Company pays out $58.6 million in insurance
4 April, 2018, 11:35 pm
SINCE re-branding seven years ago, BSP Life has experienced rapid growth primarily attributed to the growing awareness of the importance of insurance.
Realising this growth, the company paid out a total of $58.6 million in insurance through various benefits to its customers, the highest payout recorded in its 142-year history.
According to BSP Life managing director Malakai Naiyaga, the company on average paid out $1.1m a week in 2017, enabling thousands of customers or policyholders to benefit from their policies.
This also brought the leading life and health insurance provider’s total benefit payouts to $155.5m for the past three years.
Revealing the figures during a press conference in Suva yesterday, Mr Naiyaga said out of its total payout of $58.6, $48.1m was for life insurance benefits and $10.5m for medical insurance benefits.
Mr Naiyaga said throughout 2017, about 3600 policyholders were paid $38.2m for life insurance living benefits, which include maturities and interim maturity payouts.
“It gives us great satisfaction to see that over 65 per cent of our 2017 payouts were in living benefits enabling our customers to meet various life goals, including retirement, tertiary education, setting up small businesses, expanding an existing business, paying off a mortgage or taking a well-deserved holiday,” he said.
“Over 68 per cent of these payouts were to policyholders over the age of 50. These payouts no doubt would supplement the compulsory retirement savings and add value towards a life of financial independence while in retirement.”
On health insurance benefits, the company noted an increase by $4.2m over the past three years.
The $10.5m paid out to its customers for medical costs throughout the year covered overseas evacuations, local hospitalisation and general outpatient services.
Mr Naiyaga said some of the cost increase was attributed to the rising cost of medical treatment overseas, BSP Health’s increasing number of insureds and the increased need for medical attention because of NCDs.
“Committing to a healthy lifestyle while maintaining your life insurance premium payments can be rewarding,” Mr Naiyaga said.
“It’s delightful to see many Fijian households benefiting from their breadwinners’ investment in a BSP Life insurance policy. We view life and health insurance as an essential and important integral part of one’s financial planning.”
Mr Naiyaga commended its more than 80,000 policyholders for their commitment to ensuring premiums were paid on time for the duration of the policy allowing it to accumulate value for them and providing valuable returns at an important stage of their lives.
“Our ability to pay these large benefits year on year is underpinned by our strong financial standing. We have a stable, balanced and growing investment portfolio, sound governance processes and internationally recognised actuarial expertise to ensure we can deliver on our promises now and in the future. We take this responsibility seriously.”
BSP Life’s investment portfolio is valued at more than $650m, which includes a number of landmark commercial properties in the Suva CBD, a gated high end residential property, majority shareholding in Richmond Ltd trading as Sofitel Fiji Resort and Spa, Oceania Ltd trading as MIOT Pacific Hospital in Suva and 100 per cent ownership of Future Farms Ltd trading as Rooster Poultry.