Sri Lanka Amana Takaful cuts losses, sees scope in medical insurance

Standing left to right – Mr. Dinesh Jebamani (Chief Manager Liability Product Management and New Age Media – Seylan Bank), Mr.Sudesh Peiris (Senior Manager – Digital Banking Channels – Seylan Bank), Ms. S.Senevirathne (Representative of the Revenue Department – Western Province), Mr. Tilan Wijeyesekera (Deputy General Manager – Retail Banking – Seylan Bank) and Mr. Malik Wickremanayaka (Deputy General Manager – Operations – Seylan Bank)

April 23, 2009 (LBO) – Sri Lanka’s Amana Takaful Insurance said it made a premium income of over a billion rupees in 2008, helping to reduce losses, and that it expects medical insurance to grow this year. Gross Written Premium grew by 26.56 percent to 1,024 million rupees with life insurance growing by 44 percent to reach 188 million rupees and General Insurance up 23 percent to achieve a premium income of 835 million rupees.

A company statement said total assets grew by 14.87 percent to reach 1,053 million rupees in 2008 as against 917 million rupees in 2007.

Prudent underwriting and improved investment income helped Amana Takaful Insurance to reduce its operating loss by 65.7 percent, the company said, without giving further details.

Amana Takaful Insurance chairman Tyeab Akbarally said they expect “significant growth” in the family Takaful business in 2009 and also from the medical insurance business.

“There is a lot of scope for medical insurance in Sri Lanka, given the high cost of quality residential medication.”

Though the firm’s investment income grew significantly, one of their main challenges remains to be the dearth of Islamic investment opportunities in the country, h