INSURANCE SECTOR

Insurance industry not a level playing field - Ceylinco

MONDAY, 18 APRIL 2011 00:00

By Jithendra Antonio

While many local insurers companies continue to compete on price rather than service, Sri Lanka’s insurance market leader Ceylinco Insurance had said that Sri Lanka’s insurance business arena is not a level playing field, with favouritism towards public sector institutions.

“What disappointed us and the majority in the industry was that the playing field was made distinctly uneven with two companies getting most favoured treatment through a circular issued by the Treasury,” Ceylinco Insurance PLC Chairman, Godwin Perera in his annual review for 2010 pointed out.

Furthermore, Ceylinco Insurance PLC (General) Managing Director/CEO Ajith Gunawardena in the Chief Executive Officers’ review stresses that stringent demarcations and wholesome advantages to public sector institutions has undermined the wellbeing of the industry at large.

Speaking to Mirror Business, Ajith Gunawardena said, the government through the treasury had issued a circular (a few months ago), highlighting that the insurance business of state-owned subsidiaries should be given to the state-owned insurer. “This is not fair to the industry,” Gunawardena added.

According to both Godwin Perera and Ajith Gunawardena, Ceylinco Insurance had once again retained market leadership for the seventh successive year. “We were not deterred by competition. In fact, it made us stronger and more determined to succeed.” Perera says in his review.

While the country has a total of 17 insurance players to date, industry sources claim a large portion of Insurance premiums are generated from Sri Lanka’s largest state-owned subsidiaries and state assets such as Sri Lanka Telecom, Ceylon Petroleum Corporation, Ceylon Electricity Board, Sri Lankan Airlines, Litro Gas, Sri Lanka Ports Authority, Sate-owned banks such as Bank of Ceylon, National Savings Bank, People’s Bank and also the MP’s insurance policies.

The move by the treasury to place all insurance business of government assets with Sri Lanka Insurance Corporation, large chunks of insurance and reinsurance premium money will clearly pour into the state-owned insurance arm.

Sri Lanka’s government in mid 2009, regained overall control of previously state-owned Sri Lanka Insurance Corporation (SLIC), after a landmark judgment of Supreme Court delivered on 4 June 2009, where the shares of SLIC were reverted back to the Treasury Secretary. The Harry Jayawardena-led Sri Lanka Insurance was transferred back to the state while SLIC on January 2011 paid Rs. 6.7 billion in monetary terms to Harry Jayawardena-controlled Distilleries Company of Sri Lanka (DCSL), though the Supreme Court in its judgment said that the purchase price of 6.5 billion Rupees be repaid in Treasury Bonds with interest, within a period of two weeks.


Go to Link: http://print.dailymirror.lk/business/127-local/41235.html

http://www.sundaytimes.lk/110501/BusinessTimes/bt01.html

Life Insurance penetration up in 2010 http://www.sundayobserver.lk/2011/05/15/fin13.asp

During 2010, 503,543 life insurance policies were issued, giving a penetration rate of 10.9 percent.

This shows an improvement when compared with the rate of penetration in 2009, which was 10.4 percent 464,249 life insurance policies issued during 2009.

There were 19 insurance companies (insurers) registered with the IBSL at the end of 2010. Twelve of them were composite companies (dealing in both General and Long Term Insurance); five of them engaged in General Insurance and two companies engaged only in Long Term (Life) Insurance.

The overall Gross Written Premium (GWP) Income for Long Term Insurance and General Insurance was Rs. 68,493.345 million compared with the previous year's Rs. 57,252 million, which reflects a growth of 19.63 percent.

General Insurance has demonstrated a progress of its overall Gross Written Premium Income during 2010 when compared to 2009. Long Term Insurance also showed a progress of its overall Gross Written Premium Income during the first half of 2010 when compared to 2009.

The overall Gross Written Premium Income of General Insurance amounted to Rs. 37,342.19 million (2009 - Rs. 33,485 million) while the overall Gross Written Premium Income of Long Term Insurance amounted to Rs. 31,151.155 million (2009 - Rs. 23,767 million).

Total Assets of the insurance companies have increased to Rs. 222,242.799 million at the end of 2010. Total Assets valued at the end of 2009 was Rs. 181,044.917 million.

In terms of Section 25 of the Act, 20 percent of assets of the Technical Reserves of General Insurance should be invested in Government Securities.

Similarly, 30 percent of the assets of Long Term Insurance Fund should be invested in Government Securities.

This is a mandatory requirement that all insurance companies have to comply with, which is monitored by the Insurance Board of Sri Lanka (IBSL).

IBSL was set up to develop, supervise and regulate the insurance industry in Sri Lanka in terms of the Regulation of Insurance Industry Act, No. 43 of 2000.

The investment in Government Securities represents 50.19 percent (Rs. 70,059.073 million) of the total assets of Long Term Insurance and 23.70 percent (Rs. 19,584.153 million) of the total assets of General Insurance at the end of 2010. This is in excess of the requisite amount of investment in Government Securities by the Act.

Insurance Broking Companies and Insurance Agents, as intermediaries, make a significant contribution to the insurance industry.

In Sri Lanka, there are approximately 37,000 Insurance Agents, who have been appointed by and registered with insurance companies and insurance broking companies. Insurance Agents play a vital role mainly in marketing life insurance products.

Forty-one insurance broking companies, registered with the IBSL in terms of Section 82 of the Act, were engaged in insurance broking business.

Insurance Broking Companies mainly concentrated on General Insurance and their Total Gross Written Premium generated from both General Insurance and Long Term Insurance amounted to Rs. 9,539.66 million during 2010, compared with 2009's Rs. 8,885.67 million, which reflected a growth of 7.36 percent.

Gross Written Premium (GWP) Long Term Insurance and General Insurance Business (Rs. million)

Year 2006 2007 2008 2009 2010 Total Assets (Rs.'000) 117,658,799; 134,876,221; 155,993,677; 181,044,917; 222,242,799 Total Assets of the Insurance Companies at the end of each year.

Year 2006, 2007, 2008, 2009, 2010 No. of new Life Policies issued during the year 409,933; 527,385; 555,886; 464,249; 503,543 Life Insurance Penetration 8.8; 9.6; 10.4; 10.4; 10.9 as a percentage of the total population.

Year 2006, 2007, 2008, 2009, 2010 Total Gross Written Premium generated from both General and Long Term Insurance Businesses (Rs.'000) 6,171,604; 7,551,357; 8,975,654; 8,885,672; 9,539,661.

The Immeasurable Benefits Of Insurance http://www.thesundayleader.lk/2011/05/15/the-immeasurable-benefits-of-insurance/

Unforeseen losses or tragedies are things that can rarely be avoided and for many years the world had no means of mitigating the effect of such losses. It was only during the past 300 years or so that insurance was thought of as an easy and simple way of ensuring that the effect of a loss is greatly reduced even though the subject matter of the loss can never be restored.
Imagine that you are the owner of a factory worth Rs. 10 million and somebody tells you that if you are willing to pay Rs. 10,000 each year, they would build you a new factory if the existing one was destroyed – would you not jump at that offer? You have the guarantee and are able to sleep peacefully in the knowledge that a fire can never destroy your factory and render you penniless.
Take your own life and those of your dependants; you could protect your dependants and insulate them from the tragedy that would result if you were taken away. By paying as little as Rs. 2,000 a year which is less than Rs. 200 monthly, you could guarantee that your family would receive Rs. 1 million in the event of your death (provided you are 25 or 30 years old at the time of taking out the policy). This is what insurance costs. But the public generally feels the money spent on insurance premia could be put to better use. However when tragedy strikes, only regret follows.
Insurance is an intangible product. It cannot be touched, tasted or felt. But the enormous benefit it brings to society at an affordable cost is immeasurable. Insurance is a rudimentary form of protection which existed even in the times of the Phoenicians who were great traders. The need for insurance was felt in order to encourage trading hundreds of years ago.
The Phoenicians transacted insurance to encourage traders to venture out on the high seas to distant lands carrying goods for sale and bringing back other goods. If the vessel was lost at sea, both the owners of the goods as well as the vessel were compensated by means of a contribution made by those whose voyages were successful.
Where personal insurance is concerned, changing lifestyles have brought about a greater need for insurance. For instance, in the West, children no longer take care of their aging parents nor have they done so for many years. This means that parents have to save for their retirement. In the East, it used to be the custom that children took care of their parents who had looked after them when they were young. A man’s wife usually stayed at home, ran the house and looked after his parents. This custom is also fast dying because often the wife is also employed outside the home. Young couples often feel that they have their own careers to advance and taking care of aging parents is a burden. Thus the need for every individual to have insurance and a pension is becoming increasingly important in Sri Lanka.
The need for insurance increased with the advent of the industrial revolution where people were working more in factories and other industries and giving up their traditional farms and regular means of livelihood. In those days if a factory worker died, his family was left destitute and they usually ended up in the ‘poor house’. Both widow and children went into virtual slavery. No father wanted to leave behind this legacy and insurance therefore began in the form of mutual societies, where a group of persons contributed to a common pool out of which death claims were paid. However the system did not survive for long as the pool was soon exhausted and survivors were not able to realize claims when their turn came.
Life insurance as we know it began with mutual societies, where groups of people in common professions paid a regular sum of money into a common fund for meeting claims following the unforeseen deaths of their members. As the fund grew and its membership increased, the fund was able to withstand occasional losses and also build up its resources. In this way, mutual insurance companies began to be formed. It was only much later that shareholders joined together to establish insurance companies.
The Tooley Street fire in London was another eye opener. Until then fire insurance had not been considered necessary but when the Tooley Street fire resulted in tremendous losses in the city of London it created the need for fire insurance.
It will be seen that all these ventures were targeted towards one objective which was to meet unforeseen losses or the damage from unforeseen events. Insurance therefore even in its rudimentary form provided the means for commerce to progress, and for families to ensure that they were not left destitute following the death of the bread winner.
Insofar as insurance as an industry is concerned, no theory or principle is written in stone except for perhaps the basic tenets such as:
Uberimma fide is the duty cast on the applicant and the insurer to observe utmost good faith in all their dealings.
Indemnification stipulates that you cannot benefit from your loss and you are only entitled to be placed in the same position after the loss as you were before the loss. Subrogation is where you transfer your rights after your claim has been met to enable the insurer to sue the wrong doer in your name.
Contribution is when each insurer pays only his proportionate share in the event you have insured with more than one insurer.
Insurable Interest stipulates that in order to insure a person or property you must stand in a relationship to such that you will benefit from its safety or be prejudiced by its loss.
Let us now take some of the main classes of insurance with which the public are familiar and see how each of them helps society not only to exist but to progress in the present day.
There are many ways in which insurance benefits society:

1. Mortgage insurance

For example a man takes a loan on his house, which he mortgages to the bank. If he dies before the repayment of the loan, the bank would then seize the house and sell it. Insurance however steps in and provides a policy called Decreasing Term Policy whereby should the borrower die at any time, the insurance company pays off the outstanding loan and the house reverts to the heirs without any encumbrance.

2. Personal loans

Banks cover personal loans and all other types of lending by taking out short term insurance for the duration of borrowing.

3. Micro insurance

This is an excellent example of insurance helping the poorer sections of society to borrow without fear of being unable to repay in the event of death. Micro finance organizations give out small loans to large numbers of people and simultaneously take out insurances on the lives of the borrowers so that the loan is repaid in the event of the death of a borrower.

4. Marine insurance

A businessman is able to import goods without fear of losses arising from the perils of the sea because of marine insurance. When a company wishes to import goods they open a letter of credit through the bank in the name of the exporter and his bank. The exporter places the goods on the vessel and obtains a bill of lading, goes to his bank, presents the documents and withdraws the money which is due to him on the strength of the letter of credit. In this way, payment is made immediately the goods are placed on the vessel even before they are received by the buyer. Now what happens if the ship meets with a calamity and the goods are lost at sea? When the letter of credit is opened, the buyer and his bank would have obtained insurance for the value of these goods from the time they are placed on board the vessel, in order to ensure there is adequate compensation in the event of a calamity during the sea voyage. In the absence of insurance both the importer and his bank would face losses and it is only through the intervention of marine cover that it is possible to conduct trade without any loss or hindrance.

5. Hull insurance

Ships which ply the seas are covered under marine hull insurance policies. This cover provides owners of these vessels the security to conduct their business with the knowledge that if their vessels are lost at sea, they would be fully compensated.

6. Fire insurance

This is another important means of protection provided not only to householders but to businessmen as well. Insofar as the householder is concerned, his home is probably all that he has and in developed countries it is purchased with a loan from a bank or lending society. In the event a house is destroyed as a result of a fire or natural perils such as storms, tempests, earth quakes, typhoons, hurricanes, tidal waves and tsunamis, etc., the owner is left homeless and the lending agency has lost its money. Once again, with the intervention of insurance the home owner/lending agency will be reimbursed the amount insured and the lending agency will take its money, giving the balance to the home owner who can then take a fresh loan for a new house because he has honored his debt. If there were no insurance, both the lender and the borrower would have suffered a serious loss. This principle is also extended to businesses, from small factories to oil rigs. All of them can venture into trade without fear, only because they know that they have a ‘fall back’ position in their insurance policy which will come to their aid should the need ever arise.

7. Consequential loss

When a fire or similar peril occurs not only is the property lost but also the profit or rental which would have been earned from the damaged building. The consequential loss policy provides cover not only in respect of the profit that would have been earned but also in respect of all standing charges which will continue even though the business does not function until it is revived.

8. Motor insurance

Third party motor insurance was made compulsory throughout most countries in order to protect other users of the road from death or bodily injury caused by a motor vehicle in motion. It is only because of motor insurance that one is able to drive a motor car freely on the streets, with the full knowledge that in the event of an accident the repair costs would be reimbursed by the insurer. In Sri Lanka motor insurance forms almost 60% of the premia earned in the insurance business. Unfortunately in developed countries such as the US and the UK, enormous damages are claimed sometimes out of proportion to the loss and in many ways claims under motor insurance for bodily injury have become a big business.

9. Cash in transit insurance

A business house moves cash between various locations and also from the bank to its offices and vice versa. The threat of robbery always accompanies these transfers and cash in transit or money in transit insurance cover protects businesses against such losses, thereby enabling them to move their cash around without fear.

10. Burglary

All of us face losses through burglary, whether we are house holders or business people. The losses can be big or small but burglary presents an ever-present danger. Some countries are more prone to losses in this way than others and even in a particular country or city certain areas are more likely to be burgled.

11. Professional indemnity

This cover protects professionals such as doctors, lawyers, architects, engineers and accountants, etc., from legal liability claims made by their clients for negligence or error. The claims can run into large sums and prudent professionals therefore take out adequate protection, which includes their legal expenses. In some countries, certain classes of professionals such as doctors, accountants and lawyers are compelled by law to take out professional indemnity covers.

12. Directors’ and officers’ liability

The new Company’s Act imposes heavy penalties on directors and senior officers of companies in the event of being found guilty of negligence in their duties. Independent directors on the boards of companies are reluctant to take up office unless the company provides them with some form of protection and companies would not be able to attract directors of quality unless they provide this insurance cover.

13. Personal accident insurance

We are all prone to meet with accidents and the consequences could be disastrous to our lives and livelihoods. Personal accident insurance provides cover for death by accident and this is extended to cover loss of limbs, eyes, etc. Weekly benefits are possible during the period of disability to cover loss of income particularly of self-employed persons.

14. Sickness insurance

The cost of medical care in private hospitals is astronomical. Unfortunately most people in Sri Lanka wait until they are old and reaching retirement age to think of sickness insurance. Sickness insurance must be taken at a young age to provide adequate protection for the family should the need for expensive medical treatment arise.

15. Critical illness

Critical illness insurance in Sri Lanka is comparatively new and provides substantial benefits in the event of the contraction of specified critical illnesses such as cancer, nephritis, paralysis, etc.

Although initially insurance was started to support sea trade and subsequently to protect families, it has now diversified so much that it is unrecognizable. Insurance has kept innovating different types of polices to meet the changing needs of society and this has kept this industry alive. From the rudimentary insurance practices by the Phoenicians to modern day insurance for rockets and space craft, it has come a long way but still maintains the basic principle of providing protection for a very large sum of money through the payment of a very small premium. Insurance is a prime need in today’s society and the price of imprudence can be very high.

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Quibit
Admin

Jetha,

What statistics and practices are available regarding the re-insurance with other international insurance companies such as LLyods etc. ?

What are the mandatory requirements and to what extent are the 17 insurance companies in Sri Lanka abiding by them?

Aviva NDB wins insurance race

Secures 2nd place in life business in 2010 dislodging state giant SLIC; enhances market share in general as top three shrink despite volume growth; Ceylinco loses general crown to SLIC

Aviva NDB was the best performer overall in the country’s insurance industry last year securing second place in life business beating the state giant SLIC as well as gaining market share in general when most of the top players saw dip in theirs.

State giant Sri Lanka Insurance Corporation (SLIC) in 2009 had a market share of 20.27% in life business with Aviva NDB trailing marginally below with a 19.49% holding. In 2010, Aviva NDB not only overtook SLIC but at number two saw a commanding market share of 24.99%, up by 5.5%over 2009.
SLIC’s share slipped to 19.29%.
The relegation of SLIC to number three in life is a major setback for the state giant whose diversification into non-core business has caused concern among industry analysts.
Leader in life business, Ceylinco continues to hold number one slot though its share has been shrinking.
The top five market leaders accounted for 88.79% of the total industry GWP while the balance 11.21% was shared among the remaining insurers engaged in long term insurance.
In general insurance Ceylinco lost the number one place to Sri Lanka Insurance in a razor thin margin. SLIC’s market share in 2010 was 24.82% as against Ceylinco’s 24.70%. For the latter 2010 share was a big drop as opposed to 27.12% in 2009. The Government directive that all state business should be placed with SLIC and NITF may have contributed to the recoup of leadership for the former. However SLIC has managed only Rs. 502 million increase in Gross Written Premium in 2010 whereas number four Union Assurance has managed to boost its business by Rs. 457 million thereby increasing its share to 9.82% though still trailing below Janashakthi. Aviva NDB at number five saw its share improve to 7.62% from 7.48% in 2009.
The top five performers in the general insurance segment accounted for 78.94% of the total GWP with remaining insurers sharing the balance 21.06%.
Despite movements in the rankings all top players saw growth in business in tandem with rebound in the insurance market last year.
The industry was almost static in 2009 with life only growing by 0.7% and general business contracting by 3%. In 2010 life saw a healthy 31% growth (highest ever in five years) and general by 11.5%.
According to the Insurance Board of Sri Lanka (IBSL) during 2010 the aggregate Gross Written Premium (GWP) reported from long term and general insurance businesses totalled up to Rs. 68.5 billion (2009: Rs. 57.25 billion) recording a significant increase of 19.63% compared to 2009. The GWP of long term insurance business amounted to Rs. 31.15 billion (2009: Rs. 23.76 billion) showing an increase of 31.07% while GWP of general insurance business amounted to Rs. 37.34 billion (2009: Rs. 33.48 billion) reporting a growth of 11.52% compared to 2009.
The growth in GWP for both long term and general insurance sectors is mainly driven by improved business confidence after the restoration of peace, new business opportunities emerging from the North and East of the country, growth in GDP during 2010, recovery of global economy from the recession and reduction in policy lapses compared to the previous year as a result of improved socio economic factors of the country. The general insurance sector accounted for 54.52% (2009: 58.48%) of aggregate GWP while the contribution of long term insurance sector was 45.48% (2009: 41.51%) of the total GWP depicting a steady growth each year. This significant improvement in life insurance is underpinned by growth in new businesses in 2010, especially due to the introduction of new life insurance products such as investment linked products and a range of retirement products to the market.
IBSL said the total number of life insurance policies in force was reported as 2,244,245 at the end of year 2010. During the year insurers have issued 503,543 new life insurance policies which indicate an increase of 8.46% compared to 464,249 new policies issued in year 2009. This growth was mainly due to the conducive economic conditions that prevailed in the country, new long term insurance products introduced to the market and strong advertising campaigns carried out by insurers during the year. The penetration of life insurance business as a percentage of the total population was 10.9% (2009: 10.4%) while the penetration as a percentage of total labour force was 27.7% (2009:26.4%).
With regard to general business, IBSL said similar to previous years, motor insurance was the largest contributor of GWP towards the premium income of general insurance business by recording GWP of Rs. 21,222 million (2009: Rs. 17,829 million) indicating a growth of 19.03%. This represented 56.83% (2009: 53.25%) of total general insurance portfolio. Miscellaneous insurance with a premium income of Rs. 7,842 million (2009: Rs. 7,455 million) accounted for 21% (2009: 22.26%) of the total premium and indicated a growth of 5.19% over 2009. Fire insurance with a premium income of Rs. 6,720 million (2009: Rs. 6,759 million) accounted for 18.00% (2009: 20.18%) of the total premium, reflecting a decline of 0.57% compared to 2009. Marine insurance recorded GWP of Rs. 1,558 million (2009: Rs. 1,442 million) accounted for 4.17% (2009: 4.31%) of the total premium, growing by 8.08% compared to 2009.

http://www.ft.lk/2011/07/11/aviva-ndb-wins-insurance-race/

Seyon, thank u for sharing valuable information with us. Btw what is your view on JINS.Have they reported a significant growth like others?If you have time Pl.

Insurance industry grows 23.38% in H1

The country’s insurance industry has grown 23.38 percent, in terms of premium income, during the first six months of this year, the regulator of the industry, the Insurance Board of Sri Lanka (IBSL), said releasing data for the first half of 2011.

"The overall Gross Written Premium (GWP) Income for General Insurance and Long Term Insurance Businesses was Rs. 38.59 billion which reflected a growth rate of 23.38% compared with the 1st six months of 2010. The General Insurance Business has demonstrated a progress of its overall Gross Written Premium (GWP) Income during the 1st half of 2011 when compared to the same period of 2010. The Long Term Insurance Business also showed a progress of its overall Gross Written Premium Income during the 1st half of 2011 when compared to the same of 2010. The overall Gross Written Premium Income of General Insurance Business amounted to Rs. 21.56 billion (1st Half 2010: Rs. 18.18 billion) while the overall Gross Written Premium Income of Long Term Insurance Business amounted to Rs. 17.04 billion (1st Half 2010: Rs. 13.12 billion) during the 1st six months of 2011," the IBSL said.

"The Total Assets of the insurance companies have increased to Rs. 241.86 billion at the end of the 1st six months of 2011 when compared to the Total Assets valued at Rs. 222.24 billion at the end of year 2010.

"In terms of Section 25 of the Act, 20% of assets of the Technical Reserve of General Insurance Business and 30% of the assets of Long Term Insurance Fund of the Life Insurance Business should be invested in Government Securities. This is a mandatory requirement that all insurance companies have to comply with. The investment in Government Securities represents 51.86% (1st Half 2010: 50.96%) of the total assets of Long Term Insurance Business and 25.70% (1st Half 2010: 24.65%) of the total assets of General Insurance Business at the end of 2nd quarter of 2011. This is in excess of the required amount of investment in Government Securities by the Act.

"Insurance Broking Companies, as intermediaries, make significant contribution to the insurance industry. Forty Four (44) insurance broking companies, registered with the IBSL in terms of Section 82 of the Act, currently engage in insurance broking business. Insurance Broking Companies mainly concentrate on General Insurance Business and their Total Gross Written Premium Income from both General Insurance Business and Long Term Insurance Business amounted to Rs. 4.94 billion during the 1st half of 2011," the IBSL said.

The figures pertaining to the Overall Gross Written Premium Income, Total Assets and Investment in Government Securities represent all insurance companies except National Insurance Trust Fund (NITF) and Ceylinco Takaful Limited.

There are twenty (20) insurers registered with the IBSL. Twelve (12) of them are composite companies (dealing in both General and Long Term Insurance Businesses), six (06) of them are registered to carry on General Insurance Business and two (02) companies engage only in Long Term (Life) Insurance Business. However, one company registered to carry on General Insurance Business is prohibited from engaging in insurance business since 05th August 2009.

http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=35753

I`ll forward the insurance sector analysis i did.. so u guys too can added to the research folder,,

can some1 tel me how to attach a file here ??

Think9 wrote:I`ll forward the insurance sector analysis i did.. so u guys too can added to the research folder,,

can some1 tel me how to attach a file here ??

Hi Think9

You can see the attach option, below the comment box, Pls attach ur analysis.

Keep eyes on JINS. It is possible to take a profit within 2-3 days.

Keep eyes on JINS. It is possible to take a profit within 2-3 days.

JINs doesnt show any kinda of a signal to go up.. is there any other reason for u to say so ??

Think9 wrote:

Keep eyes on JINS. It is possible to take a profit within 2-3 days.

JINs doesnt show any kinda of a signal to go up.. is there any other reason for u to say so ??

Day before last trading day trendline got crossed, we saw some vol increasing and now Short term SAR changed to upside, RSI @ 46.90 - a small drop but vols also down on last day..

Oscillating at short term resistance 16 and support 15.40.. Only a breakout with high vols could initiate a run..
Wat about adding it to watchlist (Strictly not for buying till confirmation)

Hi Think9

You can see the attach option, below the comment box, Pls attach ur analysis.

ok! im bn a PIA for u guys (pain in the ass .. LOL ) but i really cant find such a button below the box..

Think9 wrote:

Hi Think9

You can see the attach option, below the comment box, Pls attach ur analysis.

ok! im bn a PIA for u guys (pain in the ass .. LOL ) but i really cant find such a button below the box..

When you "quote" and reply (just as the way I replied quoting ur reply) u get the "attach a file"
option below as in the illustration..
1) Select choose file and attach the file
2) Submit it..
3) Put ur comment and press "Send" button

[/url]

Hope u can grab it now..

oh so i should go for reply post... hmm.. thanks for the quick reply..

but im really not sure 0.098mb is enough.. anyway ill check it 2row morning.

ok guys !! This is done after the RAM rating on Insurance sector..

Think9 wrote:oh so i should go for reply post... hmm.. thanks for the quick reply..

but im really not sure 0.098mb is enough.. anyway ill check it 2row morning.

Thanks Think, It is great help.

Wow.. Thats a pretty comprehensive numerical analysis. Way to go Think9! You would have spent a good amount of time doing this..

With the segregation of composite insurance companies coming into effect from February 2015, the insurance industry is gearing up to be well-equipped with ample knowledge to embrace the transition as smoothly as possible.

By IBSL:
http://www.ibsl.gov.lk/insurance-sector/overview-of-insurance-industry.html

FITCH Report:

Hi Sstar,



Do you have an idea on how the restructuring will be done. According to the report it seems that the life and non life split would happen and the resulting companies would have to consolidate. how would this effect the holders of stock holders?

See insurance company stocks - getting hammered now! AAIC down 12% same with UAL and HASU (little lower). They will go down a lot more with the results coming and their according standards changed in 2 years! Do your own research and invest.

Keeping the rubber ball under the water will be difficult.

See what will happen in few days.

Indeed lets watch...this has been artifically pushed up - all the profits are not recurring - only one off tax gains / movement to reserves etc - if top line is only growing very little, how can recurring profits be consistent!

glad to see guys talking of sounds stocks and not crap ! yes insurance industry had good run and future might be turbulent but with good management they might do good !

Hope people are seeing AAIC results! As mentioned previously and many times over - recurring earnings are dropping a lot! All the profits are from tax reversals etc! all others will also show very weak earnings .... my personal opinion - ALL stocks in this sector are highy overvalued and will go down atleast 30%

no one listened when i said hte below - see all profits of companies coming out....recurring profit is dropping a lot and most profit created through tax reversals and transfers!!! this sector seems to be highly overvlualued!

:D:D

see JINS / UAL!!! Already down and will go down further....JINS - in my personal opinion, I think will test 21 levels and UAL - 230 levels as most of the profits are one off and will probably have lower earnings going forward...