Pru Life UK leads market with P10B in new biz annual premium

Pru Life UK secured the highest value in new business annual premium equivalent (NBAPE) last year at P9.8 billion, reflecting a 33 percent surge in the fourth quarter.

NBAPE accounts for both lump sum payments for single premium accounts and regular payments for regular premium accounts.

Pru Life credited the NBAPE increase to a strong demand for its investment-linked life insurance products — specifically variable life insurance — which yielded P82.3 billion in premium income. Meanwhile, nearly one million clients were insured.

With more Filipinos interested in investing, Pru Life expanded its offerings to include PRUFlexi Income Fund and PruMillion Flex.

PruMillion Flex is a short-term investment that requires a minimum annual premium of P250,000, payable over two years through monthly, quarterly, semi-annual, or annual terms. It allocates a larger portion of the client’s funds toward investments compared to life protection.

PRUFlexi Income Fund generates monthly income through reinvestment in the JPMorgan Investment Fund, capitalizing on bond interests and equity dividends from global businesses.

"Being the industry leader in new business premiums underscores our commitment to being Filipinos’ partner for every life and protector for every future," Pru Life UK chief financial officer Francis Ortega said.

To provide coverage to more Filipinos, Pru Life announced plans to introduce Takaful insurance for over seven million Filipino Muslims, with product features compliant with Islamic Law.

According to the 2024 World Insurance Report, the number of insured Filipinos remains low, with life insurance premiums making up less than 2 percent of the country’s gross domestic product in 2023. The global average stands at 2.9 percent, while the emerging part of Asia is at 2.2 percent.

Additionally, the Bangko Sentral ng Pilipinas reported that only one percent of Filipino adults owned stocks or mutual fund investment accounts in both 2015 and 2021. By contrast, more than 60 percent of Singaporeans had investment experience in 2023, based on an Endowus study.