LV='s protection business experienced an 25% increase in new business sales worth £272m, the insurer announced today in its financial results for the year to 31 December 2015.
In addition, across the LV= group which consists of life and pensions, general insurance and heritage products, profits grew to £195 million (2014: £86 million).
Mike Rogers, group chief executive of LV=, said: ""We retain our position as the leading provider of individual income protection and during 2015 entered the business protection market. Total new business sales of £272 million were up 25% on 2014 and protection remains an area where we see potential for future growth."
Also that year, the new business contribution (before investment in new proposition) for protection was £10m, an increase of £4m compared to 2013
Overall new business contribution before investment in new propositions increased by 88% to £47 million (2014: £25 million) driven by "strong interest in our protection, flexible guaranteed bonds and draw-down products", the insurer said.
In its annual report the company said: "In protection we have seen strong growth in an overall flat market. New business contribution before investment in new propositions of £21 million is up 110% on the prior year (2014: £10 million)."
Meanwhile, in 2015, the insurer revealed it had reduced the time it takes for protection claimants to receive their money to 4-6 weeks by putting in place processes to speed up requesting and receiving the medical information needed to pay the claim.
Myles Rix managing director, protection at LV=: "2015 has been a year where some of the investments we had made in the past have really paid off for us, we have had new propositions and focussed on relationship servicing to customers. Intermediaries are valuing the relationship management we provide. And in 2015 we bought our business protection proposition to the market."
Rix said although it was early days for business protection in terms of sharing sales volumes, adviser feedback had been positive and the last quarter had experienced a "good" pipeline of business.
He also said the insurer would be investing heavily in processes and technology this year.
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