As part of its commitment to creating value for its participants and deepening the Nigerian insurance industry, Noor Takaful Insurance Limited paid a N109.84m surplus for the financial year 2020. The Chairman of Noor Takaful Insurance Company, Mr. Muhtar Bakare, disclosed this at the 4th Surplus distribution event in Lagos. 

According to him, this was the distribution of the largest ever surplus to qualifying participants in Nigeria, who took various general and family takaful insurance covers for 2020. He said Noor Takaful gave our general participants the regulatory approval to N74.121m, while the family participants got N35.725m. 

He commended the regulator National Insurance Commission, NAICOM, for providing an enabling regulatory environment and insisting on probity and accountability in the industry. He said Noor Takaful paid claims of about N1.9bn for 2021, which is one of the best in the insurance industry.

He thanked the alternative finance ecosystem for supporting the Takaful industry in Nigeria. In her remarks, the MD/CEO of Lotus Capital, Mrs. Hajara Adeola, said there are currently 320 Takaful operators worldwide, with five operating in Nigeria. She informed stakeholders that the non-interest finance industry is a positive force empowering communities and supporting inclusive economic growth.

She believed that the next level for the industry was to invest more in technology and train the next generation of leaders. Giving his goodwill message at the event Pastor Poju Oyemade of the Covenant Christian Center lauded Noor Takaful on its drive to provide insurance services to the excluded citizens in the country. 

He described the consistency in surplus distribution as impressive and believed the company would experience sustainability because of its resolve to deepen financial inclusion. The Vice-Chairman, Noor Takaful, Mr. Aminu Tukur, said its operational framework strictly follows takaful principles. He said ‘Takaful’ entails contract donation into a shared pool of funds, which involves a mutual guarantee among participants.

He said the payments covered the period of Jan 1 to Dec 31, 2020, and participants will averagely receive a 16% return as against 13% of 2019 & 10% of 2018 surplus. He added that the surplus is subject to a 10% withholding tax.  In her goodwill message, Mrs. Yetunde Ilori, the Director-General of the Nigeria Insurers Association, NIA, also commended Noor Takaful for its consistency in surplus distribution, giving the Nigerian insurance industry a good narrative.

Professor Tajudeen Yusuf, the President of the Institute of Islamic Professionals, IIFP, agreed that Noor Takaful had raised the bar in surplus distribution. He called for more cooperation amongst the five takaful operators in improving awareness of its value to Nigerians. 

Highlights of the event were the presentation of cheques to participants at the corporate level, some of which include; Sterling Bank, Jaiz Bank Plc, Citiserve Limited,  Vanguard Pharmaceuticals, Lotus Capital, Taj Bank and Federal Polytechnic, Ilaro.