Prudential's new business profit leaps 37pc to US$2.1b

Himo Liu

Prudential (2378) said yesterday that the annual premium equivalent of new business sales to mainland visitors in Hong Kong during the third quarter was 1.3 times higher than the same period in 2019, before the pandemic broke out.

In the first three quarters of 2023, the UK-based and Aisa-focused insurer saw a 40 percent increase in new business sales, reaching US$4.42 million (HK$34.5 million), primarily driven by Hong Kong. The increase was attributed to elevated sales to both mainland visitors and domestic customers compared to the same period last year.

Meanwhile, new business profit surged 37 percent year-on-year to US$2.14 billion, with momentum in the third quarter further showcasing the robustness of its multi-market, multi-channel strategy.

Chief executive Anil Wadhwani said there was resilient demand for savings and health and protection products from both domestic and mainland visitors in Hong Kong.

Additionally, several of Prudential's Southeast Asia-based businesses witnessed double-digit growth in new business profit in the first nine months of 2023.

Shares of Prudential increased by 2.5 percent to HK$85.6 yesterday.

Meanwhile, Ping An Insurance (2318) said China's insurance market has vast potential for growth driven by economic advancement and the accumulation of wealth, as the insurance per capita premium stands at just US$550 in 2022, merely half of the global average.

Ping An said it is aiming for 400 million retail customers, more than five contracts per customer, and a profit of over 800 yuan (HK$858.9) per customer.