DATA from the Insurance Commission (IC) revealed Sun Life of Canada (Philippines) Inc. and Malayan Insurance Co. Inc. topped the list of insurers that witnessed a healthy operation last year.
Sun Life topped life insurers in terms of premium and net income while Malayan Insurance led non-life insurance companies in terms of gross premiums written during the pandemic year.
Based on the unaudited Quarterly Reports Reports on Selected Financial Statistics (QRSFS) submitted by the life insurers, Sun Life Philippines earned a premium income of P39.27 billion.
Second on the list was Philippine Axa Life Insurance Corp. (Axa Life) with P31.27 billion followed by Pru Life Insurance Corp. of UK (P30.98 billion), The Philippine American Life and General Insurance Co. (AIA Philam) with P16.77 billion and BPI-Philam Life Assurance Corp. (P16.30 billion).
Last year, the life insurance industry earned a premium income of P247.72 billion, up by 5.9 percent from P233.92 billion in the previous year.
Sun Life Philippines also bested other life insurers with a net income of P8.47 billion in 2020.
It was followed by AIA Philam Life with a net income of P4.52 billion, The Manufacturers Life Insurance Co. (Phils.) Inc. (Manulife Philippines) with P4.05 billion, Pru Life UK (P3.27 billion) and Axa Life (P2.83 billion).
Based on New Business Annual Premium Equivalent (NBAPE), Pru Life UK ranked first among life insurers with P7.95 billion.
Trailing Pru Life UK was Sun Life with P7.8 billion, Axa Life with P4.81 billion, FWD Life Insurance Corp. with P2.87 billion and BPI-Philam with P2.83 billion.
A life insurer’s NBAPE is computed by obtaining the sum of the value of first-year premiums from products newly sold in a specific year (or the initial annualized premium) and 10 percent of single premiums written. It is an international standard that the Insurance Commission has adopted to more accurately measure the life insurance industry’s sales performance.
The life insurance sector’s total NBAPE also dropped to P46.16 billion, plunging by 19.8 percent from P57.56 billion in 2019 due to the restrictions on face-to-face selling of insurance products due to community quarantine
Meanwhile, AIA Philam Life led the list in terms of net worth and total assets with P78.44 billion and P291.22 billion, respectively.
“The combined net worths of the top ten life insurance companies accounted for a remarkable 87.04 percent of the industry’s entire net worth as of year-end 2020 based on the QRSFS, amounting to P214.10 billion,” Insurance Commission chief Dennis B. Funa said.
The life insurance sector’s assets also hit P1.53 trillion last year, jumping by 7.78 percent from P1.42 trillion in 2019.
For the non-life insurance sector, Malayan Insurance came first in terms of gross premiums written with P14.21 billion.
Next to Malayan Insurance was Prudential Guarantee & Assurance Inc., with P10.43 billion, Pioneer Insurance & Surety Corp. (P10.05 billion), BPI/MS Insurance Corp. (P5.83 billion) and FPG Insurance Co. Inc. (P4.14 billion).
On net premiums written, Prudential obtained the top spot with P4.55 billion. Rounding up the top five were Malayan Insurance (P4.08 billion), Pacific Cross Insurance Inc. (Blue Cross Insurance Inc.) with P3.32 billion, Pioneer Insurance with P2.97 billion and BPI/MS with P2.82 billion.
Pioneer Insurance led the pack in terms of net worth (P17.42 billion) and total assets (P39.84 billion).
The Insurance Commission has yet to release the official figures on the life insurance industry’s net income and net worth as well as the financial performance report for the non-life insurance sector.