Etiqa insurance, takaful gross premium up 17pc

KUALA LUMPUR: Etiqa Group’s insurance and takaful achieved double-digit gross premium growth of 17 per cent to RM7.2 billion for the financial year ended December 31, 2018, although its profit before tax (PBT) was lower at RM825 million.

Group chief executive officer Kamaludin Ahmad said despite a challenging investment environment, Etiqa emerged as the fastest-growing large insurance and takaful provider in Malaysia based on revenue growth.

Its life insurance and family takaful business increased 16 per cent to RM4.3 billion while general insurance and takaful business rose 17 per cent to RM2.9 billion.

“Etiqa maintained top position in the general takaful segment with a 12.3 per cent market share compared with 11.6 per cent in 2017. It was in fourth position in the life and family segment with a 11.2 per cent market share versus 9.9 per cent in 2017 for the Malaysian market,” said Kamaludin yesterday.

He said Etiqa posted a 19 per cent growth in new life/family business and 10 per cent growth in general business, compared with the industry’s growth of five and four per cent, respectively.

Its PBT slid 19 per cent mainly due to adverse equity market performance and designation of equities as fair value to profit and loss, which resulted in equities realised and unrealised losses compared with a large equity gain and gain from disposal of investment property recorded in 2017.

Despite that, the group could still affirm its strength in the industry with total assets of RM36.1 billion, an increase of 4.7 per cent from the previous year, he said.