ICBL Poised to Finish 2015 Strong – Encouraging Signs Being Seen for 2016
ICBL (The Insurance Corporation of Barbados Limited) is poised to finish the year strongly, supporting recent arguments that there are signs of improvement being seen in the Barbados economy.
In its nine month report for the period ended September 30, 2015, ICBL reported positive results in a number of key areas, in particular shareholder income and revenue.
Net income after taxes attributable to equity holders was Bds$9.1 million, up from $5.8 million for the same period in 2014. This increase of $3.3 million or 57 percent represents an annualized return on shareholders’ equity of 8 percent.
Improvement was also seen in gross premiums written, increasing by 5 percent from $94.2 million to $99.1 million for the period under review.
“The growth in our premium income is a clear indication that we are seeing an improvement in the economy, as individuals and businesses are coming to us to insure their possessions or take out life and health insurance policies for themselves and their family. During the prolonged economic downturn, this was not the case, as individuals and businesses chose instead to hold on to their cash or spend it on essential goods and services. What is also apparent is that people see the value of insurance, whether from the perspective of safeguarding their physical investments and assets, or securing their financial future, especially as it relates to retirement.”
“These are positive signs, and bode well for us as a company looking ahead to 2016. We definitely look forward to further signs of improvement as Barbados continues to pull itself out of the downturn that has existed for the better part of a decade”, said Innes.
Despite the decline in investment income from $6.6 million in 2014 to $6.1 million, which was attributed to the limited investment options available in Barbados and lower yields on existing investments, the Managing Director and CEO indicated that based on these results the board of directors approved a dividend of 7¢ per share.