AIICO Insurance Plc has paid a cumulative N52.6 billion to its annuity customers between 2019 and 2023, underscoring its commitment to timely payments for retirees.
This was revealed by Mr. Joseph Ogedengbe, Annuity Product Manager at AIICO, during a training programme held in Lagos on Wednesday.
Ogedengbe detailed the annual breakdown of disbursements, noting that AIICO paid N5.2 billion in 2019, N6 billion in 2020, N6.2 billion in 2021, N7.8 billion in 2022, and N12.6 billion in 2023. He reaffirmed the company’s dedication to supporting retirees through reliable annuity payments.
Through AIICO’s annuity portfolio, retirees can choose between Immediate and Deferred annuity plans. The Immediate Annuity plan, funded by a single premium payment, provides regular income to clients starting immediately, with payments either monthly or quarterly for life. This plan shares similarities with the PenCom Retiree Life Annuity but is funded directly by the individual, separate from pension Retirement Savings Accounts (RSAs).
Alternatively, the Deferred Annuity plan is a life insurance product designed for retirement, allowing individuals to build savings during their working years and receive a steady income in retirement, with the added benefit of tax rebates. Ogedengbe emphasized the security and flexibility these annuity plans provide, alongside benefits such as longevity risk management, risk transfer mechanisms, and estate planning.
AIICO’s sustained disbursement of annuity payments reflects its commitment to providing retirees with financial stability, ensuring a consistent and secure income throughout their retirement.
