Philam Equitable Life Assurance expects to meet targets

The Philam Equitable Life Assurance Co. (PELAC) is expecting to hit its targets for this year as a result of the company’s strong performance last year.

In 2004, PELAC accounted for P1 billion in total premiums widely perceived as taking the ninth ranking among the 39 life insurance firms. It was ranked 27th in 2003.

In terms of new business, the joint venture between the Philippine American Life and General Insurance Co. (Philamlife) and Equitable PCI Bank (EPCI Bank), was reportedly ranked fifth overall. In terms of single premium income, it was ranked third.

Of the company’s total business last year, the unique single premium sector accounted for the bulk with 90 percent share.

However, in the first half of 2005, new business activity was exceptionally strong.

"In the first six months of 2005, 50 percent of our premium sales are renewable premium income and the remaining 50 percent are new business," said Carl Gustini, president and chief executive officer of PELAC.

At the start of 2004, PELAC employed only 22 employees. But by the end of that year, the number has expanded to 250.

In May 2005, the number of its employees ballooned further to 325 of which 265 are financial sales executives (FSEs) and the remaining are sales managers and backroom personnel.

All 265 FSEs are fielded in more than 200 branches of EPCI Bank nationwide. Some branches have only one FSE, while a number viewed as critical have two FSEs. In some cases, there is one FSE handling two or more branches.