Union Assurance reports impressive results in 2007
CEO Marina Tharmaratnam
Powered by the combined strengths of the John Keells and Carsons
Groups, Union Assurance (UA) reported a 63% increase in profit after tax
from Rs. 156 million in 2006 to Rs. 254 million in 2007.
The company's turnover grew by 23% over 2006 to Rs. 5 billion in
2007. Both general and life insurance premiums contributed to this
The company's balance sheet was further strengthened with net assets
growth of 24% over the previous year.
Both segments of business contributed to the significant increase in
profitability. General insurance profit after tax increased from Rs. 83
million in 2006 to Rs. 108 million in 2007, representing an year on year
growth of 29%.
Profits from the life business nearly doubled from Rs. 76 million in
2006 to Rs. 144 million in 2007.
A first and final dividend of Rs 2.75 per share for the year 2007,
has been recommended by the Board of Directors for approval by the
shareholders in the forthcoming annual general meeting to be held on
31st March 2008.
"We are pleased with the outcome of our decision to expand the life
insurance business and exploit the opportunities in the retail and
commercial segments of the general insurance business," Chairman, Ajit
He went on to add that "in addition to posting excellent financial
results, the company was also able to secure several national and
international awards, which reflect the high standards the company has
achieved in terms of its business processes, reporting practices and
corporate governance, aspects which are vital to build trust and
confidence among all stakeholders."
He also recognised the contribution of the Insurance Board of Sri
Lanka in improving the supervision and regulation of the insurance
Commenting on UA's performance CEO Marina Tharmaratnam said "The
excellent results we have achieved is a direct result of our continuous
efforts to improve service standards, enhance distribution capability
and brand visibility in our chosen markets and the innovative products
we introduced during the year".
During the year, the company launched two innovative life and general
insurance products, which could be considered revolutionary in the
context of the Sri Lankan insurance industry.