General Accident Insurance Company Citing A Less Than Favorable Start To 2017 – Donaldson
Sharon Donaldson, Managing Director of General Accident Insurance Company (Jamaica) Limited is citing a less than favorable start to 2017 in its Underwriting business, this despite growing gross written premiums by 23% to $1.97 billion in 2017. The Company’s net earned premiums grew by $51.6 million or 20% to $304.1 million
Reporting in the company’s just released unaudited financial statements for the quarter ended 31 March 2017, she also indicated that investment performance showed marginal improvement with generated investment income of $46.1 million in the first quarter, 2% behind prior year amount of $47.3million. This represents an annualized return on average investment portfolio of 6.9% and is in excess of the benchmark inflation.
With the continued depression of property rates, increased competition in the motor line of business, coupled with increased claims cost, further compounded with downward trending interest rates, Mrs. Donaldson reported that profitability declined by 18% to $17.4 million.
General Accident Insurance Company ended the quarter with a book value of $2.0 billion and generated a return on average equity for shareholders of 3.5%. BM
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