Key Insurance revenue up 20% in March quarter
Key Insurance Company Limited (Key) reported strong performance in the first quarter of 2022.
In its unaudited first quarter financial results for the three-month period ending March 31, 2022, the company reported profit before tax (PBT) of $3.4 million, a 197% increase over the corresponding period of 2021.
Gross premiums written of $84.9 million, which represents an increase of 20.5% compared to the corresponding period of 2021.
Meanwhile, net premiums earned increased by $99.6 million, or 40%. Growth was achieved across all premium lines, with the non-automotive portfolio recording the largest increase of $44.7 million or 53.5%.
The technical result of the automotive portfolio increased by 107.5%. This performance is mainly attributable to a 12.2% increase in gross premiums and a 75.6% reduction in unearned premiums.
Key also continued to focus on investment income growth and saw 88% growth in this area in the first quarter compared to the corresponding period of 2021.
Don Wehby, Chairman of Key and Group CEO GraceKennedy (GK) explained that Key remains highly focused on executing on its strategic objectives.
“We have a very strong team in place, dedicated to delivering on our strategy – sustained growth and innovation, customer focus, improved business processes for greater efficiency and a performance-driven culture. It is an honor for me and the other board members to be part of this exciting journey,” he said.
Key’s chief executive, Tammara Glaves-Hucey, said the company has the internal controls and systems in place to ensure it can meet any challenge.
“The Jamaican insurance space is vibrant and competitive. As such, we are ensuring that Key is well positioned to meet any economic challenges that may arise, while providing our customers with value for money and delivering a good return to all of our shareholders,” he said. she declared.
Key noted that the general insurance industry expects increased claims as the economy reopens and the associated increase in business activity.
To that end, management has stated that it is aware of this expected increase in claims and has begun to adjust our underwriting practices and operations accordingly.
GK, through its wholly owned subsidiary, GraceKennedy Financial Group Limited (GKFG), acquired 65% of Key’s share capital in March 2020.