HNB Assurance PLC (HNBA) and its wholly owned subsidiary HNB General Insurance Limited (HNBGI) ended 2022 in spectacular fashion with the Group figures indicating a growth in Profit After Tax (PAT) of 50% to Rs 1,830.5 Mn for the year ended December 2022 compared to Rs 1,223.6 Mn recorded a year earlier. In terms of Gross Written Premium (GWP), the Group recorded Rs 15.6 Bn growing by a handsome 24% compared to the previous year.
“I certainly am elated by the performance of both companies in a year of unprecedented challenges” said Mrs. Rose Cooray, Chairperson of HNBA and HNBGI sharing her views on the Group’s performance, and pointed out that at a Group level, GWP grew by 24% to Rs 15.6 Bn as a result of the very aggressive strategies of new business acquisition that were put in place by HNBA and HNBGI, taking into account the volatilities that were prevalent in the socio economic and political fronts. “While the Group Assets surpassed the 40 Billion mark to reach Rs. 41.1 Bn with a growth of 15%, the Earnings Per Share (EPS) grew by 50% to Rs 12.20 compared to Rs 8.16 as at the end of 2021. The Group has been able to honour maturities and claims to the tune of Rs 5.6 Bn growing by 36% compared to the previous year”. Mrs. Cooray added “these results and the many awards that both companies won during the year are the outcome of keen management insight and strategies that have been put in place and implemented meticulously, and also augurs well for the performance of the two new CEO’s who took office at the beginning of the year. I resonate the sentiments of the Board in congratulating the teams of both companies for their stellar performance and reassure all our stakeholders that we will continue to add value to them into the future as well. The Group, whilst acquiring the latest in terms of technological capabilities have implemented many initiatives to rationalize their cost structures to ensure that resource utilization is at its optimal level”.
In terms of the Life Businesses PAT, the Company was able to reach 1,483.6 Mn growing by an impressive 48% compared to Rs. 1,000.5 Mn recorded a year earlier, whilst in terms of GWP the Company recorded a growth of 26% to reach Rs. 8.9Bn by the year end, which in fact is the highest growth when compared with the top 8 players in the industry, whilst growth in terms of New Business achieved is 10 times more than that of the industry average. Mr. Lasitha Wimalaratne, CEO of HNBA sharing his thoughts on the performance of the Company stated, “this has been a remarkable year for us, not only have we been able to grow in terms of all our financial indicators; we have also had the honour of being the only Sri Lankan insurer to be listed amongst the top 70 best workplaces in Asia by Great Place to Work. Apart from this, we have won many awards during the year including Gold Award for Service Sector at the CNCI Achiever Awards as well as other awards for Digital Marketing, Financial Reporting, and also for our Bancassurance Operation. The Life Fund has reached Rs 24.4 Bn while the total assets of the Company has reached Rs 33.7 Bn and an increase of Return on Equity (ROE)by 22% as at the end of 2022.”
Speaking further, Mr Wimalaratne added, “the Company has made much headway in terms of increasing the output and efficiencies of both the Advisor and the Partnership business channels. The Company was able to produce 194 MDRT qualifiers with 4 TOT’s and 12 COT qualifiers including the Company’s first MDRT Lifetime Member. The Company whilst unveiling its premier health proposition SupremeHealth Unlimited during the year, which enables customers to have the best medical treatment both here and overseas, also rolled out its new branch outlook at three strategic locations offering both customers and employees the best in terms of aesthetics, ergonomics, and convenience”. “All in all”, he reiterated “the Company is well on course to reach its 5 year plan and thanked the Board, Sales force and staff for their untiring efforts in this remarkable achievement”, and re-emphasized the Company’s commitment to its customers and all stakeholders in adding value to them.
HNBGI saw its GWP reach Rs. 6.8Bn growing by 21% over 2021. Mr Sithumina Jayasundara, CEO of HNBGI stated that the General Insurance business has done well amidst many a challenge with almost no new vehicle registrations and a contraction in trade and commerce, whilst also grappling with an ever-increasing claims costs. The Company’s PAT grew by 33% to Rs. 450.4 Mn from Rs. 338.1 Mn recorded a year earlier. The Company saw a healthy rise in Total Assets which grew by 13% and a ROE of 20% as at the year end. A noteworthy fact was also the improvement of the Non-Motor segment which demonstrated a growth of 46% from the previous year. Further, the Company was the recipient of the Service Sector Silver Award at the CNCI Achiever Awards in 2022 and stands as testament to the overall performance of the Company
Mr. Jayasundara further went on to add, “in the business of insurance the claim becomes the moment of truth for the customer, and we have been able to take some giant strides in offering a superlative claim settlement process, we have been able to reduce claim processing and settlement times and also have very successfully incorporated digitally enabled claim intimation process adding much convenience to the customer. Our efforts in this regard have won us acclaim by the Global Banking and Finance Review in being awarded the Best Claims Management Team Sri Lanka in 2022 auguring well for the soundness of the measures that have been put in place. Our aim in the next 4 years is to get to a market share of 10%, this is a journey that we embarked upon at the beginning of this year, and I am happy to state that we firmly are on course in this regard. I wish to thank the staff and all the intermediaries for the support extended to help us achieve the results we did”.
HNB Assurance PLC (HNBA) is one of the fastest growing Insurance Companies in Sri Lanka with a network of 64 branches. HNBA is a Life Insurance company with a rating of 'A-' (lka) by Fitch Ratings Lanka for 'National Insurer Financial Strength Rating'. Following the introduction of the segregation rules by the Insurance Regulator, HNB General Insurance Limited (HNBGI) was created and commenced its operations in January 2015; HNBGI continues to specialize in motor, non-motor and Takaful insurance solutions and is a fully owned subsidiary of HNB Assurance PLC. HNB General Insurance has been assigned a 'National Insurer Financial Strength Rating' of 'A-' (lka) by Fitch Ratings Lanka Limited. HNBA is rated within the Top 100 brands and Top 100 companies in Sri Lanka by LMD and HNB Assurance has won international awards for Brand Excellence, Digital Marketing and HR Excellence including the Great Place To Work® Certification, and won many awards for its Annual Reports at award ceremonies organized by the Institute of Chartered Accountants of Sri Lanka.
April
HNB General Insurance and Hatton National Bank Renew Adhishtana Partnership Enhanced Services for Sri Lankans Working Abroad and their loved ones To offer enhanced services for Sri Lankans working abroad and their loved ones Adhishtana program underwent significant revamp to better help customers HNB General Insurance Limited (HNBGI), one of the fastest growing general insurance providers and a proud member of the HNB Group, marks a significant milestone with the renewal of its partnership with Hatton National Bank PLC (HNB). This partnership expansion aims to enhance the range of insurance coverage and services accessible to customers enrolled in HNB's Adhishtana loan program. Adhishtana, HNB's savings scheme tailored for Sri Lankan nationals employed abroad, is well-regarded for facilitating pre-departure loans. The partnership between HNBGI and HNB, initiated in 2023 to provide comprehensive insurance coverage to Adhishtana customers, has undergone a significant overhaul in renewal and the revamp introduces a more extensive array of services and benefits, positioning it as the best means of financial security and protection for those seeking foreign employment. In the renewed partnership, HNBGI now covers additional categories of Sri Lankan migrant workers and their immediate family members. The Adhishtana partnership between HNB and HNBGI is conducted in collaboration with the Association of Licensed Foreign Employment Agencies (ALFEA). Sithumina Jayasundara, CEO of HNB General Insurance, conveyed his contentment with the renewed partnership, expressing, "Recognizing the pivotal role played by Sri Lankan employees abroad in contributing to our economy, especially in the current context, it is our national obligation to express gratitude. The revitalized Adhishtana partnership with HNB stands as a significant achievement, as it not only enhances our service for foreign employees but also elevates it to a new level by providing additional benefits and extending coverage to a wider range of professionals." "Given the escalating number of Sri Lankan professionals actively pursuing employment opportunities abroad each month, it is imperative for us to elevate our service offerings and fortify our support for them. The ongoing partnership with HNB GI provides substantial peace of mind to our expanding customer base concerning their financial security and protection. This underscores our commitment as the HNB Group to capitalize on our respective strengths and deliver integrated services that truly resonate with our customers," stated HNB DGM – Retail Banking Group, Sanjay Wijemanne . HNB General Insurance is a dedicated partner, addressing a diverse range of insurance needs from motor to non-motor and Takaful solutions for individuals and commercial entities across Sri Lanka. As a subsidiary of HNB Assurance PLC and a member of the HNB Group, HNB General Insurance operates through an extensive network of branches, ensuring comprehensive service coverage throughout the island. Backed by an Insurer Financial Strength Rating of ‘A- (lka)’ by Fitch Ratings Lanka Limited, HNB General Insurance is committed to creating sustainable value for stakeholders through innovation and care.
April
HNB General Insurance proudly announces the appointment of Mrs. Dayalanie Abeygunawardena to its Director Board. Mrs. Abeygunawardena brings with her a wealth of experience and expertise in insurance, management consulting, and leadership development. With over 30 years of senior management experience, Mrs. Abeygunawardena has served in various leadership roles, including Chief Operating Officer at Janashakthi Insurance Company. During her tenure, she led General Insurance operations, facilitated two successful mergers, and championed staff engagement and leadership transformation initiatives. Mrs. Abeygunawardena is a Chartered Insurance Practitioner, a Professional Certified Coach, and holds an MBA from Edith Cowan University, Australia, and an MSc in Business Psychology from Herriot Watt University, UK. As a visionary leader, Mrs. Abeygunawardena has been recognized for her contributions to the industry, receiving the Gold Award in the Banking and Insurance Sector at the 6th Professional and Career Women Awards in 2016. In her new role at HNB General Insurance, Mrs. Abeygunawardena will leverage her expertise to drive strategic initiatives and further strengthen the company's position as a leading insurance provider in Sri Lanka. About HNB General Insurance: HNB General Insurance is a dedicated partner, addressing a diverse range of insurance needs from motor to non-motor and Takaful solutions for individuals and commercial entities across Sri Lanka. As a subsidiary of HNB Assurance PLC and a member of the HNB Group, HNBGI operates through an extensive network of branches, ensuring comprehensive service coverage throughout the island. Backed by an Insurer Financial Strength Rating of ‘A- (lka)’ by Fitch Ratings Lanka Limited, HNBGI is committed to creating sustainable value for stakeholders through innovation and care.
March
HNB General Insurance, a leading provider of general insurance solutions in Sri Lanka, marks a significant milestone in its journey towards compliance with the International Financial Reporting Standard (IFRS) 17 by becoming the first local general insurance company to implement WTW's ResQ Financial Reporter (FR) and engage WTW as the main advisor for the implementation. The implementation kickoff took place on March 11th, 2024. WTW’s ResQFR is a solution that provides an efficient flexible framework to generate IFRS17 financial statements and the supporting disclosure requirements, saving time and effort for insurers when undertaking end-to-end reporting processes. The IFRS 17 standard is set to be mandatory for insurance entities in Sri Lanka by 2026. This new standard mandates insurers to adopt a fair value approach to measuring insurance liabilities, fostering enhanced transparency and comparability in financial reporting. HNB General Insurance's innovative adoption of ResQFR underscores its unwavering commitment to proactively embracing international best practices. The system positions the company with the requisite tools and capabilities to accurately assess and articulate its financial performance under IFRS 17. “Being the pioneers among general insurance companies in Sri Lanka to embrace WTW's ResQFR solution is a testament to our dedication. This strategic investment reaffirms our resolve towards IFRS 17 compliance, ensuring precision and openness in our financial disclosures. We firmly believe that ResQFR will serve as a formidable asset in navigating the evolving regulatory landscape and realizing our strategic objectives” stated Sithumina Jayasundara, CEO of HNB General Insurance Limited. IFRS 17 signifies a pivotal shift in the insurance sector, ushering in new requirements for financial reporting. By integrating ResQFR, HNB General Insurance stands to reap several benefits, including more robust and efficient financial reporting, improved data management and analytical capabilities, augmented transparency and consistency in financial disclosures, and a competitive edge in the marketplace. "The implementation of WTW's ResQFR signifies a significant step forward for HNB General Insurance," remarked Nalin Subasinghe, Chief Actuarial Officer at HNB General Insurance. "This initiative underscores our commitment to adopting best-in-class solutions for accurate financial reporting under IFRS 17. With ResQFR, we are well-equipped to address the complexities of the new regulatory framework while maintaining transparency and efficiency in our operations." "ResQFR is a calculation and data management solution that takes the complexity out of IFRS 17, so insurance companies can focus on the core activities of their business. It is designed to enable the rapid implementation of IFRS 17 for P&C insurers. We are delighted that HNB General Insurance has chosen WTW and our solution to support them in their journey towards IFRS 17 compliance. Working alongside with our consultants, we are confident that HNB General Insurance can achieve their financial reporting objectives efficiently while maintaining industry-leading standards throughout the process," said Vivek Jalan, Head of Insurance Consulting & Technology, India and Sri Lanka, WTW. About HNB General Insurance HNB General Insurance is a dedicated partner, addressing a diverse range of insurance needs from motor to non-motor and Takaful solutions for individuals and commercial entities across Sri Lanka. As a subsidiary of HNB Assurance PLC and a member of the HNB Group, HNB General Insurance operates through an extensive network of branches, ensuring comprehensive service coverage throughout the island. Backed by an Insurer Financial Strength Rating of ‘A- (lka)’ by Fitch Ratings Lanka Limited, HNB General Insurance is committed to creating sustainable value for stakeholders through innovation and care. About WTW WTW’s Insurance Consulting and Technology business has over 1,600 colleagues operating in 35 markets worldwide. It is a leading provider of advice, solutions and software – primarily to the insurance industry. Its consulting services help clients manage risk and capital, improve business performance, and create competitive advantage – by focusing on financial and regulatory reporting, enterprise risk and capital management, M&A and corporate restructuring, products, pricing, business management and strategy.
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