Insurance Company, UT Life, has challenged claims that the banking sector shakeup which led to the collapse of UT bank has triggered its resolve to rebrand.
It was believed the bank’s liquidation would have a direct effect on UT Life Insurance Company’s operations since it used to be a subsidiary of, UT Holdings.
But in an interview with JoyBusiness, Chief Executive of UT Life Insurance, Kwaku Yeboah-Asuamah, says the new corporate brand name, miLife Insurance, has become necessary to increase company’s offerings to consumers.
“Our rebranding is because of what we want to do for our customers; we want to reposition ourselves in the industry in such a way that we will be able to reach out to as many Ghanaians as possible and we couldn’t have done that in the old way of doing things; we needed a new way and as we come up with a new way, we try to put a new image to it and that is virtually the reason for this exercise,” he said.
Mr Yeboah-Asuamah added, “The issue of UT bank happened about one and half years ago and if that was the reason, it wouldn’t have taken us that much time.”
miLife insurance company
A foreign investor, Leapfrog, has acquired a majority shareholding in UT life insurance – a situation that brought about the decision to outdoor the company’s new name along with its new strapline; Live More.
Being a Ghanaian success story, miLife insurance company has grown a premium income over the period of its inception in 2005 to over GH¢24 million in 2017; growing from the 17th position in 2005 to 8th position in 2017.
According to the CEO, the company is currently capitalized at GH¢56.8 million making it one of the most capitalized life insurance companies in Ghana.
Its capital has gone up by almost four times of the regulatory capital requirement of GH¢15 million.
In response to whether or not the company is in the position to meet a further increase in the level, Mr Yeboah-Asuamah said his outfit is more than ready for the new directive.
“At the moment we have about four times what the regulator requires so if they increase capital more than four times we are still able to cope up but if it goes beyond that we have solid shareholders who are prepared to pump in more money,” he said.
Mr Yeboah-Asuamah said its focus is on providing simple, affordable and more accessible life and savings insurance products to the mass market. It seeks to leverage mobile technology and its over 400 retail agencies.
Meanwhile, in his keynote address, Head of Supervision at the National Insurance Commission (NIC), Seth Eshun, has reiterated new minimum capital requirement for the insurance is only meant to strengthen the sector.
About Leapfrog investment
The foreign investor is a specialist investor in emerging markets, seeking the growth opportunity presented by two billion emerging consumers in Africa and Asia. Leapfrog’s portfolio companies currently provide insurance, savings and pensions products across 21 markets including Ghana, Kenya, Nigeria, South Africa, India, Indonesia, Thailand and the Philippines.
Partner of Leapfrog, Raimund Snyders, however, says his outfit would consider retaining more of its profits in the country.
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