Star Assurance posts stronger performance, expansion in insurance distribution

Star Assurance Company, has upgraded its operational infrastructure, improved skills of its over 150 professionals among others in line with the implementation of a new business strategy.

The insurance company has also extended its national presence, investing in technology and product distribution in a bid to enhance its operations and deepen penetration of insurance products and services on the market.

These were contained in a press release on the performance of the company last year.

According to the company it raked a gross premium income of GH¢58 million in 2013, and hit an assets base of GH¢71 million representing 15% rise over the previous year.

“We are becoming bigger, better and more competitive” stated Mr. Kofi Duffuor, Managing Director of Star Assurance.

Star Assurance currently has seventeen branches in seven regional capitals of the country.

The insurer also has over 150 agency offices located across the country.

As part of plans to increase penetration of insurance products and services in the market, as well as take insurance closer to the insuring public, the company is planning to open more branches before the end of 2014.

The story started 29 years ago, when the insurer began the race to be at the forefront of the insurance business in the country.

According to Mr Duffuor, Star Assurance has recorded a strong and steady growth over the last five years with total assets increasing from GH₵24million in 2008 to GH₵71million in 2013, representing an average growth of 25% year-on-year.

“This growth in total assets is principally driven by gross premium income, which also recorded an average growth of 33% year-on-year over the same five year period, thus making Star Assurance one of the fastest growing insurance companies in Ghana”, he remarked.

Shareholders fund however has recorded a tremendous year-on-year growth rate of an average of 38% since 2008.

The privately owned company was incorporated in August 1984 and licensed to carry out corporate and retail insurance business in Ghana. It commenced operations in April 1995.

Star Assurance started business as a composite insurance company and had to hive off its life operations by setting up a subsidiary company, StarLife Assurance even before a new law was enacted in 2006 to separate its life insurance business from the non-life business.

The company's history is closely tied to a firm, which is easier to grow in insurance provision.

It has contributed to bringing insurance products and services closer to the people and businesses in Ghana. Since its establishment back in 1984, the company has improved all of its performance indices.

The insurance company is confident is on the way to establish itself as a clear market leader in the small and medium-sized enterprises market as it sees Ghana's large SME sector as a key driver of growth in the industry.

The insurer also plans to consolidate its position in the industry through continuous investments in IT infrastructure and human capital.