Ceylinco Insurance records pre-tax profit of Rs.732 m

Ceylinco Insurance PLC recorded pre-tax profit of Rs. 732 million for the year ended 31st December 2008. This was achieved amidst unprecedented and unfavourable developments, which took place towards the latter part of the year.

During the year under review Ceylinco Insurance PLC made an operational profit of Rs. 1,149 million, before making provision for fall-in value of investments and writing off non-yielding investments, to the tune of Rs.416.8 million. This move served to make the financial statements of the company more transparent, while expressing a clearer picture to share holders.

Deputy Chairman of Ceylinco Insurance - General, Mr Ajith Gunawardena, said; “what we have achieved in 2008 is remarkable, given the conditions that prevailed. We are very positive and confident that Ceylinco Insurance will be able to post even better results by the end of 2009. Our entire team is determined to achieve the desired results during this year, while staff morale is at a very high level.

Commenting on the Life Division’s performance in 2008, Deputy Chairman R. Renganathan said: “Our ability to outperform the industry’s average growth is evidence of the trust and confidence that Ceylinco Life has built up over the years.

This is an invaluable asset that we intend to nurture and build on in the years ahead. It is noteworthy that Ceylinco Life planned and executed several spectacular promotions in the year reviewed, and paid Rs 1.4 billion in bonuses, significantly exceeding policyholder expectations.”

In 2008, Ceylinco Insurance PLC recorded a mammoth consolidated gross premium income of Rs. 20,087 million, with the General Division contributing Rs.11,287 million and the Life Division accounting for Rs. 8,257 million. Meanwhile, premium income from The Maldives operation accounted for Rs.543 million.