Tunisian Insurance Company, Lloyd Tunisien, Publishes 2023 Financial Statements
The Tunisian insurance company, Lloyd Tunisien, has released its financial statements for the 2023 fiscal year.
Non-Life Insurance Segment
The company reported a non-life insurance turnover of 194,367 MTND, a 23.4% increase compared to 157,508 MTND in 2022. Net written premiums totaled 90,658 MTND, a 27.9% year-over-year improvement. This achievement is attributed to an intensive marketing plan and targeted commercial actions aimed at developing a strong brand image and reputation, thereby reinforcing the company's market presence.
This performance was accompanied by operational achievements, including the title of Best Car Insurance in Tunisia for the third consecutive year.
Investment Products
The investment products allocated to the income statement benefited from the dual effect of rising interest rates and increased investments (237,325 MTND as of 2023), reaching 12,299 MTND. Notably, during the year, the insurer acquired a stake in the real estate promotion company Zeineb Immobilière to diversify its investment portfolio.
Claims and Expenses
Higher revenues were accompanied by a higher net claims expense of 71,778 MTND, compared to 55,377 MTND the previous year. However, the claims ratio decreased by 323 basis points to 51.1%.
Operating expenses increased by 32.9% to 21,855 MTND, mainly due to higher acquisition costs of 33,510 MTND compared to 24,881 MTND. This led to a 10.0% decline in net income to 5,016 MTND.
Life Insurance Segment
Life insurance premiums totaled 2,357 MTND as of 2023, compared to 1,763 MTND in 2022. Although net claims and operating expenses were positive, the absence of profit participation in 2023, compared to 1,641 MTND in 2022, led to a 24.7% decline in the technical result to 1,340 MTND.
Global Income Statement
Thanks to investment products of 25,299 MTND (23,955 MTND in 2022), the company was able to maintain a stable net profit of 9,223 MTND.
Outlook for 2024
The company's new projects for 2024 are of a commercial and regulatory nature. This year, new agencies will be opened, and new trainee agents will be recruited, with continued commercial efforts and communication policy. From a regulatory perspective, the implementation of IFRS standards has already begun, starting with the diagnostic phase and impact study. Reflections on the implementation of the SBR (Risk-Based Solvency) framework are also underway.
Lloyd Tunisien is on track to further improve its profitability. Its membership in the Bayahi Group and aggressive commercial strategy should enable it to boost its profitable business flow. Moreover, strengthening equity seems to be a priority, and the Board of Directors has proposed not to distribute dividends for 2023. The decision will be confirmed at the Ordinary General Assembly to be held on July 29, 2024.