Sri Lanka Allianz Insurance profit up, expands branch network

March 17, 2008 (LBO) – Sri Lanka’s Allianz Insurance Lanka, a unit of German insurance giant Allianz SE, said pre-tax profit shot up 258 percent to 53.2 million rupees in the financial tyear ended December 31, 2007. The company said in a statement it made a net profit of 50 million rupees during the fiscal year in what was a “difficult market.”

Underwriting profits increased 822 percent to 32 million rupees in 2007 from 3.5 million rupees in 2006.

Premium income grew by 37.6 percent to 414 million rupees in 2007 from 300.9 million rupees in 2006.

“Our shareholders demonstrated their confidence in our continued performance by infusing more capital to consolidate the business in Sri Lanka, and have assured us of even more capital in the near future,” said Surekha Alles, chief executive, Allianz Insurance Lanka.

The company attributed its performance to “carefully underwritten risk” and “controlled management of key factors”.

“An increased focus on customised insurance products ensured that Allianz Lanka made its presence felt in the retail market too during the past year, with an expanded reach outside Colombo,” the statement said.

The company plans to expand its reach even further,