Risk market continues to grow by 10 per cent
Inflows into risk insurance products continued to climb after a strong 2012, with inflows into individual risk lump sum and income products and group risk products increasing by about 10 per cent from $10.6 billion to $11.7 billion.
Inflows into the individual risk lump sum market grew by 10.4 per cent, while inflows into the individual risk market grew by 9.1 per cent. Overall group risk inflows grew by 10.7 per cent, with TAL recording inflows above 10 per cent in all three categories.
According to data released by Plan for Life for the year ending March 2013, TAL increased individual risk lump sum premium inflows by 10.5 per cent, followed by OnePath with 10.2 per cent and CommInsure with 9.8 per cent.
TAL also led in individual risk income premium inflows with 18.1 per cent growth, followed by OnePath with 12.8 per cent. CommInsure, however, only saw growth of 1.81 per cent while AMP saw inflows growth of 8.56 per cent.
TAL also led in group risk premium inflows with inflow growth of 14.34 per cent, followed by AIA with 12.72 per cent and OnePath with 8.58 per cent. CommInsure fared better here with 7.07 per cent growth and led AMP with only 1.42 per cent growth.
The growth till the end of March follows similar growth across 2012, with data released earlier this year by Plan for Life showing an 11.7 per cent increase in flows and a 6.3 per cent increase in new premium sales across the last calendar year.
Recommended for you
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.
