The life insurance division of ClearView Wealth has posted a 60% increase in after tax profit boosting the group’s underlying net profit after tax to $27.2 million, up from $20.5 million last year.
ClearView said the growth in its life insurance business was the result of a 30% growth in in-force premiums and a 34% increase in the number of approved product lists (APL) carrying the group’s LifeSolutions insurance product. Third party APLs accounted for 62% of the group’s advice based life insurance new business.
Net profit after tax for the life insurance division was $25.5 million with ClearView stating this part of its business was the most advanced and was benefitting from reduced operating expenses and leverage through scale.
This was in contrast to the group’s financial advice division which had a 66% decrease in net profit after tax to $1.5 million with much of this attributed to dealer group support costs being moved out of the life insurance business and into the advice business.
The group’s least mature segment – wealth management – increased its net profit after tax by 50% to $2.7 million after having launched in 2015 and increased funds under management by 12% in the past year.
ClearView Managing Director, Simon Swanson, said: “We are delighted with this result that reflects our industry disrupter strategy of winning market share within profitable segments by delivering innovative products and a high level of service”.
“ClearView remains well positioned for robust growth over the medium to long term by virtue of our Life Insurance and Wealth Management business units that offer complementary products and services over the economic cycle.”
