Tune Protect Group has released its fourth-quarter and full-year 2021 results, with double-digit growth in net written premiums (NWP) at 17.2% and 19.5%, respectively.
The Malaysia-based insurance group’s NWP for 2021 stood at MYR201.1 million (SG$65 million). However, it registered a loss of MYR18.2 million for the year, down from a profit of MYR28.2 million in 2020. The losses were attributed to losses sustained by Tune Protect Thailand (TPT), fair value losses and flood-related claims. Combined ratio for 2021 improved from 108.1% to 99.4%, with an underwriting profit of MYR 1.2 million.
Rohit Nambiar, Tune Protect Group CEO, said that TPT’s losses were primarily due to a group personal accident account which will no longer be renewed. Nambiar said that signs point to TPT’s recovery, due to encouraging top-line growth in 2021. TPT’s full-year NWP doubled, carried by the lifestyle segment, which increased 60.8% year on year, and the health segment, which grew 22-fold.
The group is on track to achieve its targets by 2023, due to higher retention expected for 2022 and further withdrawal from unprofitable commercial business.
“We are exiting and scaling down low-retention commercial segments such as the commercial hull and aviation businesses,” Nambiar said. “This enables us to renegotiate better treaty terms with reinsurers. On the bright side, there was growth in travel with year-on-year increase for every quarter of 2021, mainly contributed by the Middle East market, which registered an impressive growth of 167%. With travel reopening and AirAsia making a comeback, we are optimistically cautious that travel business will rebound.”
