KUALA LUMPUR (March 24): AIA Bhd's operating profit after tax (PAT) rose 8% to more than RM1 billion in financial year ended November 30, 2015 from a year earlier as insurance premium growth outperformed the industry.

Chief executive officer Anusha Thavarajah said AIA's combined conventional life insurance and takaful's annualised new premiums grew 10.7% versus the Malaysian industry's 6% rise.

Anusha said at a media briefing today : “Our excellent results are a clear reflection of our operating ability and strength during times of market uncertainty and short-term volatility." 

"They are testimony to the solid foundation we have carefully built since the launch of our transformation strategy three years ago. Malaysia was AIA Group’s third-largest growth market in the 2015 financial year, behind AIA China and Hong Kong,” she said.

According to Anusha, the Malaysian insurance industry still had room for growth.

She said the current insurance penetration rate here was at 56% and the average sum insured per person was less than RM40,000. She said the sum insured should be about RM200,000 per person.

Looking ahead, Anusha said AIA was confident on the life insurance industry’s long-term growth prospect. She said the life insurance sector would continue to benefit from the country’s younger and growing middle-class population besides the nation's rapid urbanisation.

On what differentiates AIA from other insurers in the country, Anusha spoke about AIA's investment in health and technology.

She said the idea was to link insurance with health and wellness. She did not elaborate.

"The initiative is expected to be launched in the second half of this year," she said.