{"id":64114,"date":"2023-01-17T11:10:28","date_gmt":"2023-01-17T00:10:28","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=64114"},"modified":"2025-03-14T12:02:24","modified_gmt":"2025-03-14T01:02:24","slug":"ip-new-business-hits-11-year-low","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2023\/01\/17\/ip-new-business-hits-11-year-low\/","title":{"rendered":"IP New Business Hits 11-Year Low"},"content":{"rendered":"
\n
\n

Our report on the decline in retail income protection insurance new business sales – sadly – is the Riskinfo Story of the Week…<\/h3>\n<\/div>\n<\/div>\n

Disability income new business hit an 11-year low over the year to September 2022, according to the latest data from DEXX&R<\/a>, but discontinuances remain at historically low levels.<\/p>\n

The research firm\u2019s Life Analysis Report<\/em> for the September 2022 year says that disability income new business decreased by 2.6% to $388 million, down from the $399 million recorded in the 12 months to September 2021, citing this as an 11-year low.<\/p>\n

 <\/p>\n

\"\"<\/a>DEXX&R also found that individual risk lump sum new business was down 11.4% to $912 million from the $1.03 billion recorded in the year to September 2021.<\/p>\n

It says that amongst the top five companies TAL recorded an increase of 6.6% in individual lump sum business to $156 million. AIA Australia recorded a 16.7% increase to $128 million over the year.<\/p>\n

\"\"<\/a>Meanwhile the research firm also points to total individual risk sales being down 9% in the year to September 2022 to $1.3 billion.<\/p>\n

Total risk in-force premium increased by 3.1% at the end of the year to September 2022 to $16.3 billion, up from the $15.8 billion recorded at September 2021.<\/p>\n

Discontinuances<\/strong><\/p>\n

Under individual lump sum discontinuances DEXX&R found the attrition rate was unchanged at 9.1% in September 2022 when compared to the attrition rate at September 2021.<\/p>\n

As to disability income discontinuances, DEXX&R says the attrition rate increased for the first time in nine years, up from the 9% recorded in September 2021 to 9.3% for the September 2022 year.<\/p>\n

The firm notes that discontinuances remain at historically low levels \u201c\u2026indicating that not withstanding the small increase during the years to September 2022 retention levels remain at a higher level than that applicable over the past 10 years.\u201d<\/p>\n

It says this trend is expected to continue \u201c\u2026as the terms and conditions offered by existing products are significantly more favourable than those offered by current onsale products.\u201d<\/p>\n

\"\"<\/a>The report includes data on all risk business issued by life companies from their statutory funds.<\/p>\n","protected":false},"excerpt":{"rendered":"

Our report on the decline in retail income protection insurance new business sales – sadly – is the Riskinfo Story of the Week… Disability income new business hit an 11-year low over the year to September 2022, according to the latest data from DEXX&R, but discontinuances remain at historically low levels. The research firm\u2019s Life […]<\/p>\n","protected":false},"author":24,"featured_media":64120,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,4,8291],"tags":[],"class_list":{"0":"post-64114","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-general","8":"category-products","9":"category-story-of-the-week"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/64114","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=64114"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/64114\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/64120"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=64114"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=64114"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=64114"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}