Insular Life income hits P2.6 billion on total premiums of P7.3 billion

MANILA, Philippines -  Insular Life Assurance Corp. registered a net income of P2.6 billion, in 2010 on total premiums of P7.3 billion, the company said in a statement.

First-year premiums from regular products also grew 31 percent, signifying the continued preference of some sectors of the market towards getting life insurance for protection and savings. 

“The sturdy performance of the domestic economy, the global market recovery, and fueled by a highly motivated employee and sales force made it possible for the company to post its most remarkable performance in its 100 years history,” said Vicente R. Ayllon, Insular Life chairman and chief executive officer.

Consolidated revenues soared to P15.2 billion, up 21 percent. The bulk of revenues came from net insurance income and investment income of P8.4 billion and P4.97 billion, respectively. 

Insular Life is the parent company of Insular Health Care Inc., Insular Investment and Trust Corp., Home Credit Mutual Loan Building & Loan Association, and affiliate Mapfre Insular Insurance Corp. 

These subsidiaries and affiliate also repeat dramatic results in 2010, especially Insular Health Care’s P306 million in revenues, and Mapfre Insular’s gross premiums of P1.7 billion and net income of P207 million.

Total policyholder benefits and operating expenses amounted to P12.3 billion, the bulk of which represented benefits paid to policyholders. Total life insurance business-in-force reached P200 billion. Consolidated assets rose 14 percent to P72 billion.  

Ayllon also reported that new business premiums from life insurance went up 64 percent to P3.3 billion. Sales from variable unit-linked (VUL) products grew more than three times the previous year due to the additional contribution brought in by the new limited offer products. 

Insular Life has six VUL funds namely, Peso Equity Fund, Peso Fixed Income Fund, Peso Balanced Fund, Dollar Fixed Income Fund, Greater China Fund and Strategic Fund, which has a combined value of P4.13 billion. Yearend returns on these funds showed significant increases, with equity funds leading at 66.35 percent.  

For 2011, Insular Life will go full swing on its life stage marketing approach whereby the company’s financial advisers have been trained to address insurance needs based on an individual’s life stage situation.