Equity Life Insurance Company Limited has concluded plans to team up with International Energy Insurance Company Limited (IEI) to reinforce its life business portfolio for emerging opportunities, post consolidation.

Specifically, life companies under the new capital regime require a minimum capital of N2 billion to remain in business after February 28, 2007 .This was announced 5th September 2005, by the Federal Government.

IEI's Managing Director/Chief Executive Officer, Jacob Erhabor, said the company's investment in Equity Life is in keeping with its policy to remain a leading player in all classes of insurance in the new dispensation.

Erhabor said the deal is undergoing strategic integration efforts that will culminate in a new trade name and logo which will be followed by a robust transformation in the human capital and information communication technology infrastructure of Equity Life.

According to him, the alliance seeks to facilitate enhanced performance in personal line business through innovative products development and strategic distribution channels to all sectors of the insuring public.

Erhabor explained that the move would enable IEI focus on general insurance business, particularly energy insurance where the company has remained a dominant player over the years. He said the synergy expected from the alliance will yield positive results for all stakeholders and policyholders. "Right from the word go, our consolidation target of N6 billion was adopted to position IEI for all-round enhanced performance post consolidation.

"Having recorded huge achievements in this regard, we decided to partner with Equity Life, which has over the years been widely respected for its excellent mix of expertise and performance," he added.

Equity Life Insurance has consistently grown in its capital capacity, premium income, and claim payment profile since it commenced business in 1994.

Also speaking on IEI's investment in Equity Life, Seyi Ifaturoti, Managing Director/Chief Executive Officer, Equity Life Insurance Limited, said the injection of fresh funds into the company would enable it dictate the pace of events in life business, post consolidation.

Ifaturoti, also president of the Chartered Insurance Institute of Nigeria (CIIN), said life assurance business in Nigeria will receive a boost through the synergy expected from IEI's involvement with Equity Life.

Meanwhile, industry watchers say the development is set to redefine the landscape of life business in Nigeria given the pedigrees of the chief executives of both companies. IEI's Erhabor is an expert in life assurance who played vital role in growing the Life portfolio of Cornerstone Insurance Plc while Ifaturoti has over two decades of topflight performance in life business that has yielded enormous results in Equity Life.

The duo are also known to share a common passion for a radical repositioning of life business through insurance awareness campaigns, development of grassroots products that are relevant, affordable and accessible to all Nigerians, prompt claims payment, technology-aided service delivery and strict observance of globally acclaimed best practices

The adopted trade name and other strategic projections arising from this partnership will soon be made known to the insuring public and other stakeholders.

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By Adelanwa Bamgboye

Daily Trust (Abuja)

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