Insular Life's new business premiums surpass P1-billion mark

MANILA, Philippines - Insular Life surpassed the one billion mark in new business premiums after only seven months with first-year premiums already amounting to P1.4 billion this year, its 100th year in operation.

Growth was registered in all product lines and premium distribution between traditional as well as non-traditional products showed a better balance. Of particular note was a strong recovery in investment-linked product sales.

Insular Life chairman of the board and CEO Vicente R. Ayllon said that the data reflect the renewed confidence of investors in the financial markets. “Our Wealth Series Funds achieved its highest performance mid-year since the fund’s inception in 2005. Peso Equity Fund NAVPU (net asset value per unit) reached an all time high closing on July 19, 2010 with a 110.54 percent yield since its launch in March 2005, effectively doubling the principal amount in a little over five years. Fixed income fund recorded a 48.09 percent yield while balanced fund, which invests both in equities and fixed income instruments, obtained a 68.73 percent return during the same period”, he pointed out.

Meanwhile, premiums from traditional insurance products continue to post a double-digit increase, indicating the value that the insuring public still puts in protection and savings benefits of insurance products. “As Filipinos are very family-centered, there will always be a big market for breadwinners who will put the needs of their families first, and these needs are first addressed by the traditional life insurance products.”

“We are very optimistic that in the second semester we will see much better results, owing to the continued economic recovery and renewed confidence in government. In fact if our performance in July is any indication, we will definitely meet our minimum growth target of 20 percent. New business premiums through July already showed an eight percent increase compared to 2009,” Ayllon said.

Insular Life will mark its 100th anniversary on Nov. 25, 2010. The company remains to be the largest Filipino life insurance company with total assets amounting to P63.3 billion.