THE insurance industry saw premium income grow by 11.1 in the first semester with all sectors posting expansions, regulators reported on Monday.
Data from the Insurance Commission showed total premium income hitting P117.29 billion for the January to June period, up from P105.52 billion in 2016.
“It should be recalled that during the first half of 2016, the insurance sector experienced a 9.11 percent decline in premium income to P105.52 billion from P116.11 billion posted during the same period in 2015,” Insurance Commissioner Dennis Funa said in a statement.
”This year, however, the insurance industry posted a positive growth in terms of premiums generated as early as the first half of the year he added.
Second quarter results were not released.
Focusing on first-half performance, Funa reported that the life sector grew premium income by 10.46 percent to P90.79 billion.
“The increase in the premium income of the life insurance sector can be attributed to the 3.05 percent and 13.69 percent growth in premiums generated from the sale of both traditional life insurance and variable life insurance, respectively,” he said.
Non-life premiums, meanwhile, increased by 12.78 percent to P22.20 billion.
“Similar to the performance in the first quarter of this year, the non-life insurance sector continues to post significant increases in terms of net premiums written in the motor car and fire lines which remain to comprise the majority of the total net premiums written,” Funa said.
The mutual benefit associations sector, meanwhile, reported total contributions of P4.29 billion, up by 18.03 percent year on year.
The insurance industry’s total assets expanded by 14.78 percent as of end-June to P1.48 trillion from 1.29 trillion of the same period last year, Funa reporterd.
Total liabilities, on the other hand, stood at P1.17 trillion as of end-June, which is 13.86 percent higher than P1.03 trillion during the comparable period last year.
The industry’s total net worth stood P310.74 billion as of end of the first half of 2017, up by 18.37 percent, from P262.51 billion of the same period in 2016.
Considering the significant increases in the paid-up capital of several companies, the insurance industry posted a 15.42 percent increase in total paid-up capital from P42.55 billion as of end-June 2016 to P49.10 billion this year.