There are a little over 50 pre-need companies which have been recognized based in the paid-up capital requirements imposed by the Securities and Exchange Commission (SEC).
SLFPI is the pre-need arm of the Sun Life of Canada (Philippines) Inc., one of the country’s profitable and huge financial institution. Sun Life’s life insurance group ranked second overall in the industry as of end 2001.
SLFPI chairperson Esther C. Tan said that apart from being the first and so far only pre-need firm to offer participating pension and education plans, the company maintains a consistently strong financial foundation beginning with a paid-up capital of P300 million.
That is three times more than the SEC requirement of P100 million to be able to sell three types of plans.
"SLFPI practices sound business policies to meet its commitments to stakeholders. It is committed to fully support the pre-need sector’s efforts to strengthen the industry and to service the needs of more Filipinos," Tan added.
Belonging to an industry that for over 35 years has served millions of Filipino subscribers and their beneficiaries, SLFPI must remain attuned to the needs of Filipino consumers.
The increase in the required paid-up capital allowed the company to rise in the pre-need industry ranking from 55th to 11th aside from forming an aggressive albeit professional sales force.
Tan also noted that SLFPI has made it a policy to deposit between 57 to 86 percent to a trust fund although the SEC mandates pre-need companies to deposit at least 51 percent of total pension and education plan collections.
"By setting aside a greater amount of pension and education plan collections, SLFPI shows that it understands the value of hard earned money, that its prime interest is to protect plan holder investments, and that it is focused on securing the future of plan beneficiaries."
She said the above policy is true also for plans purchased on installment basis.