KUALA LUMPUR, Aug 22 -- Allianz Malaysia Bhd posted a higher net profit of RM117.67 million for the second quarter ended June 30, 2019 (Q2 2019) from RM89.87 million recorded in the same period last year due to higher operating revenue.
In a filing with Bursa Malaysia today, the insurance company said its operating revenue rose 4.5 per cent year-on-year to RM1.37 billion in Q2 2019, due mainly to higher gross earned premiums and investment income by RM47.6 million and RM11.6 million, respectively.
On the life insurance segment, Allianz Malaysia said its operating revenue improved to RM780.7 million in Q2 2019 from RM719.7 million a year ago, attributable to the increase in gross earned premiums and investment income by RM51.0 million and RM10.0 million, respectively.
"The increase in gross earned premiums of the life insurance segment was mainly contributed by higher premiums from agency and employee benefits channels," it said.
On the general insurance segment, the company said it, however, recorded a slightly lower operating revenue of RM582.1 million for the period under review from RM583.8 million registered in the same quarter last year.
"This was due to the decrease in gross earned premiums by RM3.4 million and offset by an increase in investment income by RM1.7 million.
"The decrease in gross earned premiums of the general insurance segment was attributable to lower premiums from fire business," it said.
On prospect for the life insurance segment, Allianz Malaysia expected it to remain soft for the rest of 2019 amid the ongoing liberalisation of the industry.
As for the general insurance segment, the company believed the segment to stay focused on optimising business margins by shifting into profitable business segments, executing technical excellence in claims management, enhancing operational efficiency and prioritising customer needs.