LifeStar Insurance plc - Full-Year Results

On 8 April 2022, LifeStar Insurance plc published its Annual Report for the financial year ended 31 December 2021.

Performance Overview

During 2021, pre-tax profits increased by 17.4% to €0.65 million (2020: €0.55 million). The improved profitability resulted from the drop in the negative balance on the long-term business of the insurance technical account. On the other hand, commission and fee income dropped by 15.6% to €1.81 million (2020: €2.15 million) whilst net investment income declined to €0.40 million compared to €0.68 million in 2020.

On the expenditure side, operating costs surged by 12.9% to €1.41 million largely on the back of the increase in professional fees (+€0.22 million), commission and direct marketing costs (+€0.13 million), as well as IT-related expenses (+€0.12 million).

Overall, LifeStar Insurance registered a profit of €0.54 million (2020: €0.92 million) which translates into a return on equity of 1.69% compared to 3.05% recorded in 2020.

The Statement of Financial Position shows that total assets increased by 6.2% to €172 million mostly due to higher intangible assets (+€1.8 million) and property, plant and equipment (+€1.5 million). Similarly, total liabilities increased by 6.2% to €140 million largely driven by the growth in investment contracts with Discretionary Participation Feature (+€1.5 million) and investment contracts without Discretionary Participation Feature (+€8.1 million). Shareholders’ funds rose by 6.4% to €32.2 million which, in turn, translates into a net asset value per share of €0.50 (31 December 2020: €0.47).