The Insurance arm of the LOLC Group, one of Sri Lanka’s fastest-growing companies in the Life and General insurance sectors, recorded a satisfactory half-yearly performance for FY2016. The Life insurance segment posted significant numbers by recording 73% growth in GWP in the first half of 2016 over the corresponding period in FY2015, which is an indicator that the Life Insurance business will most likely end this financial year on a sound note. The company closed first half of FY 2016 with an overall GWP growth of 47% over the previous year, recording Rs. 2,537 million in GWP.
The company’s General Insurance business grew by as much as 37% over the previous year’s first half. The company’s Non Motor business grew by 137% over the previous year’s first half result to record Rs. 261 million. The Motor vehicle insurance business, which contributes the major chunk of revenue for the company, grew by 27% to record Rs. 1,441 million in the first six months of 2016.
Commenting on the company’s performance, LOLC General Insurance Ltd. and LOLC Life Assurance Ltd. Chief Operating Officer Nilanga Wickramasinghe said, “We are proud of our performance in the first half of the 2016 financial year. Our Insurance business has, within a short duration of five years, positioned itself on a competitive note in the industry, backed by a diverse portfolio. The company is led by a dynamic strategic plan, which clearly chalks out our goals and priorities.
“This performance can be attributed to the diversity of our product portfolio and the distribution endeavours through the Financial Services Sector, Personal Lines, Bancassurance, and Takaful Insurance backed by the powerful group synergies accorded by being part of the LOLC financial services platform. We note with gratitude the commitment displayed by our team of skilled professionals to achieve set financial targets and we have every reason to be optimistic about financial prospects for the rest of the financial year.”
Wickramasinghe went on to add that the insurance sales force of both Life and General companies is poised to further penetrate the segment in the year ahead via all channels. The company offers customers access through 173 outlets in the LOLC Group’s network. The strength and stability of the LOLC Group has strongly served to boost the standing of its Insurance arm amongst customers. Further, the company is backed by a leading reinsurance partner Munich Re amongst others who support its operations.
LOLC Group Managing Director/Chief Executive Officer Kapila Jayawardena commented, “I am proud to see the Group’s Insurance arm performing in a reasonable manner, to match the stature of the other LOLC financial services companies, each of which leads in its sphere of specialisation. I must commend the team for their strong focus on growing the company’s market share whilst aptly balancing conventional insurance with innovation and effective delivery of services.
“The insurance company has brought together a team of experienced and dynamic insurance professionals who are eager to expand the product and service portfolio of the company while widening its geographical reach. The company can avail of strong group synergies and resources of the LOLC Group. Thus far, the company has evolved well even post-segregation, while maintaining the growth momentum.”