SL insurance industry grows 15% in first quarter: IBSL

Sri Lanka’s insurance industry grew by 14.59 percent year-on-year (YoY) to a gross written premium (GWP) of Rs.33.29 billion in the first quarter ended March 31, 2016, the industry regulator, the Insurance Board of Sri Lanka (IBSL), said.

The life insurance GWP increased 22.98 percent YoY to Rs.14.73 billion, while the general insurance GWP increased 8.71 percent YoY to Rs.18.65 billion. The industry profit before tax increased 8.93 percent YoY to Rs.2.71 billion, with life insurance profit before tax increasing 5.66 percent YoY to Rs.2.07 billion and general insurance profit before tax increasing 20.90 percent YoY to Rs.646 million. The asset base of insurance companies increased to Rs.457.69 billion from Rs.432.59 billion YoY

with assets in the life insurance business increasing 14.89 percent YoY to Rs.307.58 billion, while recording an 8.95 percent YoY decline to Rs.150.12 billion in the general insurance business. Investments in government securities represented 41.93 percent of the asset base of life insurance, while 19.34 percent of the general insurance assets were invested in government securities, increasing 5.77 percent and 7.38 percent YoY increases, respectively.

During the period, 28 insurance companies were in operation, with 12 life insurance companies, 13 general insurance companies and three state-owned companies that engaged in both life and general insurance. Fifty seven insurance brokering companies were registered during the period, mainly concentrating on general insurance. The asset base of the brokering companies increased 5.23 percent YoY to Rs.3.67 billion