Allianz Lanka maintains growth momentum

Allianz Lanka continued its growth momentum throughout 2011. The Life Company achieved a GWP of Rs. 351 m with a year- on-year growth of 72 percent. The company also recorded a 40 percent growth in first year premium.

The performance enabled Allianz Life Lanka to declare a credit rate of 8.5 percent to its Life policyholders. The Life Fund grew from Rs. 66m to Rs. 179 m during the year, a growth of 171 percent, and the Company's solvency margin was maintained at 16 times above the regulatory minimum requirement.

The General Company achieved a GWP of Rs. 1,501m against the GWP of Rs. 1,470m 2010.

Despite being the only insurer in the country with no captive business, General business continued to add value year on year, with growth momentum maintained in the top and bottom line.

The General Company achieved a PBT of Rs.286m records a 29 percent growth over 2010, with PAT growing by 43 percent, amounting to a profit of Rs. 240m. In a competitive soft market the General Company continues to achieve pure underwriting profits due to prudent underwriting practices and favourable reinsurance arrangements from an AA rated re-insurer.

In the year under review a pure underwriting profit of Rs. 180m was achieved, which is a 43 percent growth over the last year. The General Company's solvency stood seven times higher than the regulatory requirement.

The reasons for this growth are the company's consistent underwriting policy that identifies acceptable risks over mere top line growth, as well as its prudent investment strategy.

'Our main aim has always been to grow sustainably and to create value for all our stakeholders - employees, shareholders, customers and distributors.

With this in mind, we invested heavily in new products and consolidated our business in the North and East,' said Ms. Alles, 'We also reinforced our focus on IT and on training and developing our staff in several disciplines. These are all initiatives aimed at benefiting our customers as the end users.'

Allianz Lanka followed its global policy of siphoning profits into improving the quality of life of the communities it serves and focused CSR initiatives to rejuvenate economies of the North and the East and assist marginalised communities in other parts of the island.