Asia Insurance Company Limited reported a net profit of PKR 168.39 million (EPS: PKR 2.31) in CY24, up from PKR 85.70 million (EPS: PKR 1.17) in CY23. Gross and net insurance premiums were reported at PKR 1.23 billion and PKR 990.88 million, respectively, in CY24.
The gross premium comprised PKR 596.39 million from Fire & Property Damage, PKR 208.06 million from Marine, Aviation & Transport, PKR 153.62 million from Motor, PKR 147.01 million from Health, and PKR 129.71 million from Miscellaneous segments. In the Takaful segment, contributions stood at PKR 76.53 million from Fire & Property Damage, PKR 27.72 million from Marine, Aviation & Transport, PKR 21.48 million from Motor, and PKR 19.84 million from Miscellaneous. Total Takaful business contribution was reported at PKR 145.57 million in CY24.
Management highlighted key sectoral challenges including low insurance penetration, arbitrary bank policies, Competition Commission limitations, lack of mandatory insurance requirements, and regulatory disparities between state-owned and private insurers. ASIC did not declare a dividend in CY24, as insurers are required to enhance their paid-up capital by 2030 in accordance with regulatory directives.
The investment portfolio stood at PKR 816 million as of December 31, 2024, with allocations as follows: 13% in equities, 10% in government securities, 17% in fixed PIBs, 5% in savings accounts, 50% in TDRs, and 5% in properties. The company has primarily invested in TDRs amid a declining KIBOR, aiming to lock in rates for the long term. Looking ahead, ASIC targets a 20% growth in gross premium in CY25. However, management does not expect other income to match CY24 levels, given the ongoing downtrend in interest rates.
Important Disclosures
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