Softlogic Life revenue grew to record Gross Written Premium (GWP) of Rs. 15.6 billion, an increase of 25%, a media release from the company stated.
The strong growth follows a similar 25% growth that was achieved by the Company in the previous year when the economy was badly impacted by the Easter attacks in 2019. The Company is proud to note its contribution to increasing insurance penetration in the country with 265,617 policies issued during the past year, 33% of total industry that cover all segments of society. One in every three policies taken up in 2020 was a Softlogic Life policy with the Company insuring over 1.5 million Sri Lankan lives.
The Company was ranked third largest in the Life Insurance market, rising one more notch during the year and has overtaken much older players to establish strong growth momentum with market share increasing to 15.2%. Profit before tax for the financial year ended 31st December 2020 was Rs. 2.1 billion and Profit after tax was Rs 1.5 billion.
Total assets of the Company were Rs.33.2 billion indicating a growth of 61%. The Company paid claims totallingRs. 3.5 billion during the year in accordance with its unique claims settlement philosophy with 87% of claims settled in one single day. Chairman of Softlogic Life Insurance Ashok Pathirage said, “We continue to remain fully confident of Sri Lanka’s growth prospects and see the low penetration in the life insurance industry as a great opportunity for future growth.”
Softlogic Life undertook key measures in 2020 towards sustaining its robust growth path by successfully raising USD 30 million (Rs. 5.7 billion) during the year via a FinRe transaction with global reinsurance leader MunicRe and Subordinated Debt transaction with FinnFund and NorFund that will provide capital to further develop the business objectives of the Company. It is also important to note that the capital raising was concluded amidst an on-going global pandemic that demonstrates the bright prospects for the country’s Life insurance sector.