SRI LANKA’S ASIAN ALLIANCE INSURANCE POSTS 60% RISE IN PROFITS

Sri Lanka-based Asian Alliance Insurance has reported an after-tax profit of 113 million rupees for 2007, a 60% increase on the previous year’s results. Earnings per share has increased to 4.63 while the return on capital increased by 42%. Much of this growth has been attributed to the insurer’s successful exploitation of Sri Lanka’s favourable investment environment. Asian Alliance also met its required solvency margins of 4.10 for non-life business and 3.15 for its life business, and earned a BB1 rating from the Lanka Rating Agency for its ability to pay claims.