Hatton National Bank, the largest private sector commercial bank, is talking to potential foreign investors to take a 30 percent stake in its insurance subsidiary.
HNB Assurance, started off business in November 2001. With a Rs. 250 mn paid up capital, HNB Assurance offers life and general insurance facilities including motor, fire, marine and miscellaneous sectors like health insurance.rn
rnDespite leveraging on HNBs 100 odd islandwide branch network as a delivery channel, the insurance arm still commands less than 1 percent of Sri Lankas total insurance market.rn
rnSri Lankas insurance market is relatively untapped with around 20 percent of the 18 mn population being insured. Insurance coverage has also been concentrated around the urban areas.rn
rnHNB had earlier sought foreign partners, but found it difficult to attract an equity partner due to the problems in the global industry.rn
rnldblquote The time is now ripe and we are looking at disposing around 30 percent of the company sometime du