Interim results - Worldwide long-term savings new business – Three months to 31 March 2006
Continental Europe
Poland (including Lithuania):
Aviva’s life and pension operations in Poland and Lithuania are leading providers in their respective markets. Total sales, including investments, were £188 million (2005: £84 million).
Life sales continued to grow strongly increasing by 151% to £89 million (2005: £34 million), including a one-off group scheme of £14 million. This performance reflects mainly strong sales of single premium unit-linked business, driven by a combination of a buoyant equity market and positive results from continued development of the direct sales force. Aviva’s bancassurance partnership with Deutsche Bank also contributed to the growth in sales.
Pension sales increased by 106% to £71 million (2005: £33 million), reflecting increased pensions transfers from other providers and higher receipts of contributions from the State pension agency.
Investment sales were £28 million (2005: £17 million) reflecting a strong equity market and the impact of new distribution agreements with leading broking houses.
Total new business contribution from life and pension sales was £8 million (2005: £3 million). The new business margin was 5.0% (2005: 4.5%).
The growth potential of the Polish market continues to be strong, helped by favourable equity market performance.
