PRUDENTIAL posted a 35 per cent rise in annual premium equivalent (APE) sales to US$1.6 billion in the first quarter of 2023, from US$1.2 billion a year ago. This was largely driven by higher demand for its Hong Kong businesses.

“Following the removal of the bulk of Covid-19-related restrictions, our agency channel has seen continued momentum with APE sales increasing every quarter since Q2 2022,” noted Anil Wadhwani, chief executive of the Asia-focused insurer, on Friday (Apr 28).

He noted that APE sales through Prudential’s bancassurance channel fell 4 per cent, following a double-digit growth.

New business profit for the quarter climbed 30 per cent to US$743 million, from US$571 million a year ago on a constant exchange rate basis.

Following China’s re-opening and increasing cross-border traffic, Hong Kong APE sales to mainland Chinese visitors grew strongly, as sales to domestic customers also rose. New business profit in Hong Kong increased by 106 per cent on-year to US$293 million in Q1 2023, on the back of a 299 per cent on-year jump in APE sales.

South-east Asian businesses represented 32 per cent of Prudential’s total new business profit generated in Q1 2023. In particular, Indonesia businesses extended their gains in APE sales from the previous quarter, while their agency and bancassurance production also grew.

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However, both APE sales and new business profit moderated in Singapore and Malaysia. This was due to product and channel mix changes.

In India, ICICI Prudential Life announced that it had met its objective of doubling its 2019 new business profit by 2023, as it continued to deliver broad-based growth in this quarter.