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HNB Assurance Group after-profit tax over Rs. 1 bn 

21 Mar 2022

HNB Assurance PLC Group posted a profit after tax (PAT) of Rs. 1.2 billion for FY21.  Expressing her views on the group’s performance, HNB Assurance PLC (HNBA) and HNB General Insurance Ltd. (HNBGI) Chairperson Rose Cooray stated: “HNB Assurance PLC Group had a solid fourth quarter of fiscal 2021 and ended the year posting impressive financial results. Our strong performance during the year positioned both businesses as dynamic, agile, and innovative entities and I’m extremely pleased with the continued strength and growth of HNBA and HNBGI. It is noteworthy to mention that the life insurance business showcased a growth of 29% and the general insurance business showcased a growth of 13% recording gross written premium (GWP) of Rs. 7.1 billion and 5.6 billion, respectively and the net income and interest and dividend income of the group surpassed Rs. 13.7 billion and Rs. 2.5 billion, respectively. Total assets of the group surpassed Rs. 35.9 billion during the year.”  Also, the gross written premium (GWP) of the group showcased an impressive growth of 22%, recording Rs. 12.6 billion. Cooray continued: “These results are an outcome of the group’s well-curated business strategies and well-focused management practices. The group’s financial performance is proof that both companies have navigated through a dynamic and challenging environment and will continue to do so. With the solidity depicted through these numbers, the board is confident that the group will further consolidate its strong footing in the market during 2022.”  Speaking on the financial performance of HNBA, Chief Executive Officer (CEO) Lasitha Wimalaratne stated: “HNBA ended 2021 delivering impressive financial results and continued its growth momentum amidst a challenging economic backdrop. In reviewing the performance of the business, HNBA recorded a GWP of Rs. 7.1 billion during FY21, depicting a growth of 29% and the PAT of HNBA for the year surpassed Rs. 1 billion, showcasing a growth of 38%. As a result of our commitment of taking care of our policyholders and delivering superlative returns, the life insurance business settled insurance benefits and claims amounting to Rs. 1.6 billion during the year. Reaffirming the strong financial footing of the business, the life insurance fund surpassed Rs. 20 billion during the year. HNBA is well geared to improve its resilience to face the ongoing market and economic challenges and to provide a distinctive experience to customers as well as other stakeholders.”  Wimalaratne added: “Taking the winning spirit of the business to new heights, HNBA produced a record breaking 164 Million Dollar Round Table (MDRT) qualifiers, including five Court of the Table (COT) and two Top of the Table (TOT) achievers in 2021. The company received several awards and accolades during the year for its business excellence, service excellence and product excellence. Key amongst the accolades received were the ‘Best Health Insurance Initiative of the Year’ Sri Lanka award by Insurance Asia Awards, ‘Best Bancassurance Provider in Sri Lanka 2021’ award by Global Banking and Finance Review, the ‘National Service Sector’ silver award, and ‘Top 10’ award for ‘Industrial Excellence’ at CNCI Achiever Awards 2021.  “Demonstrating its commitment to gender balance and equality, HNBA was recognised as one of Sri Lanka’s Top 10 Women Friendly Workplaces in Sri Lanka at Women Friendly Workplaces Awards 2021. This augurs well for the company’s open culture where everyone has an equal chance to fulfil one’s dreams and aspirations. I wish to reiterate that the business remains well-focused on what’s ahead and with agile business strategies in place, I’m confident that HNBA will continue to improve on its market share, profitability and drive towards the strategic vision set of the business.”  HNBGI delivered a robust performance during FY21, recording notable results during the fiscal 2021. Sharing his views on the performance of HNBGI, CEO Sithumina Jayasundara stated: “HNBGI recorded a GWP of Rs. 5.6 billion depicting a growth of 13% and recording a PAT of Rs. 338 million. These results were recorded against a number of challenges presented by the continuation of a global pandemic. During the year, the business settled insurance benefits and claims amounting to over Rs. 2.5 billion fulfilling its promise to its valued customers. From a segmental perspective, the motor insurance segment delivered an exceptional performance followed by fire, engineering and marine segments. During FY21, the general insurance contract liabilities surpassed Rs. 3.7 billion.”  Jayasundara further added: “HNBGI being an innovative and leading general insurance service provider in the market has adapted a number of strategies to identify existing gaps in the market and to provide innovative and customer centric solutions to our customer-base. Facing several challenges caused due to adverse weather conditions and Covid-19-related challenges, the business has navigated through a volatile environment to record these impressive results. It is noteworthy to mention that during the year, HNBGI claimed a number of awards including the ‘Motor Insurance Initiative of the Year – Sri Lanka 2021’ by Insurance Asia Awards and the ‘National Bronze Award for Industrial Excellence’ at the CNCI Achiever Awards 2021. In driving towards its ambitious targets and goals, the business has crafted short and medium-term strategies for the year and the management of HNBGI remains well-focused on expanding its operations, accelerating innovative technologies and improving execution to create a meaningful difference in the market.”  HNBA is one of the fastest growing insurance companies in Sri Lanka with a network of 63 branches. HNBA is a life insurance company with a rating of “A+” (lka) by Fitch Ratings Lanka for “National Insurer Financial Strength Rating”. Following the introduction of the segregation rules by the insurance regulator, HNBGI was created and commenced its operations in January 2015; HNBGI continues to specialise in motor, non-motor and Takaful insurance solutions and is a fully owned subsidiary of HNBA.


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