Janashakthi kicks off FY 2016 on strong footing

Janashakthi Insurance PLC (Janashakthi) reported a consolidated Profit After Tax (PAT) of Rs. 358 million for the quarter ended 31 March 2016, a marked Year on Year (YoY) growth of 236%. The insurer posted these numbers on the back of a 32.8% rise in consolidated Gross Written Premium (GWP) amounting to Rs. 3.3 billion for the period under review.

The company’s non-life or general insurance business grew by a robust 43%, recording a Gross Written Premium (GWP) of Rs. 2.7 billion. This was largely driven by the merger of operations of newly-acquired former AIA General Insurance Lanka Ltd. with Janashakthi General Insurance Limited, which was completed by the end of January 2016. The life insurance business delivered a GWP of Rs. 0.61 billion, a YoY increase of 0.52%.

Janashakthi further disbursed claims in excess of Rs. 1.543 billion, including claims pertaining to the acquired entity during this period. This 44% YoY rise in claims is a reflection of the company’s resolve to honour its commitments to policy holders. The acquisition and merger also drove the company’s asset base to Rs. 30.85 billion, a YoY growth of 46%, with a significant proportion being held in risk free government securities.

“It is heartening to start FY 2016 on such a positive note. Our consolidated businesses continue to record steady growth led by the non-life category, enabling us to grow profitably despite a rise in claims payments. The quarter also saw us successfully complete the merger of AIA General Insurance Lanka Ltd., an entity that we set out to acquire in October, 2015 and amalgamated with Janashakthi General Insurance Ltd. shortly thereafter. We are now better poised to strengthen and align our market position towards leadership, whilst delivering greater value to all stakeholders,” said Janashakthi Insurance PLC Managing Director Prakash Schaffter.

Janashakthi Insurance PLC, established in 1994 as an entrepreneurial venture, made its mark in the industry as an innovator and household name over a span of two decades. Today, the company stands strong as a leader in motor, non-motor and life insurance services, and with its recent acquisition of AIA General Insurance Lanka Ltd., continues resolutely on its vision of lighting the lamp of insurance in every home and workplace.

The Board of Directors of Janashakthi Insurance PLC comprises Husein Esufally, Chairman Prakash Schaffter, Managing Director Jude Fernando, Director/Chief Executive Officer L. C. R. de C. Wijetunge, Manjula Mathews, Ramesh Schaffter, Eardley Perera and Anushya Coomaraswamy.