalisation requirements well ahead of the June deadline and the enactment of the Nigerian Insurance Industry Reform Act 2025.
Asenuga explained that despite multiple regulatory directives over the past five years, Mutual Benefit had already surpassed the required capital thresholds of N10 billion for Life insurance and N15 billion for General insurance.
“By 2020, we had already complied with the initial directives. Today, we have not only met the minimum requirements, we have exceeded them for both the holding company and the Life business,” he said.
He added that the company’s focus has shifted from regulatory compliance to injecting additional liquidity to drive aggressive business growth.
He also noted that the group’s regional subsidiaries were contributing positively to performance and that the Niger Republic operation was well-positioned to become market leader.
Microinsurance, Technology and Cautious Expansion
Asenuga said Mutual Benefit remains cautious about mergers and acquisitions, noting that acquisitions are not a priority following challenges experienced after the 2007 acquisition of Worldwide Insurance.
Instead, the company is leveraging technology to revive and expand its microinsurance business, which previously suffered from high distribution costs. A technology-driven rollout is now being planned to deepen market penetration and improve efficiency in the segment.
He emphasised that diversification into the energy sector was deliberate, serving as a hedge against domestic economic cycles.
“It has not been easy for a company to stand this tall after 30 years, especially in an economy characterised by volatile government and regulatory policies,” he said.
Celebration of Staff and Corporate Legacy
The thanksgiving service, held under the theme “Fulfilling Purpose,” attracted industry stakeholders, financial sector leaders, staff, well-wishers and former Commissioner for Insurance Mr. Fola Daniel.
The event featured the presentation of long-service awards and cash gifts to staff in recognition of their dedication, including the Managing Director/CEO, who has served the organisation for 30 years.
Asenuga emphasised that a strong workplace culture has played a key role in retaining talent and sustaining growth, reinforcing the company’s commitment to customer satisfaction and a supportive work environment.