LOLC General Insurance : Annual Report 2021

FLYING START TO THE FUTURE...

LOLC General Insurance Annual Report 2021

LOLC General Insurance Annual Report 2021

FLYING START

TO THE FUTURE

LOLC General Insurance PLC is currently one of the fastest growing insurance companies in Sri Lanka. The Company has benefitted from the dynamic approach of the LOLC Group and this has enabled us to grow and evolve into one of the country's leading insurance providers of today in a relatively short period of time.

At LOLC General Insurance PLC, we aim to help our customers understand and manage the risks they face, be it individual, family or business. We work hard to offer our customers a range of products and services coupled with expert support. Our solutions assure protection against numerous risks and support all classes of products in the General Insurance space. We are also supported by one of the largest global reinsurers who serves as the backbone of our technical strength.

LOLC General Insurance Annual Report 2021

Table of Contents

Financial and Operational Highlights	03
Directors' Profiles	04
Financial Review	08
Corporate Governance Report	14
Risk Management	17
Report of the Board of Directors	19
Directors' Responsibility for Financial Reporting	22
Chief Executive Officer's Responsibility Statement	23
Report of the Related Party Transactions Review Committee	24
Report of the Remuneration Committee	25
Report of the Audit Committee	26
LAT Certification by the Actuary	29
Independent Auditor's Report	30
Statement of Financial Position	34
Statement of Income	35
Statement of Comprehensive Income	36
Statement of Changes in Equity	37
Statement of Cash Flows	38
Notes to the Financial Statements	39
Shareholders Information	92
Quarterly Analysis	94
Ten Year Summary	96
Notice of Annual General Meeting	100

LOLC General Insurance Annual Report 2021

Financial and Operational Highlights

	2021	2020	Change
			%
Results for the year
Gross Written Premium (Rs.'000)	7,284,480	6,112,466	19
Claims and Benefits (Rs.'000)	2,667,817	1,768,351	51
Profit before income tax (PBT) (Rs.'000)	1,271,404	1,537,396	(17)
Income tax (Rs.'000)	176,681	425,368	(58)
Profit after income tax (PAT) (Rs.'000)	1,094,724	1,112,029	(2)
At the year end
Shareholders' funds (capital and reserves) (Rs.'000)	4,004,018	3,063,540	31
Technical reserves (Rs.'000)	5,218,673	3,900,749	34
Total investments (Rs.'000)	8,443,284	6,784,607	24
Total assets (Rs.'000)	12,000,641	9,891,278	21
Information per ordinary share (Rs.)
Earnings per share (Basic)	0.92	0.93	(2)
Net assets value per share	3.34	2.92	14
Market value at the year end- ordinary voting shares	20.50	-	100
Key ratios
Return on average equity (%)	25.81	36.30	(10)
Return on average assets (%)	9.12	11.24	(2)
Price earnings (times) - ordinary voting shares	23.80	7.46	219
Price to book value (times)	6.14	-	100
Statutory Ratios
Capital Adequacy Ratio (CAR) (%)	192	301	(109)
Admissible assets (Rs.'000)	9,496,838	7,807,914	22

LOLC General Insurance Annual Report 2021

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