BSP Life Pays Out $32M Record Bonus Declaration
BSP Life has announced its record-breaking bonus, a staggering $32 million. The money will be divided among policyholders with investment linked policies, said anaging director Michael Nacola.
Despite the economic downturn, BSP Life maintained the Reversionary Bonus rate at 2.5 per cent for annual paying products and 2 per cent for single premium products, he said.
“This is based on the sum insured of your policy, not the premiums paid, delivering good value for you,” Mr Nacola said.
“We are also maintaining the Terminal Bonus rate, which is an additional bonus paid, at 0.85 per cent for policies that will be paid out in 2021.”
The annoncement was made after BSP Life Group’s 2020 performance presentation to its policyholders.
Milestone
In 2021, BSP Life celebrate the 10th anniversary of the brand, founded in 2011 with the acquisition of Colonial Life by the BSP Group.
“We’ve operated for 145 years making us one of Fiji’s longest serving organisations,” Mr Nacola said.
“From as far back as 1876, when the Colonial
Mutual Life Assurance Society of Australia opened its first branch in Fiji, we have worked hard to provide Life, followed by Health Insurance, to our people.
“Today, we’re one of Fiji’s largest institutional investors, playing a critical part in the progress of our economy.
“Through your trust we are Fiji’s premier insurance provider in our chosen markets.”
Mr Nacola said the strength of BSP Life’s investment portfolio was driven by its diversified nature, its strong governance, a targeted strategy to invest in assets that delivered long term sustainable returns, plus dynamic oversight.
“Despite the challenges posed by COVID-19, the investment portfolio continues to grow.,” he said.
“While some assets dipped in value, this was
offset by those that increased in value, with an aggregate growth of seven per cent or $51 million over 2019.
“This is an outstanding achievement in a pandemic environment and is testament to the astute management and resilience of the investment portfolio, built up over many years.”
In the last 10 years, BSP Life’s investment portfolio doubled from $407.5 m in 2011 to $816 m as at December, 2020, an increase of $408.5 m.
BSP Life’s investment portfolio is the second largest portfolio in Fiji, second only to the Fiji National Provident Fund, Mr Nacola said.
General Business
Amidst the challenges posed by COVID-19, BSP Life Group continueed to innovate and grow.
In 2020, BSP Life:
■ launched two new products, Bula Secure and Bula Secure Plus, with attractive returns. These products have become extremely popular in a short period of time delivering 20 per cent above its budget in its first year of sales.
■ revamped its website with a new customer portal where customers get access to policy information 24/7.
■i■troduced e-mail policy delivery enabling customers to receive policies quicker
■ heightened customer engagement efforts through regular updates and introduced new processes to assist customers with special relief options. During the lockdown, 70 per cent of staff worked from home, maintainingh all services without any glitches.
■ created operational efficiencies to deliver quicker application, premium and claims processing.
■ processed 88,000 claims and benefits worth $66million, averaging $1.2m a week.
■ continued to invest with the acquisition of a large commercial property in Nadi;
■comme■ceme■t of a large warehouse project also in Nadi, and
■ the purchase of the renowned Regal building in Suva, to name a few.
These investments were made at a crucial time to build local and foreign investor confidence in Fiji.