Rise in Pru income signals upturn for insurers
Thursday 18 April 1996
In the UK, sales of the company's single-premium products rocketed by 34 per cent to pounds 866m, the highest quarterly total for more than two years. However, sales of regular premium products dipped slightly to pounds 71m against the same period last year, indicating a continuing preference by savers for lump-sum investments.
Peter Davis, group chief executive at Prudential, said: "I am particularly encouraged by the healthy progress made in the UK, where product developments and improvements in the sales process have resulted in single-premium sales being at their highest level for more than two years."
Prudential's figures were boosted by sales of annuity-linked products, together with its well-established Prudence Bond. In addition, PEP sales grew by 67 per cent to pounds 47m.
The company's growth in premium income comes as the insurance industry slowly begins to overcome the problems it has faced in the past two years.
The Association of British Insurers, the industry trade body, said yesterday that its own statistics showed tentative signs of a recovery in late 1995, boosted by rising house prices and a return of the "feel-good factor".
Commercial Union, the composite insurer, said it expected its own profits to grow this year. John Cowan, sales and marketing general manager at Scottish Amicable, said: "There is a definite feeling within the market that there is a recovery of confidence. I have reported to my own board a double-figure improvemnt in sales in the first quarter."
David Prosser, chief executive at Legal & General and chairman of the ABI's life insurance council, said: "I talk to chief executives within the industry quite regularly and the consensus is that we are trading at 1994 levels." L&G's own figures mirrored this, he added.
- 1 James Foley 'beheaded': Isis video shows militant with British accent 'execute US journalist' – and warns Obama of more to come
- 2 ALS ice bucket challenge co-founder Corey Griffin drowns aged 27
- 3 Cilla Black defends Cliff Richard: 'I am positive that the allegations are without foundation'
- 4 Nicki Minaj finally releases predictable 'Anaconda' video
- 5 James Foley 'beheading': Met police warn public watching murder video could be criminal offence
Scottish independence: English people overwhelmingly want Scotland to stay in the UK
Isis threat: Cameron wants an alliance with Iran
Crisis? What crisis? A visiting US doctor gives the NHS a rave review
Michael Brown shooting: Chaos erupts on the streets of Ferguson after autopsy shows teenager was shot six times – twice in the head
Richard Dawkins on babies with Down Syndrome: 'Abort it and try again. It would be immoral to bring it into the world'
Scottish Independence Referendum: Salmond described as 'arrogant, ambitious and dishonest' by Scottish women
iJobs Money & Business
£45000 per annum: Harrington Starr: Quantitative Analyst (Financial Services, ...
Negotiable: Harrington Starr: Application Support Engineer (C++, .NET, VB, Per...
£450 - £600 per day: Harrington Starr: AIFMD Business Analyst / Consultant - I...
£450 - £600 per day: Harrington Starr: Business Analyst Solvency II SME (Pilla...