UA P.A.T. up 44%
Dirk Pereira
Union Assurance reported steady progress in terms of turnover and profitability for the nine months ended September 2009.
General and life insurance premiums for the year increased by 4% year on year (y.o.y.) to Rs. 4.4 billion as at September 2009.
This was mainly due to the increase in life insurance premiums which grew by 11% y.o.y. to Rs. two billion as at September 2009. General insurance premiums of Rs. 2.4 billion up to 3rd quarter 2009 was consistent with the figure achieved during the previous period.
Consolidated profit before tax increased by 43% y.o.y. to Rs. 169 million as at September 2009.
Consolidated profit after tax also increased by 21% y.o.y. to Rs. 134 million as at September 2009.
During the quarter under review, Union Assurance introduced two innovative products catering to customers’ motor and health insurance needs.
The motor insurance product-Union Motor Reload has redefined the industry practice of customers having to pay their insurance on an annual basis. Union Assurance has partnered with Keells Super, to offer customers the convenience of buying their insurance for one month, three months or six months.
Except for the period of cover, the product retains the features of a standard motor insurance policy currently sold in the market. For example, in the event of an accident, the claim will be paid similar to a standard motor policy.
Another similarity with other products in the market is that the premium is fixed on an annual basis. Hence if a customer obtains a one month, three month or six month insurance cover, the premium will not change during the balance period up to 12 months.
In addition, customers will also be entitled to earn UA’s accelerated no claim bonuses after 12 months are completed.
“If you are a first time Union Motor Reload customer, all you have to do is drive into any Keells Super outlet and submit your vehicle and identification details and obtain a Union Motor Reload policy for a period of your choice,” said Union Assurance Deputy CEO Dirk Pereira.
“Thereafter, to renew the policy, simply provide your vehicle number to any Keells Super staff member, and they will take care of the rest.”
The other product, Union Health Deposit is the first and only health insurance policy in the market that pays interest on premiums paid, while providing coverage for over 200 surgeries and hospitalization related expenses.
The policy covers an individual for a 10 year period and is available in three options to suit the life style needs and financial capacity of all segments of the market.
“Union Health Deposit combines the benefits of health insurance with the features of a bank account, making it an attractive proposition for individuals who have no medical insurance cover or for persons who require an additional cover to meet the escalating costs of health and hospitalization in Sri Lanka,” said General Manager Actuarial Pushpa Gunasekera.
