Pru Life UK income up 33% in 2011

Pru Life UK, the life insurance arm of multinational financial services firm Prudential Plc, reported a 33-percent increase in its 2011 income.

The insurer said its favorable performance in 2011, despite global economic challenges that somewhat dampened the Philippines’ growth, gave rise to optimism over the company’s income prospects for the year.

In a press conference Tuesday, Pru Life UK president and chief executive officer Antonio de Rosas said total premiums the company collected last year amounted to P10.4 billion, up from P7.8 billion the previous year.

“Our improved performance was brought about by recruiting more financial advisers and increased productivity,” De Rosas told reporters.

The insurer hired 1,000 more sales agents last year, bringing its total licensed sales force to 3,000.

De Rosas said Pru Life UK would continue to hire more workers this year. The company believes that, by expanding its marketing and distribution efforts, it will be able to increase penetration rate of insurance in the country.

With the country’s growing economy and rising per capital income, the ability of Filipinos to buy insurance products has increased as well, De Rosas said. Nonetheless, insurance firms have to devote more time, money, and effort in marketing and distribution to be able to benefit from rising income levels in the country.

Unlike other products, De Rosas said, insurance policies are something most people will buy when they are approached by sales agents. This is the reason why Pru Life UK intends to increase its sales force.

The income growth of Pru Life UK in 2011 was consistent with the positive financial performance of its sister companies operating in other emerging economies throughout Asia.