Union Assurance records solid first quarter performance

9 June 2022 04:00 am Views - 103

Union Assurance PLC has begun 2022 with yet another strong performance, achieving impressive financial growth. 

Despite operating in a challenging environment, the company closed its first quarter with progress across key areas ranging from gross written premium to profit before tax and total net revenue. It also honoured Rs. 1.4 billion in claims, compared to Rs. 1 billion during the corresponding period of last year.

The Life Fund is now touching the coveted Rs.50 billion mark whilst the gross written premium of Union Assurance saw a 17 percent growth, from Rs. 3.4 billion to Rs. 4 billion. 

The net written premium also increased from Rs. 3.2 billion to Rs. 3.8 billion. While total net revenue rose marginally from Rs. 4.70 billion to Rs. 4.73 billion, the profit before tax grew by 17 percent from Rs. 238 million to Rs. 279 million.

The company’s regular business premiums also grew by 17 percent, way above the industry average of 10 percent. It also became the 3rd largest new business producer during the period. The stakeholders received an impressive Rs. 1.3 billion by way of dividends for the previous financial year.

The Chief Executive Officer of Union Assurance, Jude Gomes was delighted about the Company’s Q1 performance. He thanked the team for this achievement, saying it reinforces their standing as a frontrunner in the Life Insurance industry. 

“We have achieved notable growth in key financial indicators compared to the same period last year. This is due to our customer-centric strategy, the unwavering focus on service excellence, and of course our revolutionary digital capabilities,” he asserted.

According to Gomes, their performance heralds greater things to come this year. He said the Company will leverage its expertise and innovative spirit to help close the protection gap in 
Sri Lanka. 

“As we stride forward in the months ahead, we will achieve more milestones while empowering the Sri Lankan dream,” he added.

The Chief Financial Officer of Union Assurance, Asha Perera said the company’s financial position is unassailable. “A solid foundation, along with efficient management systems and processes in place, has ensured continuous robust growth,” she emphasized. 

It was pointed out that the Company’s profit from operations during Q1 grew by an impressive 20% over the corresponding period of last year, rising from Rs.201 million to Rs. 240 million. The total assets grew to Rs. 70 billion in the ensuing period whilst the market capitalization advanced to Rs. 17.9 billion.