GlobalCapital Life Insurance Ltd, one of Malta’s leading insurance companies, declared annual bonus rates for all its participating policyholders. The bonus rates declared are based on the company’s investment performance during the last financial year.
Since beginning operations in the mid-1960’s as British American Insurance Malta, GlobalCapital Life Insurance Ltd has achieved a strong market position in Malta and is organically expanding its product portfolio and operations across the country. Considered a leading life insurance provider GlobalCapital Life Insurance Ltd. has eight life insurance products including Plan 102, Assured Savings Plan, Junior Saver, Wealth Saver, Real Life, Distribution Bond, Loan Protect and Life Protect.
GlobalCapital Life Insurance Ltd has declared a 3.0% annual reversionary bonus rate payable on all its interest sensitive life insurance policies in force as at 31 December 2012. This bonus rate applies across all interest-sensitive polices except on those where higher guaranteed rates are built within the policy such as the MoneyPlus which offers a guaranteed bonus rate of 3.5%. The reversionary bonus rate declared for paid-up policies is 1.5%. Over the last ten years (between 2003 and 2012) GlobalCapital Life Insurance Ltd has declared an average annual bonus rate of 3.79%.
“The financial markets worldwide in 2012 continued to be volatile ending the year mixed in performance. The property markets continued to be stagnant and declining. Malta financial markets have remained unpredictable although we have seen a modest improvement in the second half of 2012 with a 3.45% gain while property markets continued to experience stagnation and downside pressure in both sales and rental markets. Against another difficult year where investment returns have been negatively affected and interest rates remained low, GlobalCapital Life Insurance Ltd has declared higher bonus rates underlining our cautious approach.” stated Mr. Reuben Zammit CFO, GlobalCapital plc.
In declaring this annual reversionary bonus, the company takes into consideration the performance of the investment assets held within the company’s Life Fund. The Life Fund is made up of carefully selected and diversified investment instruments which include bonds, equities, funds, real estate and bank deposits. The mix of such investment tools and the rating of the underlying assets is monitored and approved by the investment committee of the company. Once declared, reversionary bonuses are guaranteed by the company.
The declared reversionary bonus rate applies to all the company’s regular premium and single premium interest-sensitive endowment life insurance policies.
GlobalCapital Group CEO Bashar Khatib says, "The future levels of bonus is dependent on the performance of GlobalCapital Life Insurance Limited’s investment portfolio and the economic climate, and we will continue to manage our business prudently to generate better value for our policyholders. Our bonus declaration reflects a stable foundation that delivers growth for our policyholders through compounded reversionary bonuses during the premium payment term.”