Ceylinco Life has recorded total income of Rs 13.698 billion and Gross Written Premium Income of Rs 9.816 billion for the year ending 31st December 2011, emphatically reinforcing its position as the countryâ€™s leading life insurer for the eighth consecutive year.
The record premium income reported, which reflects a growth of 11.72 per cent over 2010, gives Ceylinco Life a clear lead of Rs 2 billion over the second largest life insurer in the country, increasing the margin between the leader and the rest of the field.
Within total income, Investment & Other Income grew 12.39 per cent to Rs 3.882 billion, the company has reported to the Colombo Stock Exchange.
Ceylinco Life made a net transfer of Rs 6.3 billion to its Life Fund for the 12 months reviewed, an increase of Rs 917 million or 16.9 per cent over the previous yearâ€™s transfer. As a result, the Life Fund grew by 19.9 per cent to Rs 38.2 billion as at 31st December 2011.
Ceylinco Life Managing Director R. Renganathan disclosed that this record-breaking performance in rather non-conducive conditions had enabled the company to transfer Rs 700 million to shareholders from the profits made by the Life Fund, and maintain its solvency ratio at above 8 times the statutory requirement.
â€œThe figures tell the story,â€ Mr. Renganathan commented. â€œCeylinco Life has always stuck to developing and marketing traditional life insurance products, because we believe that life insurance is firstly and ultimately about protecting policyholders and their loved ones against uncertainties of the future. It is not our business to seek short term gains by investing our policyholdersâ€™ funds in volatile instruments.â€
He said growth had come from sales of new policies at an average of nearly 12,000 per month throughout 2011, and from the careful management of investments in the review period.
Total investments of Ceylinco Life grew by Rs 10.632 billion or 36 per cent to Rs 40 billion at the end of 2011.
Ceylinco Lifeâ€™s investment portfolio comprised of Government Securities (32 per cent); Licensed Private Banks (24 per cent); State Banks (21 per cent); Real Estate (12 per cent); Corporate Debt (6 per cent) and Others (5 per cent) at the end of the year under review.
Total Assets increased by Rs 11.291 billion or 30.5 per cent to Rs 48.247 billion at 31st December 2011. The companyâ€™s revaluation surplus (a computation every three years of the difference between the book value and market value of assets) totalled Rs 1087 million.
In the area of payments to policyholders, Ceylinco Life paid Rs 3 billion in claims, maturing benefits and other benefits in the year ended 31st December 2011. Over 95 per cent of intimated death claims were settled during the year, maintaining the companyâ€™s record as the best in settlement of claims in Sri Lankaâ€™s life insurance sector.
Independently rated as one of the countryâ€™s most valuable brands, Ceylinco Life has maintained its leadership of the countryâ€™s long term insurance sector from 2004 onwards through an uncompromising adherence to fundamentals and best practice. The company operates more than 180 branches, the largest branch network among local life insurance companies, and has won multiple international and local awards for its commitment to the community and success in brand equity building. The company has also been honoured as the Peopleâ€™s Brand of the Year in the Insurance category for 6 years consecutively.