Investors in insurance stocks on the Nigerian Exchange Ltd., NGX, traded 1.8 billion shares valued at N5.4 billion during the week, the NGX data indicated.
Conversely, investors transacted 763.5 million shares worth N2.3 billion last week
Consequently, the market witnessed an uptrend in the market volume and value this week.
The uptrend was driven by Sovereign Trust, AIICO, Mutual Benefits, Lasaco, AXA Mansard, and 12 others.
Sovereign Trust Insurance led the market, trading 1.45 million shares valued at N4.3 billion across 667 transactions.
AIICO Insurance followed with 80.2 million shares worth N227.6 million in 2,709 deals.
Also Read: Investors trade shares worth N76.3bn at the Exchange
Also, Mutual Benefits Assurance sold 35.2 million shares valued at N126.9 million across 1,084 transactions, and Lasaco Assurance transacted 37.6 million shares valued at N107.5 million in 578 deals.
While AXA Mansard Insurance traded 6.6 million shares worth N101.4 million across 737 deals, Veritas Kapital Assurance transacted 34.5 million shares valued at N66.7 million in 761 transactions.
Consolidated Hallmark Holdings sold 14.3 million shares worth N59.5 million across 551 deals, and NEM Insurance traded 2.1 million shares valued at N58.9 million in 461 transactions.
For Universal Insurance, 49.45 million shares worth 57.8 milion was traded across 636 deals, while WAPIC Insurance transacted 14.6 million shares valued at N48.8 billion in 468 transactions.
Cornerstone Insurance sold 6.1 million shares worth N40.97 million across 394 deals, and Prestige Assurance traded 22.8 million shares valued at N38.3 million in 449 transactions.
Meanwhile, Linkage Assurance transacted 16.1 million shares worth N33.4 million across 302 deals, while Guinea Insurance sold 15.1 million shares valued at N22.9 million in 618 transactions.
Sunu Assurances traded 2.6 million shares worth N13.8 million across 247 transactions, and Regency Alliance Insurance transacted 4.1 million shares valued at N5.35 million in 83 deals.
Also, International Energy Insurance sold 854,646 shares worth N2.9 million across 20 transactions.
Commenting, Mr Aruna Kebira, Managing Director of Globalview Capital Ltd., said the recent surge in demand for insurance stocks was linked to the Nigerian Insurance Industry Reform Act (NIIRA), signed into law by President Bola Tinubu on Aug. 5.
He noted that sell pressure on insurance stocks could rise in the coming weeks, given the robust provisions of the new law.
According to him, one of the key highlights is the strengthening of Nigeria’s participation in the ECOWAS Brown Card Insurance Scheme.
He added that this provided cross-border coverage and claims handling for accident victims within ECOWAS region.
He, however, advised prompt implementation of the Act.
He said, “Insurance stocks have the potential grow bigger because of the provisions of NIIRA 2025.
“When the provisions have been fully implemented, there would be no insurance stock that would belong to the penny group of stocks on the NGX.” (NAN)
