Sun Life Grepa Financial, Inc (SLGFI) generated a premium income of Php 8.65 B during the first half of the year (240% inc from the same period last year). It has attributed its growth to its new variable unit-linked (VUL) products which contributed 80% of the individual insurance business. Also, its Its partnership with Rizal Commercial Banking Corporation (RCBC) was beneficial in generating majority of its sales.

Sun Life Grepa Financial, Inc (SLGFI) is a joint venture between the Yuchengco Group of companies (YGC) which is considered as one of SEA’s largest conglomerates with over 90 companies, and Sun Life Financial-Philippines which has been a top player in the Philippines for over 118 years. Sun Life owns 49 % of SLFGI. It has earned a total of Php 8.65 B during the first half of the year, or a total of 240% growth from the same period last year. It has attributed its growth to its new variable unit-linked (VUL) products which have become competitive and attractive in the market. It is said that VUL becomes the Sun Life Grepa Power Builder contributing 80% of the individual insurance business.

What makes the VUL competitive and attractive?

VUL or Variable Universal Life contracts are permanent life insurance policies that provide death benefits until 100 or life and  the potential for cash value accumulation. It has two components: insurance term and investment term. This means that whenever one puts its money in VUL, a portion of it will go to life insurance while the rest are considered investments. As compared to the traditional life insurance, VUL becomes more attractive to the investors because it provides the customers an opportunity to maximize its wealth and generate funds through the investment character that investing VUL gives. Moreover, VUL policies are  popular because of its flexible premiums and tax-free growth.

* Flexible Premiums

This means that flex payments allow for skipping premums or paying lumpsum.

* Tax Free Growth

This means that the value and growth in the account accumulates tax free as long as the variable insurance plan remains active.

In what way does VUL boost its sales?

According to the article, Sun Life Grepa Power Builder (VUL) has different fund options to match the client’s financial goan and risk appetition.

Available in three payment schemes, the Sun Grepa Power Builder has different fund options that can match a client’s financial goal and risk appetite, as well as allow them to diversify their investments.

These include Income Fund, Bond Fund, Opportunity Fund, Balanced fund, Equity Fund and Growth Fund. Since August 2012 to August 2013, it was the income fund that marked the highest returns with a 22.69%increase. Next to it is the Bond Fund with 19.03%, Opportunity Fund posted a 12.17% growth while Balanced Fund showed 12.3% increase. Equity Bond followed with 1014% increase in returns, and followed by Growth Fund with 10.36%.

How does its partnership with RCBC Bank further boost its sales?

The partnership allowed the LSGFI reach more clients efficient, as well as gave them the the opportunity to diversify their assets and earn wealth properly.

What is the Implication of its significant growth? How does its significant increase to 240% contribute to economic growth in the Philippines?


The remarkable increase that SLGFI generated makes it more attractive among its clients as well as to those who plan to start-up investments in VUL-life insurance products. This then is translated to another source of its continued growth.

Also, according to the report recorded by the Insurance Commission, life insurance industry has been experiencing a positive growth since 2009. Those life insurance companies (such as Sun Life. Phil Life Ins. Corp of UK, Philam Life and Gen, Phil Axa, BPI Philam, Insular Life, Manulife-Phil, Sunlife Grepa, Manulife China Life Assce Corp, PNB Life Insurance, Unicoco Life, Pioneer Life and Philam Life) who have started engaging or issuing VUL products make up about 79% to 89% of the life insurance industry’s total assets, net worth and premium income since 2008-2012. Since the time period mentioned, more and more Filipinos get themselves engaged in this new investment schemes. What does this imply? This implies that more and more Filipinos are learning the ways of proper handling of money or financial protection. Thus, investing in such promotes financial stability. This means that an increase in domestic savings is also generated causing one Filipino to experience an increase in his MPC(Marginal Propensity to Consume). Moreover, an increase in domestic savings brings about (in principle) a more stable mobilization of savings through investment activities. In the end, a more stable economy is experienced by the Filipinos. 


Caccam, Florencio
Cetoy, Krizia Kate
Escarnuela, Kristine
Yap, Lorelie

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