Life insurance risk premium inflows and new premium sales have continued to move in opposite directions with inflows increasing and sales decreasing for the second consecutive quarter, according to data released by Strategic Insight (formerly Plan for Life).
In its market overview of inflows and sales for the 12 months to the end of June 2016 Strategic Insight reported that overall inflows increased by 5.6% while sales were down 5.9%, closely in-line with the March 2016 quarter figures of a 6.2% increase in inflows and a 5.9% decrease in sales for the 12 months to the end of March 2016.
Strategic Insight said most of the major risk insurance providers in the market recorded higher Inflows with TAL once again leading with 19.1% growth (18.2% growth in the March figures) followed by AIA (14.8%), BT / Westpac (11.0%), OnePath (7.7%) and Zurich (7.3%).
While new premium sales fell, TAL posted significant growth 146% (compared with 149% in the March quarter) driven heavily by group risk sales which grew 12,292% for TAL over the 12 months to the end of June.
In the Individual Risk Lump Sum Market premium inflows grew steadily at 4.7% led by AIA (17.3%), Macquarie (10.2%), Zurich (9.8%), BT / Westpac (7.6%) and TAL (7.0%).
Individual Risk Lump Sum sales decreased by 1.7% year on year but AIA and ClearView bucked that trend and reported 15% and 20% growth respectively. At the opposite end, CommInsure (-14.8%) and Suncorp (-21.4%) reported decreases in their annual sales.
Individual Risk Income Market inflows increased to 6.9% (6.8% in the March quarter) while overall New Risk Income Sales increased 6.1% over the last twelve months.
BT / Westpac (18.4%), AIA (17.6%), Zurich (16.0%) were the top three for inflows and AIA (32.3%), National Australia / MLC (14.4%), TAL (12.3%) led for new sales.
Group Risk Inflows rose another 5.9% year on year with the two market leaders with TAL (27.1%) and AIA (14.0%) leading that market compared with Group Risk New Premium Sales which fell during 2015/16 year by down 16.8%.
TAL with 12292.% growth bounced back to the top of the Group Risk sales ladder after reporting virtually no sales during 2014/15 while most other insurers reported negative growth.
