Challenges still confront life - Minto
TAL chief executive, Jim Minto has pointed to continuing challenges confronting the Australian life insurance sector against the background of the company reporting a solid second half result.
The result was made clear in announcement by its parent Dai-ichi Life, which showed TAL's underlying profit for the six months to the end of September was $78 million, up from $46 million in the previous comparative period.
However while saying he was pleased with the result, Minto said it had been achieved in difficult market conditions and that challenges lay ahead.
"Significant challenges remain across the industry in terms of claims experience, regulatory change and an increasing focus on the quality of advice and product sustainability," he said.
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Policy and advocacy specialist Benjamin Marshan has left the Council of Australian Life Insurers after less than a year, having joined in March from the Financial Planning Association of Australia.
The declining volume of risk advisers meant KPMG has found a rising lapse rate for insurance policies arranged by independent financial advisers, particularly in the TPD and death cover space.
The Life Insurance Code of Practice has transferred from the Financial Services Council to the Council of Australian Life Insurers.
The firm has announced it will no longer be writing new life insurance policies in the retail advised and corporate group insurance channels, citing a declining market and risk adviser numbers.
