Union Assurance records double-digit growth in 3Q

Union Assurance, a leading player in Sri Lanka’s life insurance industry, is delighted to announce its outstanding performance in the third quarter of 2023, leaping ahead in the industry across key financial measures. 
Demonstrating robust growth, the company recorded a 14 percent increase in gross written premium compared to the corresponding period in 2022, surpassing the industry growth rate of 11 percent. Notably, the company achieved a significant milestone by becoming the fourth largest market player in the life insurance industry, securing a total market share of 12 percent as of 3Q 2023.  

Excluding surplus transfers, the profit after tax soared by 74 percent, driven by higher investment income generated during the nine months of 2023, compared to the corresponding period in 2022. Union Assurance’s market capitalisation witnessed an impressive 46 percent growth, reaching Rs.23.9 billion as of 3Q 2023.
With strategic asset allocation and by leveraging the high-interest rate environment, the company was able to record a remarkable 54 percent growth in investment income, compared to the corresponding period in 2022. Union Assurance’s investment portfolio reached Rs.80 billion by the end of September 2023, reflecting a substantial 24 percent increase compared to the corresponding period in 2022.

The company’s total assets and the life fund value stood at Rs.91.3 billion and Rs.63.9 billion, as of 3Q 2023. Efficient asset liability management and a decreasing interest rate environment led to a remarkable improvement in the capital adequacy ratio, reaching 395 percent at the end of September 2023, compared to the 2022 year-end ratio of 194 percent. 
Commenting on this remarkable performance, Union Assurance CEO Jude Gomes stated, “We are elated to announce our exceptional performance. Amidst a challenging economic backdrop, we have consistently proven our mettle, recording double-digital growth in the third quarter of 2023. This accomplishment is a testament to the dedication and hard work of our team and we are well poised for continued success and innovation in the sector.”

Sharing his enthusiasm, Union Assurance Deputy CEO Senath Jayatilake stated, “At Union Assurance, we are not just focused on financial growth; we are progressively working towards creating sustainable value for all stakeholders. We take pride in reaching these significant milestones and express our gratitude to our valued stakeholders for their trust in Union Assurance.”