March 15, 2018

JUBILEE DECLARES 110% DIVIDEND AND BONUS SHARE OF ONE IN TEN – Nairobi, March 29

Jubilee profits up to Kshs 2.143 billion

Jubilee Holdings, East Africa’s largest insurance group, celebrating
its 75th birthday this year, announced an increase in pre-tax profit for the full year period
ended December 31, 2011, to Kshs2.144 billion in 2011.
The Directors have recommended a total dividend of 110% which equates to Kshs5/50
per share. To commemorate this continued impressive growth, Jubilee also declared a
bonus share issue in the ratio of 1:10 for the third consecutive year, to mark its 75th
birthday approaching on 3rd August 2012.
The results saw Jubilee strengthen its number one position in Kenya, Uganda, and
overall in East Africa and also become the market leader in Tanzania.
Jubilee Holdings Chairman, Mr. Nizar Juma, said “We are extremely pleased with our
continued strong performance in 2011, despite a substantial drop in the equity market
last year. This has proved the validity of our policy to diversify our investments into nontraditional
areas.”
Mr. Juma continued, “Jubilee has reinforced its market leadership in East Africa and in
Kenya, Uganda and now also in Tanzania. We are particularly pleased with an increase in
underwriting profits to Kshs 540 million in 2011. We consider it very important that our
core insurance business contributes effectively to our group results and to enhance this,
Jubilee is making significant investments in new operating systems and customer service
capabilities. We are also pleased with a strong increase in our medical underwriting
profits, a result of improved case management and claims service efficiency.”
East Africa’s largest insurer crossed the Kshs15 billion gross premium level with an
impressive 39% increase over 2010. At Group level, life insurance business recorded a
35% growth, and short term business increased by 43%, which incorporates a 49%
growth in the general insurance business of Jubilee Kenya. Jubilee’s successful medical
business recorded a 49% growth with Jubilee Tanzania growing by an exceptional 341%
growth over 2010.
Jubilee also enhanced its focus on its core business activity and as a result of first class
risk management and selection practices achieved a substantial increase in underwriting
profits to Kshs 540 million in 2011 from Kshs 476 million in 2010.
Jubilee Kenya consolidated its market leadership with a robust 49% growth in general
business, 32% in medical business, 25% in pensions business and 35% in life business.
The award winning Jubilee Kenya grew by an overall 35% consolidating its leadership
position in the Kenyan market. In 2011, Jubilee Kenya was honored with 12 insurance
awards. At the BIMA awards 2012, the Association of Insurance Brokers of Kenya (AIBK)
presented Jubilee the ‘Best Claims Settlement Award, a clear demonstration of the
company’s commitment to honoring its insurance contracts.
Long term business grew by an overall 30% in 2011, with Life insurance recording a
growth of 35%, due to increasing success of its customer focused education and asset
building products, as well as introduction of a product targeted for the youth, particularly
university students. Dubbed ‘Baada Ya Campo’, the product helps university students
save money for use after graduation and during the time they are sourcing for
employment. Jubilee’s strong performance marks the success of the company’s initiative
to increase market penetration in the region. Assets also grew from Kshs 31.7 billion in
2010 to Kshs 39 billion in 2011.
In 2010 Jubilee took advantage of the strong economic growth in the East African
region, and initiated a phased regional expansion campaign. It launched subsidiaries in
Burundi and Mauritius in 2010, and will be entering into new markets each year from
now. By the year 2014, Jubilee expects to be in 12 markets in Africa.
The regional expansion program is complimented by the strengthening of the branch
network within existing markets. In 2011, 12 agency offices were opened in major
townships in Kenya, and the same continues in all the countries. The product
development drive in short term and long term business continues with further
strengthening of crop and livestock insurance, SME targeted products; political violence,
terrorism and sabotage covers; retail medical products tailored for young families and
retirement and education-based life insurance policies. Jubilee also plans to diversify
channels of distribution, including strengthening its banc assurance platform.
The introduction of these successful business lines has been well received in the region,
generating a 40% growth in medical business in Uganda, and a 16% growth in life
business and 28% increase in general business in Tanzania.
Increased market confidence in Jubilee’s Balance Sheet strength and financial stability
and its 74 year experience, resulted in a 27% growth in deposit administration inflows,
indicating the company’s ability to safeguard funds and offer consistent returns year on
year. The Group’s impressive end year results translate into a 4.4% increase in the profit
attributable to shareholders, with the earnings per share increasing to Kshs 33.10 from
Kshs 32.25.

Ends…

About Jubilee Holdings

From humble beginnings in 1937, Jubilee Insurance has spread its sphere of influence
throughout the region to become the largest multi-line insurer in East Africa, handling
both long-term and short-term insurance. Today, Jubilee is the number one insurer in
East Africa with over 300,000 clients.
Jubilee Insurance is also the largest provider of medical insurance across East Africa that
includes many of the region’s blue chip companies. Jubilee Insurance has a network of
offices spanning Kenya, Uganda, Tanzania, Burundi and Mauritius. It is the only ISO
certified insurance group listed on the three East Africa stock exchanges – The Nairobi
Stock Exchange (NSE), Dar es Salaam Stock Exchange and Uganda Securities Exchange.
Its regional offices are highly rated on leadership, quality and risk management and
have been awarded an AA- in Kenya and Uganda, and an A+ in Tanzania.

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