BCIC Weathers the Storm

With higher premium income, flat claims growth year-over-year and foreign exchange gains during the year, British Caribbean Insurance Company Limited (BCIC) grew net profit by 21 per cent in 2013.

Net earnings at yearend December was $342.46 million compared to $282.95 million in 2012.

Noting the fate of other companies whose results were affected by the need to increase reserves, BCIC’s managing director, Peter Levy, said on Tuesday that his company has always assessed risk conservatively and so has been able to avoid this pitfall.

“There seems to have been an industry trend towards higher loss reserves in 2013,” said Levy, who is also vice-president of the Insurance Association of Jamaica.

“BCIC tries to reserve and price conservatively. We subscribe to Warren Buffet’s view that ‘surprises in insurance are far from symmetrical. You are lucky if you get one that is pleasant for every 10 that go the other way’,” he said. Read More.