Wednesday, May 2, 2012

Ceylinco Insurance announces dividend of 65%

Ceylinco Insurance announced a dividend of 65 % (Rs.6/50 per share ) for its shareholders. Ceylinco Insurance said that the company declared this bonus in appreciation of the tremendous trust placed in the company by its shareholders and policyholders alike.
 "With the exceptional performance in 2011, the shareholder’s fund of the company, which stood at Rs.7.6 billion in 2010, saw a rise of 24% to reach Rs.9.45 billion. The company’s total assets also went up, recording an increase of 24.3% from Rs.49.3 billion to Rs.61.3 billion in 2011. The total premium income during 2011 stood at Rs.19.8 billion, to which the General Division contributed Rs.10 billion, while the Life Division contributed the remaining Rs.9.8 billion. Ceylinco Insurance believes that the results achieved are a reflection of resilience and strength, expressed through the confidence placed in the company by shareholders and customers," the insurer said in a statement.

"Meanwhile, the company’s total profit before tax went up to Rs.1,271 million, showing an increase of 36%. During the year under review, Rs.4.9 billion was paid out by Ceylinco Insurance – General as claims, while also during the year, the Ceylinco Insurance voting share traded in large volumes, with Rs.950/- being the highest traded price; at the very zenith amongst the insurance and banking sector, for the third consecutive year."

Commenting on the results, Ajith Gunawardena Managing Director/Chief Executive Officer of Ceylinco Insurance – General, said that: "Behind these results are the steadfast confidence placed in us by our customers, our shareholders, whose trust we value, and our staff, who ensured that the company maintained the highest standards in customer care and added value to every aspect of the level of service we deliver. Of course, sound management principles also helped the company achieve this level of success."

With almost 300 branches, the General Division maintains the highest branch network in the country, and with over 25 branches, the largest network in the North and East, fuelling the growth spurt of the region. Backed by globally strong partners in reinsurance support, Ceylinco Insurance has reaffirmed the faith placed by Sri Lankans in a truly world class Sri Lankan company. "We are still the only insurance company in Sri Lanka to settle all claims, including non-motor claims, On The Spot. It is interesting to note that no other Sri Lankan, or for that matter global insurer, has come even close to replicating this unique claim settlement scheme," Mr Gunawardena added.

Commenting on the performance of the Life Division, where more than 143,259 new life policies were sold in 2011, Managing Director/Chief Executive Officer of Ceylinco Life, R. Renganathan, said that the company performance was significant, considering the intense competition prevalent in the industry. The

total claim benefits disbursed by the Life Division in 2011 amounted to Rs 2,946 million.

Renganathan added that the performance of the company during 2011, indicated an encouraging growth and noted with confidence that the company succeeded in maintaining its leadership position in the industry, for the eighth consecutive year. He further noted that a key financial stability indicator, the company’s solvency margin, had increased considerably in 2011, and was now eight times more than the required rate.
source - www.island.lk

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