By Al Edwards, Business Co-ordinatorISLAND LIFE Insurance Company has reported after tax profits of $103.4 million for the fiscal year ended December 31, 2001.
The company also reported a 14.62 per cent return on average equity while registering a significant increase in total revenue for the year.
These pluses and other achievements were highlighted by chairman of the company, Dodridge Miller, while addressing stockholders, directors and some members of staff gathered at the Terra Nova Hotel for the company's recent 30th annual general meeting.
Mr. Miller pointed out that financial year 2001 was the first full year of operations to benefit from the re-establishment of a strong, vibrant agency force. The results he noted were a great success and very positive. Premium Income rose by 51.96 per cent to $601 million compared to $396 million for 2000 exceeding projections by 23 per cent. During the year, 8,337 policies for a sum insured of $9.93 billion were written resulting in new annualised premium of $200 million.
He also noted that the dictates of the New Insurance Act that Life Insurance Companies meet certain minimum solvency requirements termed the Minimum Continuing Capital and Surplus Requirements (MCCSR) set at 100 per cent. He reported that Island Life, was one of the first to achieve the minimum standard and reported a MCCSR of 153 per cent as at December 31, 2001.
Their performance he said vindicated The Mutual's strategic decision to re-enter the Jamaican insurance market.
The Mutual, with the addition of Life of Jamaica to the Groups family of companies and the proposed merging of LoJ and Island Life, will control the largest portion of the insurance industry in Jamaica when the merger is finally effected.
