Friends Life has revealed it is developing a simple protection product to target new distribution methods.
It also confirmed all new group business will be written on the Bupa Health Assurance (BHA) platform and expects advisers to focus further on the protection market as the Retail Distribution Review (RDR) approaches.
The announcement came as half year results from parent company Resolution showed the provider had reversed last year's individual protection new business loss.
Over the first half of the year Friends Life reported £4m in new business - on a present value of new business premiums (PVNBP) basis - compared to a £4m loss between January and June last year.
Its group protection business also broke into the black with a PVNBP figure of £2m.
Prior to the completion of the purchase of BHA in January no group risk business was reported.
A Resolution statement alongside the results said: "New business profitability of £2m is expected to improve as business is consolidated onto the BHA platform and volumes of income protection and critical illness are increased.
It also discussed the future for the business and protection market in general, revealing: "A new simplified product is being developed to leverage the existing distribution partnerships and also to attract new distribution."
It added: "The impact of the RDR on the individual protection business is expected to be neutral to slightly positive.
"Some reduction in the number of IFAs is anticipated; however, as the costs of serving clients' investment needs rise, advisers are expected to put more focus on the business protection, family protection and mortgage market for business."
Resolution also noted that other significant changes such as the removal of I-E tax regulations and the banning of gender use for pricing will not disturb its business.
"The changes in the tax regime for life business will support the competitiveness in the medium term with all providers being on a level playing field for tax.
"The protection proposition is value based which should facilitate Friends Life being able to respond positively to the new tax regime for protection and the removal of gender based premium rating relative to the commoditised players where price is a more significant factor," it added.
