Sun Life of Canada (Philippines), Inc. (Sun Life Philippines) anticipates an enhanced performance in 2024, mirroring the positive outlook of the life insurance industry with expectations of easing inflation and interest rates. President and Chief Executive Officer (CEO) of Sun Life Financial, Inc., Kevin D. Strain, mentioned that there are indications of interest rates topping out, and the impact of the rapid rise in interest rates over the past 18 months is subsiding.
Sun Life Philippines CEO and Country Head Benedict C. Sison also echoed this optimism.
“Things are looking brighter for the following year. We expect the growth to be even better,” Mr. Sison said.
Sun Life Philippines projects that its own and the life industry’s performance will be bolstered by better economic prospects, foreseeing the gross domestic product (GDP) to grow by 6-7% in the upcoming year. For the current year, the company expects the economy to expand by 5.9%. Notably, the Philippine government targets GDP growth of 6-7% and 6.5-8% for this year and the next, respectively. Mr. Sison emphasized that the GDP outlooks for 2023 and 2024 would position the Philippines among the fastest-growing economies in the region.
Sun Life Philippines, expected to outperform other branches in the Association of Southeast Asian Nations region, is deemed the flagship in Asia by Mr. Strain. He highlighted the Philippines as the “crown jewel of Sun Life in Asia” due to its significant footprint, strong brand presence, and digital innovation. Mr. Strain commended the motivated and educated people in the Philippines, emphasizing the nation’s role in digital innovation.
Looking ahead, Sun Life Philippines aims to continue investing in digitalization to understand its customers better, viewing digitalization as an enabler rather than a replacement for human interaction. Mr. Sison emphasized the importance of human interaction, especially as clients make crucial decisions
“Our products still require human interaction, with digital becoming a clear enabler.,” he stated.
Additionally, Sun Life Philippines plans to focus on key segments, including business owners, employees, professionals, high net worth individuals, and overseas Filipino workers for product distribution in the next year. In the first quarter, the company emerged as the top life insurer in terms of premium income, with P13.21 billion, and reported a net income of P11.73 billion in 2022. Despite a 2.25% decline in the life insurance sector’s premium income in the first semester of 2022, Sun Life Philippines aims to leverage its strategic focus to maintain a strong market position.
