PACRA Maintains IFS Rating of TPL Life Insurance Company Limited
The rating incorporates the refined business strategy implemented by the new sponsor. The strategy encompasses innovation in its products and increased penetration in lower income segments.The strength of the new sponsor is evident from fresh injections raising the paid up capital to
PKR 800mln. An IPO is also in the pipeline. The management of the company keeps targeting niche segments of businesses. TPL Life is expanding its business volume, wherein which size matters as it provides economies of scale, while further boosting the company's capacity to write new business. The management has high growth targets, though it would take time to reach the zenith.
The rating is dependent on the company’s ability to execute its existing business plan in an efficient manner; herein, growth in top-line and underwriting profits are mandatory. Stagnant liquidity levels are pivotal for rating.
TPL Life Insurance Limited was incorporated in 2008 and obtained license to carry on life and related line of business in 2009 TPL Corp Limited,(formerly TPL Trakker Limited), acquired 86% stake of the company. Later on, two new partners had been injected holding the remaining 14% stake in the company.
The new board of TPL Life consists of eight members, all from the sponsoring group. Mr. Jameel Yusuf Ahmed, the chairman, is a veteran businessman and is also the Chairman of TPL Holdings (Pvt) Limited. Mr. Amin ud Din, CEO TPL Insurance has replaced Mr. Saad Nissar on the board.
Mr. Faisal Abbasi, the CEO of the company, is an experienced professional with over 19 years in Life Insurance and banking sector. He is assisted by a team of experienced professionals.