Net income of Philippines firms up 26%March 9 2017 by InsuranceAsia News Staff
The Philippines’ insurance industry posted a 26.53% growth in net income in the last three months of 2016, thanks to the expanded sale of life policies, unaudited financial statements of industry players showed.
Insurance commissioner Dennis Funa said aggregate net income of insurers for the period hit P2.08 billion (US$41 million) from P1.64 billion in the same period in 2015.
However, total premium dropped by less than 1% to P16.29 billion in the fourth quarter of 2016.
Investment in trust funds, meanwhile, climbed 1.17% to P101.26 billion, while pre-need reserves were up by 3.82% to P96.34 billion in the same period.
Duna credited the net income hike to the significant increase in life plans sold by the Philippines’ seven major insurance players.
Sales made by these seven companies accounted for more than 97% of the total number of plans sold by the industry as a whole.
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