The sum of money flowing into Australia's overall risk insurance market rose more than 10 per cent in calendar 2011, with AIA's 33.5 per cent increase in inflows over the year outpacing its rivals in percentage growth, actuarial research company Plan for Life said yesterday.
Total inflows into the risk market climbed 10.4 per cent last year to $10.3 billion and risk premium sales grew 17 per cent to $2.69 billion, Plan for Life data showed.
AIA Australia's premiums rose to $1.1 billion as its share of total inflows expanded to 10.8 per cent from 8.9 per cent in 2010, and its total premium sales more than doubled to $298.2 million.
AMP remained the dominant player in terms of inflows, commanding 16 per cent of the market's total risk premium flows. Its inflows rose 9.2 per cent to $1.66 billion.
National Australia Bank/MLC followed with inflows up 3.5 per cent to $1.47 billion for a market share of 14.3 per cent.
Commonwealth Bank of Australia owned-CommInsure Group led risk premium sales with growth of nearly 40 per cent to about $390 million, giving it 14.5 per cent of the market. AMP's risk premium sales rose 12.3 per cent to $377.3 million, giving it a market share of 14 per cent.
Most inflow measures in the latest Plan for Life sales and inflow data series grew 10 per cent or more in 2011, including term life, trauma and income protection, with sales growth expanding by about 17 per cent.
Premium inflows into the individual risk lump-sum market, which includes term life and trauma insurance, as well as total and permanent disablement cover, rose 10 per cent in 2011 to $5 billion.
"It is worth noting that the individual risk lump sum insurance market has, over recent years been significantly impacted by growth in the housing market, which is a significant factor as a source of new insurance," Plan for Life said.
AIA's growth topped rivals, up 22 per cent to $165.4 million, followed by Suncorp Group, up 11.9 per cent to $393 million.
Inflows into individual risk income insurance, which includes income protection and business expenses coverage, added 11 per cent to $1.89 billon. BT/Westpac led the pack with growth of 24 per cent to just under $110 million.
New risk income premium sales shot nearly 19 per cent higher over the year to about $464 million, led by TAL Group's 60 per cent growth in new sales to $47 million. National Australia/MLC's sales fell 13.7 per cent to $69.3 million.
Group risk insurance premium inflows from superannuation funds, master funds and wrap accounts, increased nearly 11 per cent to $3.4 billion. AIA posted the biggest percentage gain, up 38.2 per cent to nearly $854 million. However Suncorp's risk inflows stood at $53 million, down nearly 67 per cent.
