Ceylinco Life pays Rs.2.87bn in claims and benefits to policyholders in 1Q

• Says inherent financial strength and stability equip company to face challenges of post-COVID-19 revival

Ceylinco Life has announced the payment of Rs.2.87 billion in gross benefits and claims to policyholders in the three months ending March 31, 2020, an increase of 17.7 percent over the first quarter of 2019.

Unfazed by the projected adverse impacts of the COVID-19 pandemic, Sri Lanka’s life insurance market leader demonstrated its commitment to its core business by transferring Rs.1.81 billion to its Life Fund, in respect of the first quarter of the year, taking the fund to Rs.98.12 billion, as at March 31, 2020.

Healthy volume gains in the core business and investments before COVID-19 necessitated the shutdown of businesses in mid-March, enabled Ceylinco Life to generate a gross income of Rs.8.11 billion for the three months, with the gross written premium income growing by 10.5 percent to Rs.4.73 billion and investment and other income increasing by a noteworthy 16.6 percent to Rs.3.38 billion.

“This was a good start to a year that is going to be extremely challenging,” Ceylinco Life Chairman R. Renganathan said.

“What our first quarter performance does is underline the inherent strength and stability of Ceylinco Life and demonstrate the company’s determination to face external challenges and overcome them. While every business sector is expected to be adversely affected by the shutdowns necessitated by the pandemic, businesses like Ceylinco Life, which are fundamentally sound, are better geared to weather the crisis.”

Ceylinco Life Managing Director Thushara Ranasinghe said the company’s unwavering focus on best practices in the sphere of life insurance as well as its strong and proven credentials in astute investment management underpins its financial strength and stability.

Ceylinco Life’s total assets grew by a respectable 12 percent over the three months reviewed to Rs.149.6 billion, as at March 31, 2020.

Ceylinco Life ended 2019 on a characteristically strong note as well, with the consolidated income of Rs.32.1 billion for the 12 months ending December 31, 2019, reflecting a top line growth of 9.9 percent. The company reported a gross written premium income of Rs.18.7 billion, retaining its status as the market leader for life insurance in Sri Lanka for the 16th consecutive year.