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Sri Lanka Insurance Corporation General poised for strong growth following official segregation

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Chandana L. Aluthgama, Group Chief Executive Officer, SLIC (L) / Priyantha Perera, Chief Operating Officer, SLICGL (R)

Sri Lanka Insurance Corporation General Ltd. (SLICGL), the general insurance subsidiary of Sri Lanka Insurance Corporation Ltd. (SLIC), is entering a new phase of growth and innovation following its official segregation on February 1st, 2024.

Commenting on the outlook for SLICGL, Chandana L. Aluthgama, Group Chief Executive Officer, SLIC said, “After over 62 years of successful operations, the mandated separation of the life and general insurance businesses enables us to be more focused in our business strategies and ensures improved efficiency and effectiveness when serving our customers. Understanding this critical pivot, we have adapted to regulatory requirements as well as market dynamics and initiated operational separation across segments in 2018.”

He further added, “Hence, while 2024 signals the legal culmination of the segregation, we are already seeing results of our focused business approach. For example, despite industry and national challenges, SLICGL has demonstrated exceptional performance in 2023, a growth story that speaks volumes about our performance and potential in the general insurance industry.”

While the overall general insurance sector posted an average growth in Gross Written Premiums (GWP) of 5.7% in 2023, SLICGL surged ahead with a 14% increase in GWPs in the same year. Growth is attributed to the significant expansion in both motor and non-motor segments, with SLICGL maintaining its leadership position in the motor market and bridging the gap in the non-motor segment.

Defining the journey to date, Aluthgama said, “We did not just grow; our activity ratios surged. We prioritized training, strategic positioning, and new sales recruitments backed by incentives and performance monitoring, with the transformation extending across the entire company. In 2023, we embraced a performance-driven culture, underscored by a collective agreement among all staff members for variable pay based on performance.”

Priyantha Perera, Chief Operating Officer, SLICGL said, “In 2023, our performance significantly outpaced industry growth rates, securing top position in the motor market for the fifth consecutive year at 6% growth, which is over 10 times faster than the industry growth average of 0.5% for this motor segment. Moreover, despite initially being behind in the non-motor sector, we narrowed the gap significantly, reducing it to LKR 1.5 billion last year from LKR 3 billion, and expanding the segment at 27%, which is well above the industry growth average of 13%.”

With the segregation complete, SLICGL is poised to capitalize on emerging opportunities, particularly in medical and non-motor insurance products.

Perera explained, “With the introduction of customized medical insurance options, we aim to address market needs and contribute to building a robust healthcare insurance market in Sri Lanka. For instance, understanding requirements among individuals who may not have access to corporate insurance, we introduced two medical policies early last year to ensure they and their families have access to quality healthcare through affordable insurance products.”

SLICGL is also working to expand services and leverage technology to differentiate customer experience, with significant investments in digital infrastructure and artificial intelligence.



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Hulftsdorp killing has led to checks on lawyers in some court premises

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Harshana and Rajeev

The government, in consultation with the Judicial Service Commission (JSC) and the Bar Association (BASL), has put in place a system to check lawyers entering selected courts. This follows the killing of Ganemulle Sanjeewa by an underworld hitman, masquerading as a lawyer, in one of the Magistrate Courts at Hulftsdorp, on the morning of 19 February.

Responding to The Island queries in this regard, Justice Minister Harshana Nanayakkara yesterday (16) confirmed the new security arrangement. Minister Nanayakkara, who is also an Attorney-at-Law, declined to elaborate.

Although the police apprehended the suspected assassin, a couple of hours later, the woman, who smuggled in the firearm used in the killing, also masquerading as a lawyer, is still at large.

Newly elected BASL President, Attorney-at-Law Rajeev Amarasuriya, said that scanners had been installed at selected places in line with the security arrangements introduced, following the 19 February shooting in a court. Amarasuriya said so responding to The Island query regarding the post-Hulftsdorp Court complex shooting developments.

The BASL Chief emphasised the pivotal importance of ensuring, what he called, a hassle-free environment for law officers, regardless of security checks necessitated by the latest shooting. Amarasuriya said that security measures should be in place in accordance with threat assessments pertaining to cases taken up at various courts.

The first courtroom killing took place in Nov. 1991 when Sub Inspector Dhammika Amarasena, who had been interdicted over the Wavulkelle massacre, was shot dead while inside the Attanagalle Magistrate court. Amarasena’s father-in-law, who had been seated next to the interdicted policeman, was also killed.

The second courtroom shooting happened in January 2004 when an Army deserter shot dead Dhamamika Amarasinghe inside the Hulftsdorp court complex. Although Dhammika Amarasinghe’s killer gained entry to the court, posing off as a law student, authorities never implemented a comprehensive security plan. However, in the wake of Ganemulle Sanjeewa’s killing, acting IGP Priyantha Weerasooriya, who is also a lawyer, underscored the need to check law officers.

The BASL President said that they were still in the developing stage of the security set up, taking into consideration views expressed by various stakeholders. Referring to Ganemulle Sanjeewa’s assassin carrying a forged BASL identity card, Amarasuriya stressed the need to use technology in counter measures to thwart such practices.

By Shamindra Ferdinando

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Govt. urged to intervene following Wehera explosion that claimed four lives

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LPG filling points at fuel stations pose serious threat – trade unionist

Convenor of the Samagi Joint Trade Union Alliance, Ananda Palitha, yesterday (16) said that the government should initiate immediate action to identify fuel stations where domestic gas cylinders are sold, and industrial gas cylinders are filled in violation of safety regulations.

Palitha, who represents the SJB, said that successive governments had allowed the dangerous practice of storing LPG at fuel filling stations.

The trade unionist urged the National People’s Power (NPP) government to take remedial measures without delay as the recent accidental blast at Laugfs Gas point, operated alongside the fuel station managed by Lanka Indian Oil Corporation (IOC), at Wehera, on the Kurunegala-Colombo main road, underscored the danger in the practice.

“The blast claimed the lives of four persons – two Laugfs employees and two workers of a private company, situated on the Puttalam-Kurunegala road, who brought in several industrial gas cylinders to be filled at the Wehera filling station,” Palitha said, adding that four others received injuries and were rushed to the Kurunegala Hospital.

Responding to another query, Palitha said that there had never been such an incident at a fuel station/gas filling station before, though the government allowed this dangerous practice. According to Palitha, the blast and fire that happened on the night of 07 April, close to midnight, could have claimed more lives if the accident had occurred a few hours before, when the place was crowded.

Palitha claimed that inquiries made by him revealed that both the Central Environmental Authority (CEA) and the Kurunegala Municipal Council had approved the operation of the fuel station and the gas filling station together, regardless of the potential for a major conflagration, through an accident.

The PUCSL (Public Utilities Commission of Sri Lanka) should be empowered to look into the issue at hand, Palitha said. Against the backdrop of the Wehera blast, the government should move fast to bring the petroleum sector, too, under PUCSL. The former UNP trade union leader pointed out that the PUCSL, that had been established by the Public Utilities Commission Act No. 35 of 2002, was yet to be fully implemented.

Information Officer of PUCSL Jayanath Herat said that the PUCSL is the economic, technical and safety regulator of the electricity industry. “The PUCSL has been designated as the regulator for petroleum and water services industries. However, the Parliament is yet to pass the respective Acts to regulate petroleum and water industries. Pending Parliament’s authorisation, the Secretary to the Energy Ministry exercises the regulatory powers.”

Energy Minister Kumara Jayakody didn’t answer his cell phone. Palitha said that the Parliament owed an explanation as to why petroleum and water industries couldn’t have been brought under the regulator for over two decades after the enactment of that particular piece of legislation.

Palitha said that it took Parliament seven years to grant regulatory powers to PUCSL in respect of power in terms of the Sri Lanka Electricity Act No. 20 of 2009.

If the Kurunegala fire brigade failed to bring the situation under control, the fire could have spread to the IOC fuel station, Palitha said. It would be interesting to know what the reaction of the Indian Oil Corporation Ltd as the Lanka IOC is a subsidiary of the Indian oil giant. Alleging that the Energy Ministry had been silent on the issue at hand, Palitha said that whether adequate compensation would be paid to those who perished in the blast followed by fire and to those who suffered injuries.

The Energy Ministry, and those who operated the gas filling point, couldn’t absolve themselves of the responsibility for the lives lost.

The Island

contacted the Lanka IOC for an explanation regarding the incident. Having explained the circumstances their fuel station and the gas filling station were located together, a senior spokesman said that authorities were inquiring into the matter. According to him, the Wehera operation had been going on for quite some time.

Energy Secretary Prof. Udayanga Hemapala said that the Ministry was in the process of introducing a new Act to bring the petroleum sector under the PUCSL. “We should be able to secure the parliamentary approval within about three months, Prof. Hemapala said, declaring that the Cabinet-of-Ministers approved the move.

Pointing out that the blast and the fire happened at the gas filling station, Prof. Hemapala said that the Energy Ministry couldn’t inquire into the matter as that subject came under the purview of the Finance Ministry.

Asked whether he was aware of the operation of fuel stations and gas filling stations together in other parts of the country, Prof. Hemapala replied in the affirmative. The Energy Secretary acknowledged that such operations were contrary to the basic safety standards that should be in place.

By Shamindra Ferdinando

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Sri Lanka is not only beaches: Ambassador Gunasekera tells Komsomolskaya Pravda round table

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Ambassador Gunasekera

Sri Lankan ambassador to Russia, Shobini Gunasekera has recently emphasised that Sri Lanka is a vibrant destination that goes beyond mere beach holidays.

Ambassador Gunasekera said so at the round table of the Vostok discussion club hosted by the editorial office of Komsomolskaya Pravda, titled “Tourism: Asia”. Komsomolskaya Pravda is a renowned media group in the Russian Federation with a weekly audience of 53.9 million. The event was hosted in celebrating the 100th anniversary of Komsomolskaya Pravda media group. The Vostok discussion club was launched by the UN Environment Programme in the Russian Federation in 2022 with the aim of making a platform to discuss different topics in support of achieving the UN Sustainable Development Goals 2023.

The discussion brought together ambassadors and representatives from countries that are popular travel destinations for Russian tourists, including Azerbaijan, India, Indonesia, Kazakhstan, Malaysia, and Uzbekistan. The discussion aimed to explore the rich tapestry of historic, cultural, religious, and gastronomic traditions in the Asia-Pacific region while focusing on prospects and opportunities between the Russian Federation and the respective countries as well as considering the sustainable angle.

Ambassador Gunasekera seized the opportunity to showcase Sri Lanka as a vibrant destination that goes beyond mere beach holidays. She emphasised the country’s untouched tourism hotspots and activities, including tea gardens, wellness tourism, adventure experiences, nature and wildlife, a rich culture and festivals and gastronomy. She also emphasied that Sri Lanka is a unique destination for weddings or MICE tourism combined with pleasure.

“Sri Lanka offers travellers more than just a beach holiday – it is a country where tourism becomes a real bridge between cultures,” she asserted, underscoring the vital role of the tourism industry in providing livelihoods while fostering mutual understanding among cultures. As a responsible nation, Sri Lanka prioritises the protection of its natural beauty for future generations and advocates for sustainable tourism practices, she added.

Ambassador Gunasekera invited all stakeholders including Russian friends to join hands in promoting sustainable tourism and investing in initiatives that support this vision.

Following the roundtable discussion, a radio interview took place to discuss bilateral relations between the two countries. Ambassador Gunasekera emphasised on the upcoming 70th anniversary of diplomatic relations between Sri Lanka and Russia, which will be celebrated on February 19, 2027, and stressed the importance of commemorating this occasion in a fitting manner, including high profile visits, tourism promotions and enhanced economic and technical cooperation to strengthen the bond between the peoples of the two countries.

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