HNB Assurance (PLC) and its fully-owned subsidiary HNB General Insurance Ltd. (HNBGI) posted a Profit After Tax (PAT) of Rs. 399 million for 3Q19 despite many economic and market challenges. Being in line with the Group’s profit projection, the Group recorded a Gross Written Premium (GWP) of Rs. 7.3 billion against a GWP of Rs. 6.5 billion recorded during the corresponding period last year, reflecting a growth of 12%.
Sharing her views on the financial performance of the Group, of HNBA and HNBGI Chairperson Rose Cooray stated, “During the third quarter, both Life and General Insurance companies continued to execute well on its sales strategies and initiatives to achieve a significant growth momentum and these results depict the robust performance of the Group amidst a macroeconomic downturn. The profits of the Life Insurance business grew by 15% excluding One-Off Surplus and Surplus Transfers recorded during the third quarter of 2018 and the General Insurance business depicted a growth of 19% compared to 3Q18.
“The Group is well pursuing its long-term growth strategies and is firmly focusing on growing market segments and avenues of solid revenue growth to further consolidate its footprint in the market. Together with the Board and the Management, we have taken an extensive and a comprehensive look at our strategic path and the Board remains confident of what’s ahead.”
Speaking on the financial performance of the Group, of HNBA and HNBGI Managing Director/CEO Deepthi Lokuarachchi stated, “Amidst a very tight economic backdrop, segments of the Life and General business have performed to a satisfactory level yielding significant profit growths. The growth in profits stemmed in parts of the Group’s growing business portfolios of the Life Insurance business and key segments of the General Insurance business, in particular, segments such as Fire, Motor and Marine.”
Lokuarachchi further stated, “During Q3 2019, The Life and General Insurance funds reached values of Rs. 14.3 billion and 2.9 billion respectively. The total assets of the Group surpassed Rs. 25.9 billion and the investments in financial instruments surpassed Rs. 20 billion reaffirming our financial stability. The sustainable growth fuelled by our business practices and customer-centricity together with performance-driven values have led the Life and General Insurance businesses to expand across all geographic segments and I’m sure that with this sustainable growth as the key business driver, we could deliver superior returns to all stakeholders.”
HNB Assurance PLC (HNBA) is the one of the fastest growing insurance companies in Sri Lanka with a network of 61 branches. HNBA is a Life Insurance company with a rating of A (lka) by Fitch Ratings Lanka for ‘National Insurer Financial Strength Rating’ and has been recently included in the S&P SL20 Index. Following the introduction of the segregation rules by the Insurance Regulator, HNB General Insurance Ltd. (HNBGI) was created and commenced its operations in January 2015; HNBGI continues to specialise in motor, non-motor and Takaful insurance solutions and is a fully-owned subsidiary of HNB Assurance PLC.
HNBA is rated within the Top 100 brands and Top 100 companies in Sri Lanka by LMD and HNB Assurance has won international awards for Brand Excellence, Digital Marketing and HR Excellence and won many awards for its Annual Reports at award ceremonies organised by the Institute of Chartered Accountants of Sri Lanka and SAFA (South Asian Federation Accountants).