NASSAU, BAHAMAS – Famguard Corporation, a leading life and health insurer listed on BISX, reported profits exceeding $4 million for the six months ending June 30, 2024.
In the unaudited results for this period, FamGuard Corporation recorded profits of $4.1 million, equating to $0.14 per share for common shareholders, according to the company’s chairman, Ray Winder.
“These results reflect a 29 percent increase in profit attributable to shareholders and continue to demonstrate strong year-over-year growth in insurance revenue from our core business. We’ve seen improvements in the medical loss ratio and benefits from our reinsurance program, which helped mitigate the impact of claims during the period. The quarterly results from the prior year were restated to account for updated actuarial model refinements throughout 2023, as part of the International Financial Reporting Standards (IFRS) 17 implementation presented in the 2023 year-end audited financials,” Winder noted.
He further stated, “The Group reported insurance revenue of $51.8 million, compared to $50.2 million in the same period last year, representing a 3.2 percent increase, which indicates growth across all lines of business. Both the premium allocation and general model approaches showed revenue increases, with strong contributions from new business growth and persistency. Insurance service expenses rose from $43.1 million to $43.6 million, a 1.1 percent increase. The rise in life benefits contributed to this increase, although it was partially offset by a reduction in net expenses from reinsurance contracts, reflecting claims recovered from reinsurers and a decrease in medical reinsurance premium rates during the 2024 renewal period. Additionally, benefits incurred for the group and individual medical divisions showed an improved loss ratio compared to the prior period.”
Net investment income for the period totaled $8.8 million, largely due to net fair value changes from market price fluctuations of assets measured at fair value. Net insurance finance expenses, impacted by interest rate movements and returns earned by policyholders with investment-linked insurance products, amounted to $6.7 million. The Group generated $968,793 in fees and other revenues for the quarter, including commissions from property and casualty insurance sold through FG Insurance Agents & Brokers. Other operating expenses decreased by three percent from 2023, totaling $5.4 million for the quarter.
The Group’s financial position remains robust, with total assets amounting to $385 million, of which $311.7 million (81 percent) are investment assets. Shareholder equity stood at $121.5 million at the end of the reporting period.
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