Insurance industry books higher premiums, assets in Q1

THE INSURANCE INDUSTRY’S combined premiums, assets and net worth rose in the first quarter, data from the Insurance Commission (IC) showed.

Data based on submissions made by 130 out of 136 licensed life and nonlife insurers, as well as mutual benefit associations (MBAs), showed their combined premiums rose by 0.15% to P97.9 billion in the first quarter.

Their combined assets likewise climbed by 4.43% year on year to P2.22 trillion and total net worth went up by 19.74% to P471.77 billion.

Their overall paid-up capital and guaranty fund also grew by 6.36% to P81.46 billion at end-March.

Total liabilities inched up by 0.95% to P1.75 trillion. Invested assets went up by 4.08% to P1.91 trillion.

Benefits paid out rose by 4.9% year on year to P35.03 billion.

Meanwhile, their combined net income inched down by 0.98% to P9.855 billion in the first quarter.

Insurance density, or the amount of premium per capita or the average spending of each individual on insurance, slipped by 1.01% to P872.56 million.

Insurance penetration, or premium volume as a share of gross domestic product or the sector’s contribution to the economy, likewise went down to 1.75% in the first quarter from 1.98% a year prior.

LIFE INSURANCEThe life insurance sector’s premium income inched down 0.47% year on year to P78.24 billion at end-March, IC data based on submissions from 33 out of 35 insurance companies showed.

The decline was mainly due to a 12.76% decrease in variable life premiums to P51.55 billion, the data showed.

Meanwhile, there was a 36.74% increase in traditional life premiums to P26.69 billion.

The sector’s new business annual premium equivalent (NBAPE) rose 18.16% to P15.47 billion.

The total net income of life insurers declined by 12.87% year on year to P6.5 billion in the first quarter.

Total assets rose by 3.3% to P1.71 trillion, while liabilities declined by 0.6% to P1.43 trillion.

Invested assets climbed by 3.21% to P1.67 trillion.

Life insurers’ combined net worth rose by 28.68% year on year to P283.55 billion.

Total paid-up capital and benefit payouts likewise grew by 18.25% and 0.99% to P31.401 billion and P25.97 billion, respectively.

Sun Life of Canada (Philippines), Inc. was the top life insurer in terms of premium income with P13.21 billion, followed by Pru Life Insurance Corporation of UK with P11.88 billion.

In third place was Allianz PNB Life Insurance, Inc. with P7.13 billion, while FWD Life Insurance Corp. took fourth place with P5.46 billion.

Rounding out the top five was Philippine Axa Life Insurance Corp. with P5.39 billion in premium income.

NONLIFE SECTORMeanwhile, total net premiums written by nonlife insurance companies inched up by 0.09% to P15.88 billion in the first quarter, IC data from 57 out of 60 licensed firms showed.

Total premiums earned rose by 15.68% to P15.99 billion, while gross premiums written climbed by 14.68% to P26.17 billion.

The sector’s net income also jumped by 137.32% to P2.63 billion at end-March.

Total assets and total liabilities likewise grew by 7.85% and 7.83% to P373.16 billion and P240.92 billion, respectively.

The overall net worth of nonlife companies rose by 7.89% to P132.24 billion.

Meanwhile, paid-up capital slipped 0.01% to P48.83 billion as of end-March.

Total invested assets increased by 7.61% to P150.61 billion, while losses incurred rose 16.93% to P6.55 billion.

Prudential Guarantee & Assurance, Inc. was the top nonlife insurer in terms of net premiums written with P1.29 billion.

It was followed by Pioneer Insurance and Safety Corp. with P1.26 billion, while Malayan Insurance Co., Inc. ranked third with P1.13 billion. Mercantile Insurance Co., Inc. took fourth place with P834.91 million, while BPI/MS Insurance Corp. ranked fifth with P705.33 million.

MBAsLastly, MBAs recorded total contributions or premiums rose 15.23% year on year to P3.78 billion in the first quarter, data from submissions from 40 of 41 licensed MBAs.

The sector’s total assets grew by 9.85% to P138.04 billion, while total liabilities climbed by 10.03% to P82.06 billion.

Invested assets likewise rose by 10.62% to P125.33 billion.

Total fund balance went up by 9.6% to P55.98 billion. MBAs’ combined guaranty fund also inched up 1.05% to P1.23 billion.

The sector’s aggregate net surplus fell by 47.4% to P731.3 million in March from P1.39 billion in the same period last year.

Meanwhile, benefit payments and expenses rose 20.93% to P2.51 billion. — A.M.C. Sy