Insurance GWP up 24% to Rs. 38b

The overall Gross Written Premium (GWP) in insurance increased by around 24 percent to Rs. 38b and assets of companies rose to around Rs. 240b for the first six months this year, said Insurance Board of Sri Lanka (IBSL), Director General, Chandri Gunawardhana. He was addressing a ceremony to launch the book ‘When the going gets tough, the tough gets going - A history of Ceylinco Insurance, by J. Godwin Perera.

Assets of insurance companies increased to Rs. 241.86b as at the end of the first six months of 2011 compared to Rs. 222.24b at end 2010.

The overall Gross Written Premium for General Insurance and Long Term Insurance business was Rs. 38.59b which is a 23.38 percent growth compared to the first six months in 2010.

Gunawardhana said the insurance industry in Sri Lanka has withstood the test of time and has grown over the years making a vital contribution to the economy. The industry currently comprises around 20 companies.

The insurance industry is based on trust. The insured place their trust on the insurer whose honesty is constantly being tested.

“Insurance companies are increasingly being monitored for compliance.IBSL is duty bound to uphold and safeguard the interest of policyholders and stakeholders of the insurance industry”, Gunawardhana said. Senior Minister, Dr. Sarath Amunugama paid tribute to the author as a person who would always come up with first class material which is clear from the book that he has launched.

Periodisation is a hallmark of the book which elaborates the growth of capitalism in Sri Lanka. Banking and insurance are the pioneering industries that made a significant contribution to the financial sector in the country.

The Bank of Ceylon and the Ceylon Insurance Company were the stepping stones for a vibrant banking and insurance industry today.

The Ceylon Insurance Company was the first Ceylonese insurance company founded in 1939 by Hugh C. Weeresekere.

The N.U Jayawardene family and the Kotelawala family are synonymous with the banking and insurance industries in Sri Lanka. The Ceylinco Group was led by Lalith Kotelawala.

“There is a great need for competition, high professionalism and innovation to achieve accelerated economic growth in Sri Lanka. The contribution of banking and insurance pioneers must be admired and celebrated”, Dr. Amunugama said.

Godwin Perera recalled the turbulent times which Ceylinco Insurance underwent in 2009 which triggered a financial ‘tsunami’ and the way in which the company emerged from the crisis to be the market leader today. J. Godwin Perera is the chairman of Ceylinco Insurance PLC and former President of the Sri Lanka Institute of Marketing. LF