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HNB Assurance Group Surpasses 20% Growth Mark for the Third Consecutive Year HNB Assurance Group recorded yet another year of exceptional performance, marking the third consecutive year of achieving a growth rate exceeding 20% in terms of GWP (Gross Written Premium). The year 2023 witnessed the Group achieving remarkable financial milestones and an array of local and international awards, solidifying its position as a frontrunner in the insurance industry. HNB Assurance Group recorded a substantial GWP of LKR 18.7 Bn, showcasing a remarkable growth of 20% compared to the previous year. Reflecting on this achievement, Mrs. Rose Cooray, Chairperson of HNBA and HNBGI, expressed her delight, stating, "To me personally, the remarkable growth trajectory of the HNB Assurance Group stands as a testament to our commitment to delivering value to our stakeholders. Both teams at HNBA and HNBGI performed an outstanding job, leaving no stone unturned, meticulously analyzing every challenge, and capitalizing on every opportunity. This approach to business was imperative, particularly in the aftermath of COVID-19 and the subsequent economic and social upheaval, where we as a nation encountered numerous challenges in diverse forms. In addition to our consistent growth of GWP, over the past three years, we as a group have so much to celebrate. Our Group assets grew by LKR 10 Bn during the year, well exceeding a remarkable total of LKR 51.2 Bn. Further, investment income for the Group surged to LKR 7.2 Bn, representing an outstanding growth of 49% from LKR 4.8 Bn in the preceding year. In terms of the Group’s profits, we recorded a commendable LKR 1.76 Bn in PAT.” Honoring claims plays a vital role in maintaining the trust for any insurance company, “I am proud to note that the HNB Assurance Group honored claims of LKR 6.6 Bn, showcasing a growth of 19% compared to the previous year, aptly demonstrating our position as a reliable partner during our policyholder’s time of need.” explained Mrs. Cooray. “As the Sri Lankan economy steadily makes progress towards recovery, I’m confident that our investments in technology, our teams and their skills along with all the fine-tuning we’ve done to our processes will hold us in good stead and propel us towards greater success”, added Mrs. Cooray. “Consistency has been our main focus and certainly the cornerstone of our success”, said Mr. Lasitha Wimalaratne, CEO of HNB Assurance PLC. At HNB Assurance, our track record speaks for itself. Year after year, we've demonstrated and honored our commitment to our stakeholders and most importantly to our policyholders. This consistency is what set us apart and helped us in being recognized as the Best Life Insurance Company in Sri Lanka by the Indian Chamber of Commerce.” The robust financial performance of HNB Assurance resonated with the numerous accolades garnered throughout the year. “I am delighted to highlight that as a team we have effectively translated our promises into action. Our Profit After Tax (PAT) reached LKR 1.61 Bn, marking a commendable 9% increase from the previous year. Moreover, we surpassed the significant milestone of LKR 10 Bn in GWP, representing a growth of 23%, which is almost twice the industry growth rate. We also witnessed a remarkable growth in our life fund from LKR 24.3 Bn to LKR 30.6 Bn.” Speaking further, Mr. Wimalaratne, added “As we move into 2024, it is going to be pivotal year for HNB Assurance, particularly as we anticipate the fruition of our investment in our core system. This strategic investment is expected to further enhance our operational efficiency and drive sustainable growth.” HNB General Insurance Ltd witnessed an impressive 18% surge in GWP when compared to 2023, a growth from LKR 6.8 Bn to LKR 8 Bn, which is a three-time increase when compared to the industry growth. Throughout the year, the Company's strategic emphasis on product innovation and customer service proved to be pivotal. Mr. Sithumina Jayasundara, CEO of HNB General Insurance, expressed his thoughts on the team's achievements amidst turbulent times. “Despite economic uncertainties and high inflation rates, the team showcased remarkable proficiency in risk assessment and customer management. Our commitment as an organization to deliver exceptional service led us to the prestigious title ‘Most Customer Centric General Insurance Brand’ by the Global Brand's Magazine. Additionally, we secured a top three position among the most loved General Insurance Brands in the country, recognized by the renowned LMD Magazine. Moreover, we made LKR 4.3 Bn in claims, marking a 12% increase from the previous year, reaffirming our commitment to honoring the trust instilled in us by our valued customers.” “In a move to enhance customer value, we also launched the revolutionary ‘HNB General Insurance MotorGuard 3 in 1’ product, offering policyholders the convenience of three insurance coverages within a single annual premium payment. Further, this product not only simplifies their insurance management but also ensures they have the necessary coverage for various aspects of their lives, all under one policy. Additionally, we also introduced "Claimee," a cutting-edge digital claims assistant aimed at revolutionizing how we manage our claim settlement process. With Claimee, policyholders can easily initiate and track their claims through a user-friendly digital interface, eliminating the hassle of traditional paperwork and long waiting times. The launch of 'Project Phoenix' marks yet another significant milestone for us internally, representing a strategic investment aimed at enhancing our operational efficiencies. This internal core system is not merely a short-term fix, but a comprehensive revamp geared towards fostering long-term success and sustainable growth. Through these investments and innovations, I’m confident that our team will continue to drive innovation while delivering exceptional service and creating long-term value for our customers and stakeholders,” added, Mr. Jayasundara. 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.

In a bold move to accelerate its digital transformation strategy, HNB General Insurance (“HNBGI”) has announced the launch of Project Phoenix, a transformative initiative in collaboration with Azentio Software to implement a world-class Core Insurance System. This ambitious project marks a significant milestone in HNBGI's digital transformation journey, promising unparalleled value to its stakeholders. Project Phoenix signifies HNBGI's unwavering commitment to enhancing efficiency, accuracy, and overall operational effectiveness, ultimately benefiting all stakeholders. "This initiative aligns perfectly with our mission to create sustainable value through innovation," said Sithumina Jayasundara, CEO of HNBGI. "The upgrade and customization brought about by Project Phoenix will propel us to new heights, elevating our competitiveness, operational efficiency, accuracy and agility in a rapidly evolving market. This, in turn, translates to better service delivery for our customers." Azentio Software, a leading banking, financial services & insurance (BFSI) software company headquartered in Singapore, is HNBGI's trusted partner in this transformative journey. With over 25 years of expertise, Azentio serves 1,000+ clients across 65 countries, including 130+ insurance clients in Asia Pacific, the Middle East, and Africa. Azentio ONEInsurance platform allows to launch unique and bold new insurance products quickly, sell aggressively, and engage digitally by transforming into a customer-obsessed organization, while remaining efficient, compliant, and secure. Jatinder Bedi, Vice President – BFSI at Azentio Software, expressed, "We are honored to collaborate with HNBGI on Project Phoenix. Our expertise lies in providing cutting-edge insurance solutions that meet the highest global standards, and we are committed to supporting HNBGI throughout this transformative journey." Project Phoenix transcends mere technological advancement; it signifies a strategic commitment to excellence in the face of rapid industry change. As HNBGI embraces its digital future, it remains steadfast in its dedication to delivering top-tier services and maintaining its position as a trusted insurance provider. This initiative is not just about implementing a new system; it’s about taking flight towards a brighter, more efficient, and customer-centric future. HNB General Insurance (“HNBGI”) 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.

HNB Assurance PLC (HNBA) and its wholly owned subsidiary HNB General Insurance Limited (HNBGI) ended the third quarter with the Group figures indicating a Profit After Tax (PAT) of Rs. 583 Mn. In terms of Gross Written Premium (GWP), the Group recorded Rs. 13.6 Bn growing by an impressive 21% compared to the previous year. HNBA exhibited exceptional growth during the period by achieving a growth rate twice that of the industry average, while HNB General Insurance Limited (HNBGI) also demonstrated a robust performance, growing at a staggering five times the industry average. “I’m extremely delighted by the outstanding performance exhibited by HNB Assurance Group during the third quarter. Our consistent growth is a clear indication that HNB Assurance as a group is in the forefront of providing exceptional services and adapting to the ever-changing demands of our clientele”, stated, Mrs. Rose Cooray, Chairperson of HNBA and HNBGI. “Amidst the slow recovery of Sri Lanka's economy following a period of significant challenges, both HNB Assurance and HNB General Insurance undertook strategic measures to fortify their operations, which involved equipping themselves with enhanced capabilities, innovative strategies and resilient frameworks to navigate the economic fluctuations and effectively cater to the market. In terms of the performance the group GWP grew by 21% compared to the same period last year. While the Group Assets surpassed the Rs. 48 Bn mark to reach Rs. 48.42 Bn with a growth of 18%. Over the last 10 months, the total equity along with the life fund notably surged, reaching a significant milestone of Rs. 9.1 Bn and Rs. 30 Bn, representing a remarkable increase of 17% and 24% respectively.” stated Mrs. Cooray. She further noted, "The consistent progress achieved quarter by quarter can be attributed to the clear vision both companies possess regarding their vision and strategic trajectory for the upcoming years. It is truly remarkable to see the commitment of the teams towards our long-term objectives which has also helped us be creative and make effective decisions. On behalf of the board, I express my gratitude to the leadership, management and teams for their efforts." Reflecting on the Company's performance during the third quarter, Mr. Lasitha Wimalaratne, CEO of HNBA, expressed his delight with the progress made during the last nine months. “Our strategic focus of enhancing and improving our distribution channels has yielded tremendous results, notably reflected in our impressive 19% growth in GWP to reach Rs. 7.8 Bn, which is almost double the growth rate of the industry and the highest amongst the top tier players, also, the 26% increase in new business premiums compared to the previous year. In addition to our steady and sustainable growth, winning the 'Best Distribution Initiative' award, recognized by Insurance Asia, was extremely heartening as it validated our efforts and well-rounded strategy.” Eager to venture into the final quarter and witness its unfolding, Mr. Wimalaratne emphasized the significance of maintaining this momentum. “While we are happy about the progress made, I believe it's crucial to sustain it and finish the year on a high. Our team is motivated just to do that and with the surplus transfer from the life fund yet to take place, our collective aim is to close the year strong, ensuring substantial benefits for our shareholders." HNBGI saw its GWP reach Rs. 5.9 Bn growing by 24% over the same period last year. Sharing his thoughts on the company’s performance, Mr. Sithumina Jayasundara, CEO of HNB General Insurance, stated, “We have been investing heavily in revamping our core systems and building a solid digital platform, setting us up for the future. These changes are all about making things better for our customers and equipping ourselves for the long run. I’m extremely delighted to see these efforts paying off as we have seen a steady growth in our GWP of 24% when compared to last year, which in comparison to the current industry growth rate reflects a 5-time increase. Diving further into the numbers, our Non-Motor sector saw a 58% growth compared to the industry's 12%, while our Motor portfolio grew by 6% despite the industry’s negative growth of 1.3%. I must convey my sincere appreciation to all the sales and other support teams for their efforts and hard work, ensuring that we continue to make remarkable progress as an organization. Additionally, we were also recognized as the 'Most Customer-Centric General Insurance Brand' in the country, which is extremely big for us because it shows our commitment to putting customers first. Further, we were recognized with a Bronze Award at the CNCI Achiever Awards 2023, which is yet another validation of our efforts and innovation within the industry.”