Hibernian Life & Pensions today announced its new business results for the year ending 31 December 2003. Despite tough market conditions and heavy competition throughout most of the year, the company moved up one place to number three in the life assurance league table (based on new business). With a market share of 11% Hibernian also remains the largest provider of life and pensions products through the broker market.
Hibernian Life & Pensions today announced its new business results for the year ending 31 December 2003. Despite tough market conditions and heavy competition throughout most of the year, the company moved up one place to number three in the life assurance league table (based on new business). With a market share of 11% Hibernian also remains the largest provider of life and pensions products through the broker market.
The company reported new Annual Premium Equivalent (APE) of EUR115.4m for 2003. (2002: EUR162.3m, which included EUR38.8m of once-off SSIA business).
Significant growth was evident in Hibernian's single premium pension business, which showed an increase of 14% on last year (2003: UR198m, 2002: EUR174.5m). This reflects returning confidence in the Irish business community following recent economic uncertainty, and a new found willingness to put money aside for retirement. Hibernian capitalised on this growing confidence with a range of pension special offers during the key pension month of October, and increased fund choice with the addition of the highly successful Montgomery Oppenheim to its range of external fund managers.
The considerable growth in protection business during 2002 (up 66% to EUR14.9m) continued during 2003 with EUR19.9 million of business being written, up a further 33%. Hibernian's term and mortgage protection assurance policies are regarded as the most competitive products on the market and sales reflected this.
Annual premium sales of group pensions rose strongly reflecting good products and a strong service offering. However, personal pension contributions were hit following the introduction of PRSAs in April and a renewed focus by the government on this market will be required before sales in this area fully recover. Overall annual premium pension sales rose slightly to EUR65.6m (2002: EUR64.5m).
Continuing stockmarket uncertainty had a detrimental impact on single premium investment sales, which dropped substantially to EUR73.9m (2002: EUR249.2m). This decrease was expected and the company refocused on other sectors during the year.
Hibernian Life & Pensions managing director Grant Barrans said: "We are very pleased with the growth in our core protection and group pensions business. We expect investment conditions, which gradually recovered towards the end of 2003, will continue to improve in 2004 thereby encouraging increased consumer confidence and investment. We are also very pleased to have strengthened our position as Ireland's leading provider of life and pensions through the broker channel. We continue to see growth from this important sector as more individuals come to realise the benefit of high quality advice in managing their financial affairs."
-ends-
Press contact:
Kela O'Riordan, 01 617 8164, 086 606 8842,
kela.oriordan@hibernian.ie
Notes to editors:
* Annual Premium Equivalent (APE) is the industry standard for measuring new business and is equal to Annual Premium plus 10% of Single Premium.
- Hibernian is part of the Aviva plc the fifth largest insurance group in Europe, and seventh globally (based on gross worldwide premia)
- Hibernian is Ireland's largest composite insurer, ranked first for general insurance and third for life and pensions
- A photograph is available by ISDN
- Hibernian news releases are also available on www.hibernian.ie