Insular Life earnings hit P1.77B in 2015
THE Insular Life Assurance Co. Ltd. (Insular Life) posted P1.77 billion in consolidated net earnings last year, 40% lower than the P2.95 billion seen in 2014.
In a statement on Wednesday, the life insurer said the decline in net income was primarily due to reduced profit from the sale of property and equities, and lower equity in net earnings of associates. The company, however, ranked the fourth among life insurers, based on net income.
Insular Life said it posted higher consolidated revenues for 2015 at P19.93 billion, driven by its core life insurance business.
“Insurance revenues grew by 6% to P13.59 billion, on the back of higher sales of single pay and multiple-pay variable unit-linked products,” it added.
Its consolidated assets also rose 5% to P106.15 billion from P101.35 billion in 2014, while net worth expanded by 4% to P23.72 billion from the P22.85 billion recorded the previous year.
“We are very happy to inform our policy holders that Insular Life consistently ranks high in four important performance factors. We are number two in net worth, number three in assets, number four in net income and number seven in premium income,” Insular Life President Mona Lisa B. de la Cruz was quoted as saying.
She noted the insurance company continually creates added value for its policyholders. For instance, Insular Life has a new core policy administration system, the HP Ingenium -- which automates most of its core processes, resulting in faster customer service.
“This will make our operations even more responsive in enhancing our market competitiveness,” Ms. de la Cruz added.
Insular Life also launched the Automated Underwriting System (AUS) in 2015 -- a system that allows for a fast, paperless online completion of application for a new policy.
“Moving forward, we will continue our multi-pronged digital strategy that involves engagement over a broad front of users and strengthening our digital platform and its properties. We are seeing a spike in engagement of online users, particularly the millennial generation who are increasingly interested in our products,” the insurance executive further said.
Insular Life Chief Executive Officer Nina D. Aguas said with changes in the insurance industry and ASEAN integration, the organization needs to show it is responsive and can compete in this “redefined” playing field.
“We will consider the proper organization structure, work at leveraging our partnerships and alliances, reinvent ourselves within the digital and financial technology world, and build and strengthen the capabilities of our people,” she added.
Insular Life is the parent company of the Insular Group which is composed of three wholly owned subsidiaries -- Insular Health Care, Inc., Insular Investment Corp., Home Credit Mutual Loan & Building Association -- and affiliate Mapfre Insular Insurance Corp.
The Insurance Commission last March ranked Insular Life the seventh largest life insurer based on total premium income at P12.65 billion for 2015 based on submitted unaudited quarterly statistics to the IC. -- Imee Charlee C. Delavin