Tune Protect Group reported a profit after tax of MYR58.1 million (US$13.8 million) for 2019, an increase of 9.7% year-on-year.
In a statement, the Malaysia-based insurance group said that it finished last year with operating revenue of MYR500.8 million (US$118.73 million), and gross written premiums of MYR463.9 million (US$110 million). Both metrics decreased by 10.6% and 11.5% year-on-year, respectively.
According to the insurer, its growth in profits was due to favourable prior year claims experience, lower combined ratio and higher investment income. The group’s management expenses improved to MYR35 million and the combined ratio was greatly reduced from 101.1% in 4Q 2018 to 88.8% in 4Q 2019.
In the last quarter of 2019, Tune Protect Malaysia (TPM) saw improvements in net claims by 44.1% due to favourable claims experience, while management expenses decreased by 28.8%. TPM also posted a 11.4% year-on-year increase in GWP to MYR95.7 million, mainly driven by non-motor segments.
Furthermore, while TPM recorded lower GWP for the full year 2019, its GWP mix is heading in the right direction, as it seeks to grow its preferred segments, the company said. It added that it is working towards achieving the optimal portfolio mix of motor (below 35%) and non-motor (above 65%), as part of the group’s strategy to ensure the sustainability and profitability of its Malaysian general insurance business.
