Lion Insurance, a prominent player in Ethiopia’s insurance industry for the past 17 years, has announced a historic achievement: for the first time, the company has raised over 1 billion birr in premiums revenue. This milestone positions Lion Insurance among the leading firms in the sector, reflecting a significant growth trajectory.
In a recent report, Lion Insurance revealed that its total premiums revenue reached 1.173 billion birr, marking a remarkable 41 percent increase from the previous year. This growth underscores the company’s resilience and ability to adapt to the evolving insurance landscape in Ethiopia.
Abrham Gebreamlak, Chairperson of the Board of Directors at Lion Insurance, acknowledged the challenges facing the sector, particularly the shortage of skilled personnel. He noted that this lack of expertise has led to inadequate wages and benefits for employees, putting pressure on workforce stability. “We are actively working to build the professional capacity of our employees and develop future leaders within the organization,” he stated.
The annual report also highlighted that Lion Insurance incurred total compensation costs of 42 million birr this fiscal year, with a compensation ratio of 63.8 percent. The company’s net profit stood at 185 million birr, with an average dividend share of 57.6 percent.
Notably, the life insurance sector, which is still in its second fiscal year, collected premium revenue of 23.1 million birr—an impressive increase from 4.4 million birr recorded in the previous fiscal year. This growth has contributed to an increase in the company’s market share to 1.2 percent.
By the end of the fiscal year, Lion Insurance’s Company’s assets increased by 33.9 percent from the previous year, reaching 2.78 billion birr .
During its 17th General Meeting of Shareholders, Lion Insurance reported total compensation payments amounting to 421.9 million birr and a result from insurance contract operations of 280.6 million birr—an increase of 126.8 million birr or 82.4 percent compared to the prior year.
Additionally, the company earned 143.9 million birr before tax from various investment sources, culminating in a total profit of 211.2 million birr for the fiscal year—a significant increase of 135.6 million birr or 179.3 percent compared to the previous fiscal year.
Lion Insurance has received approval from the National Bank of Ethiopia to offer inclusive Takaful insurance products to its customers and is preparing to launch this service soon. This initiative reflects the company’s commitment to expanding its product offerings and meeting diverse customer needs.
