KUALA LUMPUR: Insurer LPI Capital Bhd (LPI Capital) has announced a higher net profit of RM77.16 million in the first quarter ended March 31, 2019 despite a challenging environment.
NST reported LPI group founder and chairman Tan Sri Dr Teh Hong Piow said it had improved its performance during the quarter. Teh said its fully-owned Lonpac Insurance Bhd (Lonpac) reported a marginal improvement in its performance for the first quarter of 2019. Its pre-tax profit increased by 3.5 per cent to RM79.1 million from RM76.4 million in the previous corresponding period. Its gross written premium for the quarter, however, was 4.6 per cent lower at RM460.9 million compared to RM483.2 million written previously, due partly to the absence of government infrastructure projects and compressed premium pricing.
The higher net earned premium was the result of a lower reinsurance ratio of 39.0 per cent for the quarter as compared to 42.5 per cent reported previously. -NST