Insurance Company assets total Rs 241.86 b in first half

The Total Assets of the insurance companies have increased to Rs 241.86 billion at the end of the first six months of 2011 when compared to the Total Assets valued at Rs 222.24 billion at the end of year 2010.

The overall Gross Written Premium (GWP) Income for General Insurance and Long Term Insurance Businesses was Rs 38.59 billion which reflected a growth rate of 23.38% compared with the first six months of 2010.

The General Insurance Business has demonstrated a progress of its overall Gross Written Premium (GWP) Income during the 1st half of 2011 when compared to the same period of 2010.

The Long Term Insurance Business also showed a progress of its overall Gross Written Premium Income during the first half of 2011 when compared to the same of 2010.

The overall Gross Written Premium Income of General Insurance Business amounted to Rs 21.56 billion (1st Half 2010: Rs 18.18 billion) while the overall Gross Written Premium Income of Long Term Insurance Business amounted to Rs 17.04 billion (1st Half 2010: Rs 13.12 billion) during the first six months of 2011.

The insurance industry is regulated by the Insurance Board of Sri Lanka (IBSL) in terms of the Regulation of Insurance Industry Act, No. 43 of 2000 (the Act).

The IBSL was established to develop, supervise and regulate the insurance industry in Sri Lanka.

There are twenty insurers registered with the IBSL. Twelve of them are composite companies (dealing in both General and Long Term Insurance Businesses), six are registered to carry on General Insurance Business and two companies engage only in Long Term (Life) Insurance Business.

However, one company registered to carry on General Insurance Business is prohibited from engaging in insurance business since August 5, 2009.

Insurance Broking Companies as intermediaries, make significant contribution to the insurance industry.

Forty four insurance broking companies, registered with the IBSL currently engage in insurance broking business. Insurance Broking Companies mainly concentrate on General Insurance Business and their Total Gross Written Premium Income from both General Insurance Business and Long Term Insurance Business amounted to Rs 4.94 billion during the first half of 2011.