The Industrial And General Insurance Plc (IGI) on Sunday said that the National Insurance Commission (NAICOM) had approved plans to convert part of its long-term assets to liquidity.
Steve Ilo, Head, Corporate Communications of the company made this know in Lagos while speaking with correspondent .
It said with the approval, IGI could now restructure its investment in real estate and subsidiaries, amounting to billions of naira, by offering them for sale and ploughing back the proceeds into its day-to-day operations.
According to the statement, IGI is opting for asset restructuring as part of measures to raise liquidity for the repositioning of the company in the core business of insurance.
The statement read: “We launched a strategic transformation policy in 2014 which is running well with great expectations for the future.
“The company needs money to boost its liquidity and enhance its capacity to meet all obligations promptly, including payment of claims.”
It said that the company had concluded plans to divest from under-performing subsidiaries anywhere they were, with a view to concentrating fully on insurance business in Nigeria.
“IGI remains the most endowed insurer in asset base and we want to leverage that strength to restore our leadership in industry. Some of the property are already up for sale,” the statement added.
It said that the company paid over three billion naira claims to policyholders between 2014 and 2015.