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WITH the
current financial issues in the US affecting its parent
company, American International Group Inc. (AIG), the
Philippine American Life and General Insurance Co. (PhilAmlife)
assures its customers and policyowners that their
interests are protected with the company’s financial
strength.
The AIG
board had announced on September 16 that the Federal
Reserve Bank of New York is providing a two-year,
$85-billion secured revolving credit facility to AIG
that will ensure the company can meet its liquidity
needs. The new AIG head, Edward M. Liddy, said, “The
Federal Reserve Bank’s decision is a tremendous vote of
confidence in AIG’s future.”
In a
statement, PhilAmlife president and CEO Jose Cuisia Jr.
said, “PhilAmlife is very adequately capitalized. We
have the strongest balance sheet in the life-insurance
industry and we continue to pursue a conservative
investment strategy aimed at minimizing risks and
maximizing returns to our clients.”
As of
December 31, 2007, PhilAmlife has consolidated assets of
P170 billion and consolidated stockholders’ equity of
P49.5 billion. In 2007, revenues amounted to P36.7
billion reflecting a 14-percent growth while new
business from life-insurance operations of P7.4 billion
was higher by 57.6 percent versus the previous year.
Benefits payments totaled P6.6 billion.
As a
locally incorporated company, PhilAmlife is subject to
Philippine Insurance Commission regulations and
oversight. PhilAmlife’s capitalization is separate from
the US business with investments and accounts held
locally. As of December 31, 2007, PhilAmlife’s
consolidated investments amounted to P164.2 billion (at
market). The bulk of invested assets are concentrated in
marketable Philippine government securities, corporate
bonds and blue-chip equities.
PhilAmlife said it is capable of meeting its obligations
to its clients and providing them with quality service.
PhilAmlife is the largest and most diversified insurance
company in the Philippines and the undisputed market
leader for over half a century.
PhilAmlife’s affiliate businesses include a wide range
of diversified financial services in preneed plans,
bancassurance, health care, banking, credit cards, asset
management, property and casualty insurance, property
management and development and business-process
outsourcing. |
