AVIVA NDB Insurance reported an outstanding growth of 61% in Life business with Gross Written Premium (GWP) amounting to Rs. 4,416 million at the end of first six months of 2011, compared to the corresponding period in the previous year. Investment linked products contributed 56% to the Life Gross Written Premium. The composite business grew 39% to Rs. 5,874 million while the consolidated revenue grew 16% to Rs. 6,884 million over the first six months ending 2010.
General insurance business reported a 2% negative growth in GWP over the corresponding period in 2010 due to re-pricing initiatives. GWP for General insurance was Rs. 1,457 million. There was an improvement in the loss ratio of the General Insurance business resulting in an overall improvement in the combined operating ratio for the period under review.
The consolidated profit after tax for the six month period was Rs. 182 million. This excludes the surplus from the long–term insurance business determined annually after the year-end actuarial valuation. Profit after tax increased by Rs. 309 million over the corresponding period in 2010.
The Company launched its new product range catering to pensions, savings and investment needs of customers with AVIVA NDB Pensions as the flagship product. “The focus on embedding the new product suite with our Wealth Planners and bancassurance partners will continue over the remainder of the year,” said the Chairman, T.R. Ramachandran. “The continued commitment and efforts of our Wealth Planners and strategic partners has resulted in products gathering traction” he added.
Managing Director Shah Rouf was confident that the Company is poised to deliver satisfactory results in 2011 and said: “We can look forward to securing a balanced growth in business with our new strategies in place. We envisage significant improvements in claims management. That coupled with better underwriting results would deliver our desired performance.”
“We will consolidate our Life growth by continuing to add world class savings and protection products to our portfolio, focus on quality General Insurance business only and drive efficiency gains throughout our business to ensure that the Company will be well-positioned to benefit from the positive macroeconomic dynamics of the country” he further stated.