The Insurance Commission (IC) has announced that the net income of the insurance industry, comprising life and non-life insurance companies and mutual benefit associations (MBAs), reached PHP48.46bn ($848m) in 2023, 3.8% higher than the PHP46.69bn chalked up in 2022.
In a statement, the IC attributed the slight increase in net income to non-life insurance companies which recorded PHP9.11bn in net income, up by 30.1% from PHP7.00bn in 2022.
On the other hand, the net income of life insurance companies dipped by 0.72% year on year to PHP33.63bn. The net income of MBAs in 2023 fell by 1.55% year on year to PHP5.73bn in 2023.
Premiums
Meanwhile, the IC reported that the total premium collection by the insurance industry last year grew by 2.36% to PHP389.61bn, with all three categories — life and non-life and MBA— reporting increases.
Premiums from traditional life insurance products collected increased by 11.52% to PHP105.19bn, and those from variable life insurance products decreased by 4.84% to PHP204.80bn, it added.
Non-life insurance companies and MBAs posted an increase in their net premiums written by 12.9% to PHP64.24bn and by 8.29% to PHP15.38 bn, respectively.
Meanwhile, benefit payments by life insurance companies and MBAs declined by 3.8% and 25.41%, respectively, while non-life insurance companies’ benefit payouts rose by 18.85% to reach PHP26.10bn.
Insurance penetration fell from 1.73% in 2022 to 1.60% in 2023.
The insurance industry’s total assets posted growth of 8.02% to PHP2.31tn as of 31 December 2023 from PHP2.14tn 12 months previously.
Source: asiainsurancereview.com