Four decades of Key Insurance
HAVING experienced the best and worst of market conditions, Key Insurance has for more than four decades remained a household name, mastering strong underwriting practices while maintaining a rich tradition of quality customer service.
Attributing its success over past decades to hard work, the dedication of its employees as well as the loyalty and support of its customers, the company’s management believes it can, within a next few decades, become one of the leading insurance providers in Jamaica with a reputation for excellence and customer satisfaction.
Incorporated in 1982, the company commenced underwriting in Kingston in 1983 and has since then grown into an islandwide organisation, having its head office located in Cross Roads, with other branches strategically placed across the island, complemented by a strong network of brokers. Following the successful launch of an initial public offer in 2016, the insurance firm was listed on the junior market of the Jamaica Stock Exchange, four years later migrating to the main market.
Following a series of losses in its later years of operation, the company in subsequent years began to implement a turnaround strategy, a move which in 2020 received significant boost after majority control of the business was acquired by food and financial conglomerate Gracekennedy (GK) Limited.
Backed by fresh capital earned from a $668-million rights issue, GK, which is no stranger to the insurance business, accelerated the pace of transformation for the company, as it moved to craft a new vision and strategic plan to restore profitability and sustainable long-term growth for the company, which was previously controlled by family members of late founder Sonny Gobin.
“Over the years the company has weathered many storms but has remained committed to providing affordable, reliable, and innovative insurance solutions.
Since becoming part of the Gracekennedy Group in 2020, the company has not only strengthened its performance but also its commitment to becoming one of the leading insurance providers in Jamaica,” Key said of its primary objective.
Up to 2022 when it celebrated its 40th year, gross written premiums for the company surpassed $2 billion, representing growth of some 16 per cent year on year. This while making a major comeback in the industry set minimum capital test (MCT) benchmark, with the company ending its fourth decade on a high, maintaining a ratio of 234 per cent, way above the now-targeted ratio of 150 per cent.
At the end of 2023, Key’s financial year performance, in further surpassing expectations, recorded increased insurance revenues of $2.5 million, backed by total assets valued at $4.1 billion.
The company’s portfolio, which now spans a growing number of motor and non-motor products, offers coverage in various private and public third-party and comprehensive insurance as well as commercial, property, general insurance, liability, travel, and other specially designed policies.
“Key Insurance provides competitive rates in the market and is considered to be one of the most accessible and affordable providers of general insurance coverage in Jamaica,” its directors said in the last published annual report.
Guided by four main strategic pillars established to sustain profitability, the company said it remains committed to the practices of sustainable growth and innovation, customer centricity, operational efficiency,
and a performance-driven culture.
“At Key Insurance we have created a performance, nurturing work environment for our team. This supports the effective execution of our strategy, and we continue to invest heavily in our team’s development going forward,” chairman and CEO of the Gracekennedy Group Don Wehby noted in a report to shareholders.
“As we look to the future we remain focused on growing the company’s market share, maximising shareholder value, and further advancing our vision of providing the best possible insurance protection of assets in Jamaica,” he added.
Following the roll-out of a Whatsapp chatbot and a number of other technological advancements across its operation, the company is way more focused on tapping digital as it moves to bring greater service delivery to customers. Through a comprehensive, data-driven social media approach, the company, in the process of strengthening brand awareness, has also managed to deepen its engagement with a target audience whilst cultivating a vibrant online community.
“We view product diversification as a key component in building a sustainable business. As such, we seek to consistently improve our offerings and the experience of our customers by utilising technology to aid in developing and delivering enhanced products economically. We continue to stay close to emerging trends as we test and learn to further develop our competencies to exceed the expectation of all our stakeholders,” stated General Manager Tammara Glaves-hucey.
Key, in striving to improve the user experience and functionality of its website to allow for more seamless interactions with customers on its platforms, also said it will continue the work to deliver improved product offerings.
“We will continue to work on our digital channel to improve its functionalities, thus providing greater customer experiences. We believe these initiatives will drive our market share and increase our customers’ satisfaction. We are constantly reviewing our performance and will continue to strengthen our brand through marketing and customer engagement to support our customer acquisition initiatives,” the directors informed shareholders.
“Key Insurance is fundamentally strong and management remains committed to delivering value to our stakeholders and looks forward to building on our achievements in the years to come. By remaining adaptable and responsive to the evolving market landscape, and by capitalising on the opportunities presented by being a part of the Gracekennedy Group, we are confident in our ability to achieve sustainable growth and profitability in 2024,” they further said of the outlook.