Kathmandu. Citizen, IME, Reliable and Sun Nepal Life are the new life insurance companies, but they have made the capital enhancement plan successful without merger. These 4 life insurers fy 2081. A comparative study conducted by Insurance Khabar in the fourth quarter of 2018:
TAG_OPEN_strong_52 Citizen Life, IME Life, Reliable Life and Sun Nepal Life have maintained a paid-up capital of Rs 5 billion based on the financial statements of the fourth quarter of the last financial year published by the companies{ companies.
Share TAG_CLOSE_span_39 TAG_CLOSE_strong_51 premium TAG_OPEN_strong_51 of Citizen Life is Rs 44.96 crore while IME Life’s share premium is Rs 52.38 crore. Similarly, Reliable Nepal Life’s share premium is Rs 1.39 billion and Sun Nepal Life’s share premium is Rs 1.24 billion.
retained earnings: Citizen Life’s retained earnings are Rs 1.03 billion and IME Life’s retained earnings are Rs 655.4 million. Similarly, Reliable Nepal Life has a retained earning of Rs 789.9 million and Sun Nepal Life has a retained earning of Rs 986.8 million.
Other equities: Citizen Life has Rs 72.78 crore in other equities and RS 49.44 crore in other equities of IME Life. Similarly, Reliable Nepal Life has Rs 63.1 million in other equities and Sun Nepal Life has Rs 292.9 million in other equities.
Life Insurance Fund: Life insurance fund is of great importance for life insurance companies. Citizen Life has Rs 19.85 billion in its life insurance fund and IME Life has Rs 13.10 billion in its life insurance fund. Similarly, Reliable Nepal Life has Rs 13.57 billion in its life insurance fund and Sun Nepal Life has Rs 10.10 billion in its life insurance fund.
Citizen Life has earned Rs TAG_OPEN_strong_47 7.TAG_CLOSE_strong_47 54 billion in total insurance premiums till the fourth quarter TAG_CLOSE_span_35 of the last fiscal year while IME Life has earned Rs 5.65 billion in total insurance premiums. Similarly, Reliable Nepal Life insurance has earned Rs 5.39 billion in total insurance premiums while Sun Nepal Life has earned Rs 4.53 billion in total insurance premiums.
Citizen Life TAG_CLOSE_strong_46 has earned Rs TAG_OPEN_strong_46 7.13 billion in net insurance premium till the fourth quarter TAG_CLOSE_span_34 of the last fiscal year while IME Life has earned Rs 5.49 billion in net insurance premium. Similarly, Reliable Nepal Life insurance has earned Rs 5.03 billion in net insurance premium while Sun Nepal Life has earned Rs 4.32 billion.
Agent Commission: Citizen Life has spent Rs 725.4 million on agent commission while IME Life has spent Rs 527.3 million. Similarly, Reliable Nepal Life has spent Rs 536.2 million on agent commission while Sun Nepal Life has spent Rs 425.5 million.
Net profit: Citizen Life has posted a net profit of Rs 425 million till the fourth quarter, while IME Life has posted a net profit of Rs 583.3 million. Similarly, Reliable Nepal Life has earned a net profit of Rs 570 million while Sun Nepal Life has made a net profit of Rs 542.4 million.
However, in the case of life insurance companies, the net profit will come true only after the actuary evaluation as the actuary evaluation is yet to be done.
Earnings per share: Citizen Life’s annual earnings per share is Rs 8.50 while IME Life’s income is Rs 11.67. Similarly, Reliable Nepal Life’s annual earnings per share is Rs 10.97 and Sun Nepal Life’s is Rs 11.22.
Net worth per share: Citizen Life has a net worth of Rs 148.71 per share while IME Life has a net worth of Rs 138.58. Similarly, Reliable Nepal Life has a net worth of Rs 147.47 per share and Sun Nepal Life has a net worth of Rs 154.23.
(The available data has been prepared from the financial statements published by the company.) This analysis is not complete. Investors will have to conduct further investigation before making a decision on the transaction. )
