Union Assurance announces robust financial results for 1H

Union Assurance, Sri Lanka’s formidable life insurer, is proud to announce its exceptional financial performance for the first half of 2023, building on its success at the beginning of the year. 
The company’s remarkable growth across key performance indicators underscores its unwavering commitment to delivering value to its stakeholders. 

Union Assurance’s gross written premium continued its upward trajectory, surging 13 percent during the first half of the year, surpassing the industry growth of 9 percent. This growth was driven by a 14 percent increase in regular new business premiums, an 11 percent increase in renewal premiums and a remarkable 102 percent increase in group life premiums. Union Assurance also solidified its position as the third-largest regular new business provider in the first half of 2023.

Additionally, the company’s investment income grew by an impressive 64 percent during the first half of 2023, corresponding to the same period in 2022, a testament to an efficient asset allocation strategy that capitalised on a high-interest rate environment. Union Assurance also recorded a 12 percent increase in the investment portfolio during the first half of 2023, since December 2022. Profit after tax experienced a staggering 90 percent increase during the first half of 2023, driven by a higher investment income generated in the first half of 2023, corresponding to the same period in 2022.

Union Assurance’s capital adequacy ratio showed remarkable improvement, reaching an impressive 337 percent at the end of the first half of 2023, compared to a ratio of 194 percent in December 2022. This accentuates the company’s efficient assets and liabilities management and its resilience to thrive in changing environments.
The company’s total assets reached Rs.83.6 billion at the end of June 2023, with a life fund value of Rs.60.4 billion, reinforcing its sound financial position as a trusted life insurer in Sri Lanka. The company’s market capitalisation stood at Rs.18 billion at the end of June 2023.

Union Assurance CEO Jude Gomes expressing his enthusiasm about the company’s recent performance stated, “We are delighted to report outstanding growth in the first half of 2023. These results reflect the dedication of our team, the trust of our valued customers and the effectiveness of our strategic initiatives.”

Union Assurance Deputy CEO Senath Jayatilake added, “These outstanding results reflect Union Assurance’s commitment to growth and financial stability. The company remains dedicated to providing innovative and reliable life insurance solutions that contribute to enriching the wellbeing of our customers.”
Union Assurance is a subsidiary of the John Keells group, one of Sri Lanka’s largest listed conglomerates.