Union Assurance Records Double-Digit Growth in Q3 2023

Union Assurance, a leading player in Sri Lanka’s Life Insurance industry, is delighted to announce its outstanding performance in the third quarter of 2023, leaping ahead in the industry across key financial measures.

Demonstrating robust growth, the company recorded a 14% increase in gross written premium compared to the corresponding period in 2022, surpassing the industry growth rate of 11%. Notably, the company achieved a significant milestone by becoming the 4th largest market player in the life insurance industry, securing a total market share of 12% as of Q3 2023.

Excluding surplus transfers, the profit after tax soared by 74%, driven by higher investment income generated during the nine months of 2023, compared to the corresponding period in 2022.  Union Assurance's market capitalization witnessed an impressive 46% growth, reaching Rs. 23.9 billion as of Q3 2023.

With strategic asset allocation, and by leveraging the high-interest rate environment, the company was able to record a remarkable 54% growth in investment income, compared to the corresponding period in 2022. Union Assurance's investment portfolio reached Rs. 80 billion by the end of September 2023, reflecting a substantial 24% increase compared to the corresponding period in 2022.

The company's total assets and the life fund value stood at Rs. 91.3 billion and Rs. 63.9 billion, as of Q3 2023. Efficient asset liability management and a decreasing interest rate environment led to a remarkable improvement in the capital adequacy ratio, reaching 395% at the end of September 2023, compared to the 2022 year-end ratio of 194%.

Commenting on this remarkable performance, CEO of Union Assurance, Jude Gomes, stated, “We are elated to announce our exceptional performance. Amidst a challenging economic backdrop, we have consistently proven our mettle, recording double digital growth in the third quarter of 2023. This accomplishment is a testament to the dedication and hard work of our team, and we are well poised for continued success and innovation in the sector.”

Sharing his enthusiasm, the Deputy CEO of Union Assurance, Senath Jayatilake, stated, “At Union Assurance, we are not just focused on financial growth; we are progressively working towards creating sustainable value for all stakeholders. We take pride in reaching these significant milestones and express our gratitude to our valued stakeholders for their trust in Union Assurance. As we celebrate these achievements, we also reaffirm our commitment to continuous improvement, always seeking ways to enhance our services and provide better experiences for our customers.”

Union Assurance is a subsidiary of the John Keells Group, one of Sri Lanka’s largest listed conglomerates. Set to protect the lives and enriching the well-being of all Sri Lankans, Union Assurance offers Life Insurance solutions that cover health, investment, protection, retirement, and education needs of Sri Lankans. With an island-wide branch network and an over 4,000-strong workforce, Union Assurance continues to invest in people, products, and processes with a customer-centric focus to be responsive to emerging changes in the Life Insurance industry.