Southeast Life Insurance recorded 34% growth in policy premiums for the first 11 months of 2021 and 70% growth in operating results in the third quarter last year, the highest in the life insurance industry, affirming the company's financial stability.
According to the company's statement, it has a capital adequacy ratio of 236% with net assets of more than 55.6 billion baht, which is significantly higher than the Office of the Insurance Commission's requirement of 120%.
Prettaya Sutchasila, president of Southeast Life, said the company maintained its stable financial position with 9.88 billion baht of total premiums received during the first 11 months of 2021, up 34% compared with the same period the previous year and 125% higher than projected.
With a persistency rate of 93%, the company also saw a huge gain of 7.89 billion baht from first-year premiums, representing a 5% market share.
She said its better than expected growth reflects the company's ability to handle risks as well as its ample liquidity and strong financial position.
In the third quarter last year, Southeast Life also recorded a 70% rise in operating results, the highest in the industry, allowing the company to ascend to seventh largest in the Thai life insurance sector.
Southeast Life's operations are separate from its sister company, Southeast Insurance, which is suffering from liquidity problems triggered by a surge in claims from Covid insurance.
Mrs Prettaya said based on the operating results last year, Southeast Life's customers can rest assured its financial position remains stable and it is financially capable of protecting their benefits and paying compensation as stated in policies.
The company admitted the attempt by Southeast Insurance to close operations affected customer confidence in Southeast Life, with some customers requesting a cancellation of their life insurance policies. However, after some explanation most customers understood the situation and decided to continue their policies, she said.
Southeast Life Insurance wants to strengthen its brand and make it more well-known among customers, said Mrs Prettaya.
The company aims to achieve sustainable growth in the industry and continue increasing total premiums for the next three years, she said.
Through its three-year strategic plan, Southeast Life will commit to sustainability through a customer-centric strategy, said Mrs Prettaya.
The company plans to offer different products that meet the needs of all ages and provide easy access to products providing protection from many risks in life, she said.
