SLI records excellent performance in 2010

Sri Lanka Insurance (SLI) recorded its highest profits before tax amounting to Rs.15.1b and profit after tax of Rs.13.3b as at December 31, 2010.

SLI Chairman Gamini Senarath said that this is a glowing example of an efficiently managed State owned organisation dispelling the myth that the State cannot run profitable businesses.

SLI in 2010 reported a 24.6 percent growth in life insurance premium increasing to Rs.6b from Rs. 4.8b in 2009 whilst general insurance premium grew by 5.7 percent to Rs.9.2b. The combined Gross Written Premium (GWP) grew by 12.5 percent.

General Insurance contributed 60.7 percent towards GWP whilst Life Insurance contributed 39.3 percent. Rs.3.4b bonus was paid to life policyholders, which is the highest in the history of the company and the insurance industry in Sri Lanka.

"We made a strategic investment in November 2010 purchasing 100 percent share-holding of Shell Gas Terminal Lanka (Private) Limited and 51 percent of Shell Gas Lanka Limited, acquiring controlling interest.

They now operate as Litro Gas Terminal (Lanka) Limited and Litro Gas Lanka Limited, engaged in importation, storage, filling and distribution of LPG," said Senarath.

SLI was upgraded by Fitch Ratings Lanka on National long-term rating and National Insurer Financial Strength to 'AA (lka) from AA- (lka) stable.