Agusto & Co. has upgraded the long-term credit rating of Coronation Life Assurance Limited to A-, with a short-term rating of A1 and a Stable Outlook. The upgrade follows the agency’s review of the company’s financial position, risk controls, and progress under its current strategy.
In the 2025 Abridged Rating Report, Agusto & Co. noted improvements across capital, solvency, liquidity, and profitability. These indicators formed the basis for the rating action and strengthened Coronation Life Assurance’s standing within the Nigerian life insurance market.
Coronation Life Assurance closed the 2024 financial year with shareholders’ funds of N13.1 billion, reflecting a 24.2% rise from the previous year. The lift came from earnings retention and steady reserve growth. Agusto & Co. stated that the capital level supports the company’s risk exposures and aligns with the expansion recorded over the past year.
The insurer reported a 330% solvency margin, which is above the minimum threshold set by regulators. The rating agency confirmed that the firm’s adjusted net admissible assets also met the requirements of the 2025 Nigerian Insurance Industry Reform Act, signalling a strong capacity to meet obligations to policyholders.
Coronation Life Assurance maintained solid liquidity through 2024, driven by an investment portfolio that focused on treasury instruments, placements with financial institutions, and money market holdings. The rating report noted that liquid assets at year-end covered incurred claims liabilities 15 times, giving the company the capacity to meet claims without strain.
Agusto & Co. added that the company’s investment structure supports cash flow management and protects policyholders’ funds as the organisation continues to broaden its reach.
The company recorded 19.9% growth in insurance revenue in 2024. The rise came from annuities, group life, credit life, and growth in the retail segment. Coronation Life Assurance also continued to benefit from its bancassurance partnership with Access Bank Plc, which helped extend distribution across the country and increased product awareness among customers.
Profit before tax rose to N2.7 billion in 2024, supported by investment returns and gains from efficiency improvements. Agusto & Co. noted that investment income may moderate in the short term due to currency stability but expects the company’s insurance revenue base to sustain its earnings outlook.
The Stable Outlook assigned to Coronation Life Assurance reflects the rating agency’s view of the company’s governance, risk framework, and operating structure. The insurer has continued to strengthen internal processes, manage costs, and invest in digital systems that support customer experience and operational performance.
Coronation Life Assurance stated that it remains focused on its mission of delivering life insurance solutions that support financial security for individuals, families, and organisations. The company reiterated its commitment to expanding market reach, broadening product access, and sustaining financial strength while contributing to the growth of the Nigerian insurance sector.
