Net profits for TAL were $90 million for the 12 months leading to March 31, a one per cent decline from the $91 million profit the previous year.
Executive officer and general manager of the corporate planning department of Dai-ichi Life, TAL’s parent company, Seiji Inagaki said premium and other income for Tal increased by 24 per cent from the previous year due to “favourable insurance sales in individual business and re-pricing with group business partners”.
However, benefits and claims payments grew 33 per cent due to “growth in the business and claims activity remaining high”, said Mr Inagaki.
He said increased premiums and other income along with re-pricing helped offset the growth in benefits and claims payments, minimising the overall decline in net profit.
Mr Inagaki said new business for the year grew 128 per cent to $728 million, while TAL’s embedded value grew $195 million to $1.957 billion during the period.
TAL chief executive James Minto said since coming under the ownership of Dai-ichi Life three years ago, TAL has “grown its underlying profit in what has been a very successful growth period for the company in a market that is going through significant change”.
“We are paying more claims than ever, delivering tremendous social purpose for the people of Australia,” said Mr Minto.
“We have maintained our profit levels through effective risk management and long-term planning as we look to the decades ahead.”
Mr Minto said long-term sustainability is critical for the life insurance industry and that the company will work closely with its business partners to “ensure benefits are affordable and sustainable for our customers well into the future so we are there for them when they need us.”
