The combined profit of insurers and mutual associations (MBAs) nationwide jumped 45.8% year-on-year to 11.9 billion pesos in the first quarter, as sales increased thanks to available online channels and more high insurance awareness amid protracted pandemic.
In a statement released on Friday, the Insurance Commission (IC) said net income of life and non-life insurance companies as well as MBAs at the end of March fell from 8.1 billion pesos a year ago. year.
Premiums or aggregate sales for these three sectors rose 27.8 percent to 99.9 billion pesos from 78.2 billion pesos in the first three months of last year.
Their investments also grew 16.5 percent year-on-year to 1.67 trillion pesos, while total industry assets rose 15 percent to 1.89 trillion pesos.
“Considering the COVID-19 pandemic, the increasing trends in
The performance indicators of the life and non-life insurance sectors and the MBA sector are very good news not only for these industries but also for the Philippine economy, ”said Insurance Commissioner Dennis Funa.
Funa attributed the growth of the insurance industry in the first quarter to three elements: the rapid shift of players to digital insurance technologies or InsurTech; institutionalization of online distance selling; and sustained health insurance services even while strict COVID-19 restrictions are imposed.
The latest data from IC showed that life insurance companies generated a net profit of 9.4 billion pesos in the first quarter, up 38.2% year-on-year. other. Total premium income in the life business grew 36.6% year-on-year to 83.2 billion pesos, mainly due to a 47.8% jump in variable life insurance alongside growth one-off premiums, renewal premiums, as well as traditional life insurance premiums, Funa said. .
Meanwhile, net profit of non-life players in the first quarter jumped 626.2% year-on-year to 1.19 billion pesos, even surpassing pre-pandemic profit of 1.04 billion pesos in the three first months of 2019. decline in total gross premiums written, net premiums written and premiums earned, which, according to Funa, was partially offset by growth in the P&C, engineering and health lines. INQ
Subscribe to INQUIRER PLUS to access The Philippine Daily Inquirer and over 70 other titles, share up to 5 gadgets, listen to the news, download from 4 a.m. and share articles on social media. Call 896 6000.