(*DEXX&R defines its attrition rate as representing discontinuances as a percentage of in-force premiums<\/em>.)<\/p>\n …the attrition rate for disability income insurance business has fallen …to a ten-year low<\/p><\/blockquote>\n This latest report also reveals the attrition rate for disability income insurance business has fallen for the seventh consecutive year, dropping to a ten-year low of 9.9 percent in September 2020, down from a high of 15.8 percent in September 2013.<\/p>\n DEXX&R notes this trend indicates that clients are retaining their existing disability income policies at a higher rate than has been the case over the past ten years.<\/p>\n New business sales<\/strong><\/p>\n The researcher also reports that lump sum new business fell in the year to September 2020 to $1.0 billion – its lowest level in the past five years.<\/p>\n DEXX&R attributes this decline to ongoing disruption in the advice distribution channel, including:<\/p>\n While new individual lump sum new business sales were down year on year, the researcher also reports a strong increase in sales in the quarter ending September 2020, representing a 5.8 percent increase over the June 2020 quarter results:<\/p>\n Meanwhile, disability income new business fell in the September 2020 quarter and was also down year-on-year from the year ending September 2019, with DEXX&R noting this is the lowest level of new business recorded since the year to September 2011, representing a nine-year low.<\/p>\n DEXX&R says this fall is attributable to:<\/p>\n![\"\"](\"https:\/\/riskinfo.com.au\/news\/files\/2021\/01\/disbility-attrition-rate.png\")
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