Jubilee Life Insurance Company ("Jubilee Life" or "the Company") was incorporated as a public limited company in Pakistan in Jun-95. The Company is listed on the Pakistan Stock Exchange (PSX) where its shares are traded with the symbol of "JLICL".

Jubilee Life is the subsidiary of Aga Khan Fund for Economic Development S.A. Switzerland (the Fund), has operated in Pakistan since Jun-95. The Fund holds strong footings in various business segments. Within insurance, general plus life, the Group operates four insurance companies in Africa (Kenya, Uganda, Mauritius, and Tanzania), one in Kyrgyzstan and two in Pakistan.

The product portfolio of the Company comprises conventional and takaful plans categorized as; (i) Individual Life Unit Linked, ii) Accident & Health Business, iii) Individual Family Takaful, iv) Conventional Business, v) Group Family Takaful Business, vii) Accident & Health Family Takaful, viii) Overseas Group Life and Health Business; and holds geographical presence throughout Pakistan, Head Office in Karachi.

The primary shareholding of the Company lies with the Fund (~57.9%), followed by Habib Bank Limited (~18.5%) and Jubilee General Insurance (~6.4%). Foreign investors and Financial Institutions hold ~4.5% and ~3.6%, respectively. The remaining shareholding (~9.1%) vests with the General Public.

The sponsors possess an interest in a diversified field of the market and hold a prominent share. The Fund's ownership resides with the Agha Khan Group, that holds stakes in a number of commercial ventures as well. The ownership of the Company seems to remain stable.

The Fund, founded and chaired by Mr. Prince Karim Aga Khan, represents a group of development agencies focusing on various development activities, including health, education, economic recovery, environment, disaster reduction, and microfinance. Moreover, it has experienced many business cycles.

The Fund holds ownership in one of Pakistan's largest private sector banks (Habib Bank Limited). To support development activities, the Fund has an ownership stake in several commercial ventures. The shareholders possess a robust financial standing to provide support to the Company when necessary.

Overall control of the Company resides with a nine-member Board (BoD), comprising 5 Non-Executive, 3 Independent and 1 Executive Director. Adequate female presence, as a Independent Director, and inclusion of the Sponsoring Groups bodes well for policy formation and decision making at the BoD level. 

The BoD is chaired by Mr. R. Zakir Mahmood as a Non-Executive Director. He holds an extensive experience with the financial & other sectors. With a professional journey spanning over three decades, he has accumulated valuable experience working with international and local banks. Currently, he is on the boards of various companies. Mr. Amyn Currimbhoy, an Independent Director, has been associated with the BoD for almost eight years. All other BoD members bring valuable thinking processes to the policy formation process for the BoD.

The BoD met every quarter with majority attendance. To ensure effective oversight, the BoD is assissted by seven BoD-level committees including: Audit, HR & Remuneration, Finance & Investment, Risk Management, Technical, Construction Advisory and Board Sustainability Risk & Opportunities Committee. The minutes have been formed and formally documented.

External Auditors of the Company; M/s KPMG Taseer Hadi & Co. (Chartered Accountants) has issued an unqualified audit report pertaining to the annual financial statements for CY24. The firm is QCR rated and in category 'A' of SBPs panel.

The Company holds a horizontal organizational structure with clear reporting lines, ensuring segregation of duties and focus on key business functions, with each function being headed by a Group Head. The Heads reports to the CEO, who then reports to the BoD. However, the Head of Internal Audit and HR functionally reports to the respective BoD committe, while administratively reports to the CEO. 

The CEO and Managing Director, Mr. Javed Ahmed, has been associated with the Company since 1997. Prior to joining the Company, he has around 11 years of industry experience at EFU and State Life Insurance. Mr. Javed has been associated with the Company for more than 25 years, and is also serving on the boards of Jubilee Kyrgyzstan Insurance Company and Jubilee Life Insurance Limited, Kenya. Mr. Omer Farooq, the CFO, has been associated with the Company for almost six years. Prior to joining Jubilee Life, he served as Director at PwC and has more than 25 years of professional experience in Pakistan and abroad covering fields of audit, assurance, and transaction advisory services. Other members of the senior management comprises seasoned professionals, each bringing expertise in their respective fields.

The management is facilitated by 4 committees; i) Underwriting Committee, ii) Claims committee, iii) Reinsurance Committee, and iv) Risk Management & Compliance. All the Committees meet on quarterly basis and are chaired by the CEO. Minutes of each meeting are adequately documented.

A centralized claim management framework is in place, supported by documented risk and periodic reviews to ensure adequacy of reserves. A detailed claims settlement system is in place to ensure a smooth and efficient progression of claims received. As the claims departments receive a policyholder request, a policy review is held in order to assess the legitimacy of the claim. The system oversees the claims to ensure adequate reserves.

The BoD-approved Investment Policy (IPS) sets out clear guidelines, limits, and benchmarks for managing exposures across key categories. Risk tolerances are defined at both, the BoD and the management, ensuring discipline in decision-making.Regular reviews by the management and an in-house research department, comprising eight analysts, is also in place to assist the overall functions.

The Company has implemented detailed field underwriting guidelines, which are issued to the branches and agents and are updated from time to time. A risk register is maintained by the Company, which accounts for any current and potential risks. The Company has established an enterprise-wide risk management framework anchored on clearly defined risk appetite statements and tolerance levels, ensuring that risk-taking remains aligned with strategic objectives. Risks are identified through structured protocols, including external benchmarking, and are evaluated using a universal risk matrix that considers both likelihood and impact. Periodic reviews are carried out ensuring proactive oversight and governance.

The life insurance sector is primarily dominated by the public sector, holding ~58% market share as of 6MCY25, while the private sector accounts for ~42%. The industry’s GPW stood at ~PKR 196bln in 6MCY25 (6MCY24: ~PKR 180bln), reflecting a YoY growth of ~8.8%. Net Premium amounted to ~PKR 190bln in 6MCY25 (6MCY24: ~PKR 167bln), showing a YoY increase of ~13%. On the claims side, Net Claims stood at ~PKR 174bln in 6MCY25 (6MCY24: ~PKR 165bln). The industry's bottom line was supported by sound investment income of ~PKR 132bln in 6MCY25 (6MCY24: ~PKR 184bln), representing a YoY decrease of ~28% due to reduced policy rates, which contributed to Profit After Tax of ~PKR 9.9bln in 6MCY25 (6MCY24: ~PKR 14bln). The total investment portfolio of the insurance industry stood at ~PKR 2,419bln as of 6MCY25 (6MCY24: ~PKR 2,144bln). Going forward, the overall outlook for the industry is expected to remain stable.

Jubilee Life has a distinguished leading position in the private life insurance sector, garnering an overall industry market share of ~14% during 6MCY25, accumulated through a GPW of ~PKR 27,884mln, closely followed by EFU Life Insurance Company, generating GPW of ~PKR 26,230mln. The Company's market share (private sector) stands at ~34%.  The Company sustained its standing as the second largest life insurance company in the sector.  

A healthy level of persistency not only indicates higher renewal premiums but also a strong consumer retention. A strong persistence can be attributed to the robust controls and strong customer service provided by the Company. Persistency ratio (first year persistency) of the Company improved to ~81% during 9MCY25 (9MCY24: ~76%). Renewal persistency also exhibited an upward trend to ~76% during 9MCY25 (9MCY24: ~72%), as a result of the Company's effort to retain its clientele. The Company's persistency remains good, however, efforts to curtail surrenders needs to be looked into.

The Company generated a GPW of ~PKR 48,713mln in CY24, depicting a rise of ~5.6% (CY23: ~PKR 46,113mln). During CY24, the subsequent year’s premium generated ~39% of the total revenue, indicating a strong customer base, while a stable trend for first-year and second-year premiums was observed. The operational efficiency of the Company’s large business network is reflected in its topline. During 9MCY25, the Company reported a GPW of ~PKR 43,261mln (9MCY24: ~PKR 35,242mln), posting an uptick of ~22.7%, mainly supported by single premiums that grew by ~329% (9MCY25: ~PKR 4.1bln, 9MCY24: ~ PKR 954mln). The Company must maintain an upward trajectory of GPW, going forward.

Underwriting performance and net investment results converge toward the Company's ultimate profitability. Owing to a ~14% uptick in claims incurred, the Company reported a ~41% decline in its underwriting performance during CY24 (CY24: ~PKR 15,382mln - loss, CY23: ~ PKR 10,902mln - loss). During 9MY25, claims were comparatively low (9MCY25: ~ PKR 40,604mln, 9MCY24: ~PKR 40,797mln). The Company incurred a loss at the underwriting level (9MCY25: ~PKR 4,661mln - loss, 9MCY24: ~PKR 11,919mln - loss). The bottom-line saw an ~7% uptake during the period (9MCY25: ~PKR 1,856mln, 9MCY24: ~PKR 1,738mln), supported by the investment income which remained strong (9MCY25: ~ PKR 32,072mln, 9MY24: ~PKR 36,159mln). Concrete efforts to pull up the income from the Company's core operations remains crucial.

The investment book is majorly placed in liquid avenues, with government securities comprising PIBs, T-Bills, and other debt instruments. During CY24, investment income increased significantly by ~60% (CY24: PKR 53,599mln, CY23: PKR 33,487mln). However, the investment income exhibited a downturn, declining by ~11.3% (9MCY25: ~PKR 32,072mln, 9MCY24: ~PKR 36,159mln), due to ~34.1% decline in returns on debt securities while deposits/COIs/placements fell by ~67.82%. Dividend income and Surplus on revaluation of investments marked an uptake of ~35% and ~56%. The total investment book scales to ~PKR 243,363mln for the period ended 9MCY25 (9MCY24: ~PKR 204,995mln, CY24: PKR 223,504mln, CY23: PKR 193,608mln). Investment income would remain stable, going forward, considering the prevailing policy rates.  

Going forward, the Company's ability to maintain its competitive standing within the life insurance industry remains imperative. A continued strategic revamp aimed at strengthening core and operational profitability is critical. The management intends to maintain its market position through capitalization on its strong operational network. Further, product innovation through digitalization is achieved by introducing unit-linked and non unit-linked products. Moreover, the solvency profile, as reflected through reserves, must remain consistently strong to support the sustainability of the rating.

Claims outstanding days during CY24 were 80 days (CY23: 86 days) showing recovery. This was due to some stability in outstanding claims which were ~PKR 12,588mln in CY24 (CY23: ~PKR 12,548mln) and a ~14% uptick in net insurance claims (whih inludes reinsurance and recoveries) stood at ~PKR 55,614mln (CY23: ~ PKR 48,713mln). Jubilee Life's claims outstanding days stood at 125 days in 9MCY25 (9MCY24: 107 days). While the Company's outstanding claims inflated standing at ~PKR 15,937mln in 9MCY25 (9MCY24: ~PKR 12,347 ) marking a ~29% increase. The Company managed to curtail the surrenders and hence going forward, the ability to manage the claim efficiency is expected to streamline.

The reinsurance panel comprises well-reputed reinsurance companies - Hannover Re (rated “AA-” by S&P), Arch Re (rated “A+” by A.M Best), and Generali Re (rated “A+” by A.M Best). This supports the Company's ability to improve its overall financial health. Maintaining a substantially strong re-insurer panel allow the Company to cushion and provide security.

The Company's liquid investments to outstandig claims remained considerably strong in CY24, standing at 17.6x (CY23: 15.3x). The increase was due to a ~15% uptake in liquid assets which stood at ~PKR 223,196mln in CY24 (CY23: ~PKR 193,321mln). In 9MCY25, the standing remaind stable at 15.2x (9MCY24: 16.5x)  which is owed to outstanding claims increasing by ~29%. This effect was majory offset by a ~18% increase liquid assets which stood at ~PKR 243,032mln in 9MCY25 (9MCY24: ~PKR 204,686).  Liquid investments majorly include investment in government securities. The Company maintains strong coverge position as Liquid Assets/ Net Insurance Permium ratio stands at 4.2x in 9MCY25 (9MCY24: 4.5x). The Company's liquid assets/ net claims ratio remaind resilient standing at ~4.3x in 9MCY25 (9MCY24: 3.7x), majorly due to an increase in liquid assets. Jubilee Life maintains a strong overall liquidity and coverage position. Managing outstanding claims will allow the Company to enjoy enhanced liquidity moving forward.     

The equity base of the Company stood strong at ~PKR 17,334mln in CY24 (CY23: ~PKR 15,353mln), marking a ~12% uptake. In 9MCY25, the Company's equity base witnissed a ~12% uptake, standing strong at PKR 17,944mln (9MCY24: PKR 15,993mln). The uptake was owed to an increase in reserves of ~40% reporting at PKR 7,921mln (9MCY24: ~PKR 5,653mln) while the paid-up capital remains stable at PKR 1,004mln. Profit accumulation remain strong at PKR 9bln as of 9MCY25. This reflect that the Company holds considerable cushion to enhanced its MCR as per SECPs requirement to ~PKR 3bln by 2030. This remains important.