Aviva NDB Insurance reported an outstanding growth of 61% in life business with gross written premium (GWP) amounting to LKR 4,416 million at the end of first six months of 2011, compared to the corresponding period in the previous year.
- Total gross written premium grows 39% to LKR 5,874 million
- Consolidated group revenue grows 16% to LKR 6,884 million
- Consolidated non-life profit after tax of LKR 182 million
Aviva NDB Insurance reported an outstanding growth of 61% in life business with gross written premium (GWP) amounting to LKR 4,416 million at the end of first six months of 2011, compared to the corresponding period in the previous year. Investment linked products contributed 56% to the life GWP. The composite business grew 39% to LKR 5,874 million while the consolidated revenue grew 16% to LKR 6,884 million over the first six months ending 2010.
General insurance business reported a 2% negative growth in GWP over the corresponding period in 2010 due to re-pricing initiatives. GWP for general insurance was LKR 1,457 million. There was an improvement in the loss ratio of the general insurance business resulting in an overall improvement in the combined operating ratio for the period under review.
The consolidated profit after tax for the six-month period was LKR 182 million. This excludes the surplus from the long–term insurance business determined annually after the year-end actuarial valuation. Profit after tax increased by LKR 309 million over the corresponding period in 2010.
The company launched its new product range catering to pensions, savings and investment needs of customers with Aviva NDB pensions as the flagship product.
“The focus on embedding the new product suite with our wealth planners and bancassurance partners will continue over the remainder of the year,” said the chairman, T R Ramachandran.
“The continued commitment and efforts of our wealth planners and strategic partners has resulted in products gathering traction,” he added.
Managing director Shah Rouf was confident that the company is poised to deliver satisfactory results in 2011 and said: “We can look forward to securing a balanced growth in business with our new strategies in place. We envisage significant improvements in claims management. That coupled with better underwriting results would deliver our desired performance.”
“We will consolidate our life growth by continuing to add world class savings and protection products to our portfolio, focus on quality general insurance business only and drive efficiency gains throughout our business to ensure that the company will be well-positioned to benefit from the positive macroeconomic dynamics of the country,” he further stated.
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About Aviva
Aviva is the world’s sixth largest* insurance group, serving over 53 million customers across Europe, North America and Asia Pacific. Aviva's main business activities are long-term savings, fund management and general insurance, with worldwide total sales of £47.1 billion and funds under management of £402 billion at 31 December 2010. Aviva is the largest insurance services provider in the UK and one of the leading providers of life and pensions products in Europe.
* based on gross worldwide premiums at 31 December 2010
About NDB Bank
NDB Group is one of the largest financial conglomerates in Sri Lanka, operating regionally in Maldives and Bangladesh. The group offers project finance, corporate banking, SME lending, retail banking, investment banking, stock broking, wealth management and insurance solutions under one roof.
NDB Bank has a AA (lka) rating by Fitch Ratings Lanka and is amongst the best in the industry reflecting the bank's strong financial profile in terms of its capital base, profitability and asset quality. NDB Bank is one of the highest capitalised private sector commercial banks in Sri Lanka.