- Races from 5th to 2nd position in the market in 5 years
- Gross Written Premium of Rs. 11.4 b with an increase in top-line growth of 24%
- Market share of 17.1% as of 30 June 2022
- Top-line growth of 24% vs an overall industry growth of 18.7%
- Profit After Tax rose to
- Rs. 1.2 b with a 30% growth
- Maintains a 10-year Compound Annual Growth Rate of 29% in GWP against an industry CAGR of 14.3%
Defying all odds amidst challenging macroeconomic conditions, Sri Lanka’s fastest-growing life insurer Softlogic Life announced yesterday that the company had climbed to become Sri Lanka’s second-largest life insurance company after recording a superior growth performance during the first half of 2022.
The significant milestone makes Softlogic Life the youngest life insurer to achieve this remarkable feat.
During the six months ending 30 June 2022, Softlogic Life has posted a Gross Written Premium (GWP) of Rs. 11.4 billion with an increase in top-line growth of 24% vs overall industry growth of 18.7% compared to last year. The market share of 17.1% recorded as of 30 June 2022 now ranks Softlogic Life as the second largest in the life insurance market, overtaking industry heavyweights that have been prevalent for many decades.
Since its inception, Softlogic Life has been striving to improve the quality of life of Sri Lankans through relevant disruptive innovations and digitalisation. Industry-first innovations such as one-day automated claims settlement, one-minute hospitalisation claim settlement, 100% digitalised sales platform, automatic policy issuance, and mobile-based micro products have helped the company to deliver a superior customer experience, which has been instrumental in enhancing its competitive position.
But the biggest reason that enabled the company to grow amidst calamity was that the company stood firmly with over 1.5 million customers in a business landscape disrupted by the pandemic and a full-blown economic crisis, becoming the most prominent COVID claims settler with over Rs. 1.4 billion COVID-19 claims were being paid whilst also attracting more than 17% of the industry’s new business during the review period.
Recognising this phenomenal growth story year-on-year is why the company was also titled the “Best Life Insurance Company of the Year” at Emerging Asia Awards 2021 and the only brand to have won “Brand of the Year” for two consecutive years at Effie awards – 2019/2021.
In addition, as a result of the company’s firm commitment to ensuring high standards in transparency and Corporate Governance, Softlogic Life was awarded an overall Silver across industries for excellence in Financial reporting and a Gold Award in the insurance sector at the Annual report awards 2021 organised by Institute of Chartered Accountants of Sri Lanka while also winning an Overall Gold at the CMA Excellence in Integrating Reporting Awards 2021.
Chairman Ashok Pathirage said: “I am truly proud of this achievement by Softlogic Life. Driven by bold leadership, an inspired team with a “Can Do” attitude and a vibrant strategy for continuous improvement, the company always believes in defying the odds. Today they have done just that by moving towards the pinnacle to become Sri Lanka’s second-largest life insurance company.
“This drive is why global investors have chosen Softlogic Life to invest in and continue to provide invaluable support towards growing our business in all aspects. I’m extremely pleased to see how Softlogic Life, “a company we took under the wings of “Softlogic Group” in 2011, has grown by leaps and bounds whilst also transforming the industry.”
Managing Director Iftikar Ahamed said: “As a young company we have achieved something phenomenal crafting and delivering a winning strategy that is the hallmark of the Softlogic Group in just eight years. It is a historical milestone to achieve the number two spot in an extremely competitive, mature sector that was for years led by decade-old industry giants.
“The top and bottom-line performances during the first half of 2022 show optimism and confidence in continuing to improve our business and delivering great value to our policyholders and stakeholders, even amidst challenging macroeconomic conditions. I want to thank the management team, employees and our sales force for their hard work and commitment to making this vision a reality. I’d also like to thank our customers and all other stakeholders of Softlogic Life for their unwavering trust in us.”
Along with its phenomenal growth momentum, the company has also been resolute regarding its financial stability and overall health. The company’s Profit After Tax (PAT) during the review period rose to Rs. 1.2 billion with a 30% growth. Profit before tax (PBT) rose to Rs.1.7 billion, with a 14% growth compared to last year. Furthermore, Softlogic Life maintained a healthy Capital Adequacy Ratio (CAR) of 325%, well above the regulatory CAR requirement of 120%. All this while maintaining a 10-year Compound Annual Growth Rate (CAGR) of 29% in GWP against an industry CAGR of 14.3%.
