Agusto & Co. Upgrades Coronation Life Assurance to A- with a Stable Outlook

Coronation Life Assurance Limited is pleased to announce that Agusto & Co, West Africa’s leading credit rating agency, has upgraded the company’s long-term rating to A- and its short-term rating to A1, with a Stable Outlook. This upgraded rating underscores Coronation Life Assurance’s continued financial resilience, prudent risk management, and disciplined execution of its long-term strategy.

Agusto & Co.’s 2025 Abridged Rating Report highlighted the company’s strong balance sheet fundamentals, including solid capitalization, a high solvency margin, improved profitability metrics, and a robust liquidity profile. The rating upgrade affirms Coronation Life Assurance’s position as a reliable and well-capitalized life insurer with a growing footprint in the Nigerian market.

Robust Capital and Solvency Strength

Coronation Life Assurance recorded significant growth in shareholders’ funds, which stood at N13.1 billion as at 31 December 2024, representing a 24.2% year-on-year increase. This growth was driven by earnings retention and consistent reserve accretion, reflecting the Company’s commitment to stability and long-term value creation.

The Company maintained a solvency margin of 330%, substantially above regulatory requirements and indicative of a strong capacity to absorb shocks and meet policyholder obligations as they fall due. In addition, the Company’s adjusted net admissible assets exceeded the minimum thresholds stipulated under the 2025 Nigerian Insurance Industry Reform Act.

Strong Liquidity Backed by Conservative Asset Allocation

The Company’s liquidity position remained strong throughout the financial year, supported by a well-structured investment portfolio dominated by treasury securities, placements with reputable financial institutions, and other money market instruments. As of year-end 2024, Coronation Life Assurance’s liquid assets covered incurred claims liabilities 15 times, reflecting its ability to respond promptly and effectively to claims and other obligations.

This liquidity strength is complemented by a conservative investment approach that prioritizes security, stability, and long-term value for policyholders.

Resilient Business Growth

Coronation Life continued to build momentum across its business lines, reporting a 19.9% increase in insurance revenue in FY 2024. This performance was driven by growth in its annuity, group life, and credit life businesses, as well as its expanding presence in the retail insurance segment.

The Company’s strategic bancassurance partnership with Access Bank Plc, Nigeria’s largest bank by branch network, remains a key contributor to distribution expansion, market penetration, and increased customer engagement nationwide.

Profit before tax increased to N2.7 billion, supported by strong investment yields and enhanced operating efficiency. While Agusto & Co. anticipates moderated investment income in the near term due to currency stability, the Company’s expanding insurance revenue base is expected to sustain long-term profitability.

A Stable Outlook Underpinned by Sound Governance

The Stable Outlook assigned by Agusto & Co. reflects confidence in Coronation Life Assurance’s governance framework, operational resilience, and ability to navigate macroeconomic uncertainties. The Company continues to strengthen its risk management architecture, optimize its cost structure, and invest in digital capabilities to improve customer experience and drive operational excellence.

A Continued Commitment to Policyholders and the Market

Coronation Life Assurance remains committed to advancing its mission of delivering trusted life insurance solutions that support financial security and long-term prosperity for individuals, families, and businesses.

As the Company continues to execute its strategic priorities, which are expanding market reach, deepening product offerings, and strengthening its financial position, it reaffirms its dedication to transparency, professionalism, and value-driven service.

Coronation Life Assurance appreciates the trust of its policyholders and partners and remains focused on sustaining growth, enhancing resilience, and contributing to the development of Nigeria’s life insurance industry.