WITH the opening of the regional office of Grepalife, a member of Yuchengco Group of Companies (YGC), in General Santos City on June 4, the president of the company expected to develop more leaders and recruits for the life insurance industry.

The Grepalife office, which is formerly located on Magsaysay Avenue in General Santos City, was transferred at the second level of the RCBC building on Pioneer Avenue. The transfer was made after the company realized it is better for Grepalife to be near its sister-company RCBC so that both companies can work together effectively.

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"In these times, we have to keep on growing as an organization. This will also show that we are a major force not only in banking, but also in insurance," Victor Quisumbing, Grepalife president and CEO, said.

Quisumbing said Grepalife is looking at four areas in the country to open up this year. He said Grepalife in Legaspi will soon be opened to continuously create a dent in the market.

"We want people to know that we exist," Quisumbing said.

He said that even with the adverse effects of the global financial crisis in the life insurance industry, he reported that the company had accomplished 23 percent increase in both premiums and profitability during the first quarter of the year compared to the same period last year.

He also said that at present, at lot of people preferred to invest in real estate than life insurance. But he was quick to add there is difference between the two.

"In real property, it takes a lot of money, but when you invest in life insurance, in a month you just pay a little and you get so much. In real property, you need to wait until you can own the property, but in life insurance, you are already protected from day one. I know that many people do not appreciate life insurance because for them, it is only an expense rather than an investment and protection, but they should also realize that life insurance is not tangible, it's not like car and appliances," he shared.

Quisumbing noted that this year is very crucial for the life insurance industry.

He said they have been lobbying for several years already for the government to totally stop the collection of fixed tax of 5.25 percent from policy holders.

"We are hoping that this year, we are able to get an approval from the government. We are the only country where insurance is taxed, in other countries, insurance is tax-free. The fixed tax of 5.25 percent which goes to the government burdens the policy holders," he said.

On the other hand, with the opening of the regional office in General Santos, Quisumbing believes that there will be an increase of 30 to 50 percent in terms of profitability for the company this year.

"This increase will probably come from new agents who joined us," he said. (JGRS)