Business

Thursday May 14, 2009

HLA remains optimistic on outlook for insurance sector

By LOONG TSE MIN


KUALA LUMPUR: Total premiums collected by Hong Leong Assurance (HLA) grew 45% as at end-April. The company’s financial year ends on June 30 (FY09).

With only two-months left before the end of its current financial year, this figure is significantly lower than the 154% growth to RM200mil in total premiums recorded in FY08.

However, chief operating officer for life division Loh Guat Lan said: “We are still able to maintain strong double-digit growth so far this year.”

Speaking at the launch of The Perfect Series unit-linked insurance plan, Loh said she was optimistic of the outlook for the insurance industry this year.

Loh Guat Lan ... now there is fear of loss, that is why we are optimistic of the industry.

She explained that in a weaker economic environment, there is fear of loss from unforseen incidents, prompting people to buy more insurance policies.

“Now there is a fear of loss, that is why we are optimistic of the industry,” she said.

On sales of The Perfect Series, Loh said HLA was targeting a total premium of RM50mil before the year-end.

The plan is designed to give protection and enable policyholders to save without having to actively manage the portfolio.

“The premium that you pay will be placed in funds and managed according to your preferred strategy. The plan, which includes separate accounts for protection and savings, assures transparency.

“Therefore, the policyholder will be given relevant, useful and understandable information to help in the decision-making,” Loh said.

The Perfect Series consists of three main plans.

Perfect Protection provides coverage for critical illnesses, personal accidents, hospital and surgical benefits as well as disability income.

Perfect Education gives tax relief until a child is 25 years old. It allows the policyholder to withdraw cash at any time to pay for education fees and has the option to continue with the accumulation of the fund beyond maturity to meet further education and other needs.

Perfect Retirement gives coverage for up to 100 years old, covering old-age disability aside from protection against death, total and permanent disability, with scheduled regular withdrawals to meet retirement needs.

The series of products give policyholders protection against death and total permanent disability and is open to anyone in good health between one month and 65 years old for the Perfect Protection or the Perfect Retirement plans.

As for Perfect Education, it is open to people with children between one month and 15 years old.


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