Janashakthi Life Delivers Steady Growth through FY 2018
Transformative Year Sees Insurer Return to Life Roots and Lay Foundation for Future Growth
Leading Sri Lankan insurer, Janashakthi Insurance PLC (Janashakthi), delivered steady growth during the period under review, registering 8% growth in First Year premiums, with Gross Written Premiums (GWP) of Rs.3 billion, along with a reported surplus transfer of Rs.395 million.
The Company also reported post-tax profits of Rs.11.1 billion for the financial year ended 31st December 2018, with a group consolidated post-tax profit of Rs.9.2 billion. This included proceeds from the divestment of its General Insurance business in early 2018 and the recognition of deferred tax asset.
Investment income stood at Rs.1,503 million, growing by 13% year on year, from Rs.1,327 million in FY 2017. This was driven largely by the 27% growth in the Company’s investment portfolio, which grew from Rs.12.4 billion to Rs.15.7 billion.
Net claims and benefits grew by 35% year on year, from Rs.1,119 million to Rs.1,510 million, primarily due to maturity payments. While the separation of branch offices and the discontinuation of shared services had an impact of overhead expenses, the Company has established several stringent measures to control restructuring and expansion related expenditure.
“2018 has been a truly transformational year for us at Janashakthi. Returning to our roots as a standalone Life Insurance company, we embarked on a host of strategic initiatives through the year to lay a strong foundation for Janashakthi Life,” said Prakash Schaffter, Chairman of Janashakthi Insurance PLC. “I am delighted to report that our renewed, singular focus on the Life Insurance business has already begun delivering results for Janashakthi Life. We are excited about 2019, a year filled with greater opportunities and growth. As we enter our 25th year of operations, we recommit ourselves to delivering superior value to all our stakeholders.”
“Post the divestment of our General Insurance business, we have been able to better focus on the Life Insurance segment. We relaunched the Janashakthi Life brand, unveiled our new corporate strategy and purpose and moved to our new Life headquarters. We rolled out our new, dedicated Life branch network which will be completed in early 2019. As part of our digital-led transformation efforts, we empowered our Sales teams further with the Advisor Virtual Office (AVO) system,” said Jude Fernando, Director / Chief Executive Officer of Janashakthi Insurance PLC. “As we mark our 25th anniversary in 2019, we look forward to building on the strong foundations laid in 2018 and transform Janashakthi Life into a formidable player in the segment.”
Founded in 1994 as a Life Insurance company, Janashakthi Insurance PLC made its mark in the industry as an innovator and household name over a span of over 24 years. Janashakthi has a strong presence across the island, with an expanding Life Insurance network and a dedicated call centre. In line with its newly launched purpose of uplifting lives and empowering dreams, Janashakthi Life remains committed to becoming a leader in the Life Insurance industry by delivering a service beyond Insurance to its customers and stakeholders.
The Board of Directors of Janashakthi Insurance PLC comprises Mr. Prakash Schaffter, Chairman, Mr. Jude Fernando, Mr. Ramesh Schaffter, Mrs. Manjula Mathews; Mr. Eardley Perera; Mr. Nathan Sivagananathan and Mr. Avindra Rodrigo.
