HNB Assurance delivers industry leading 42% GWP growth

• Records 28% rise in profit after tax

Stuart Chapman	Lasitha Wimalaratne

HNB Assurance PLC reported an outstanding financial performance for the year ended December 31, 2025, delivering a 42 percent year-on-year growth in life insurance gross written premium (GWP), this along with the growth rate in renewals are the highest in the industry.  

Life GWP reached Rs.19.49 billion, compared to Rs.13.71 billion in 2024, reflecting strong new business generation and renewal collection. Net written premium grew even faster at 43 percent to Rs.18.44 billion.

Chairman Stuart Chapman stated, “Our improvement in top line, profitability and balance sheet strength demonstrates the resilience of our business model and our ability to navigate changing economic conditions, which are reflected in an ROE, which increased to 18.5 percent, from 16.9 percent a year earlier.”

Profit before tax increased by 28 percent to Rs.3.03 billion, from Rs.2.36 billion in the previous year, while profit after tax (including life surplus transfer) rose by 28 percent to Rs.2.12 billion, compared to Rs.1.66 billion in 2024. 

Earnings per share improved by 28 percent to Rs.14.15, from Rs.11.04. In line with this strong performance, the board of directors has proposed a first and final dividend of Rs.5.00 per share for 2025, representing a 28 percent increase over the Rs.3.90 per share declared in the previous year.

Executive Director and Chief Executive Officer Lasitha Wimalaratne said, “Each year we have built on the previous year’s gains and the 42 percent growth in Life GWP in 2025 is the strongest affirmation yet of that strategy.”

Total assets grew by 28 percent to Rs.68.44 billion, from Rs.53.40 billion, while financial investments increased by 29 percent to Rs.62.49 billion, from Rs.48.49 billion in 2024. 

Total equity rose to Rs.12.19 billion, from Rs.10.81 billion, supported by retained earnings, which grew by 18 percent to Rs.10.23 billion.

The Life Insurance Fund recorded a significant expansion of 27 percent, increasing to Rs.48.87 billion, from Rs.38.34 billion in the previous year. During the year, the company paid Rs.4.40 billion in net insurance benefits and claims. Investment income remained a key contributor to performance, with interest and dividend income rising by 10 percent to Rs.7.49 billion. 

The market capitalisation as at the end of the year stood at Rs.17.21 billion, up 43 percent from a year ago, when it was Rs.12.02 billion, while trading for the year ended at Rs.114.75 per share, increasing by 43 percent, from Rs.81.10 a year ago.