AIA Philippines eyes sustained profit growth amid war-driven volatility

AIA PHILIPPINES Life and General Insurance Co., Inc. is looking to sustain the strong income growth it booked last year, but volatility due to the prolonged Middle East conflict could affect its prospects.

AIA Philippines’ net income jumped by 63.1% to P5.67 billion in 2025 from P3.48 billion in 2024, according to its unaudited financial statement posted on the Insurance Commission’s website. Meanwhile, premium income rose to P12.296 billion from P12.06 billion.

“Some of it is driven by the market movements, foreign exchange movements, et cetera. We look to drive a good, strong net income, but there can be a little bit of volatility depending on the investment market movements and foreign exchange movements as well. We have a high level of US dollar assets,” AIA Philippines Chief Financial Officer Gary Ogilvie said on the sidelines of an event on Wednesday.

“Fundamentally, we’re looking to provide insurance solutions for our customers. I think we believe that if we have the right solutions with the right distribution, the financial metrics will take care of themselves. But we always start with the customer,” Mr. Ogilvie said.

The insurer expects steady demand for financial protection despite the rapid spike in consumer prices as the Middle East war continues to drive up global oil prices.

“Clearly, there’s affordability challenges in the economy, but I would say the financial impact of the death of a breadwinner or a major medical or critical illness event can be severe, so it’s very prudent for people to make sure they allocate,” Mr. Ogilvie said.

“It’s really important because, yes, it might be painful to pay the insurance premiums, but it’s a lot more financially destructive to have that loss of earning of the breadwinner, major medical critical illness bills. That puts families in debt for years, if not decades.”

The life insurer on Wednesday launched AIA Critical Protect Plus, a traditional triple-claim critical illness plan that provides health coverage up to age 100. Planholders can receive a one-time payout of 25% for early-stage illness, 100% benefit if death occurs before a major critical illness claim, and additional health protection and rewards as they live a healthier and more active lifestyle via AIA Vitality. — Aaron Michael C. Sy