LV=, the mutual insurance, retirement and investment group, has announced a strong performance in the first half of 2010, with sales and trading profits significantly up on the same period of 2009.
Life cover sales are up 40% to £63.5m on an APE (Annual Premium Equivalent) basis, compared to £45.2m in the first half of 2009. This includes retirement business seeing a 36% increase with an APE of £48.3 (H1 2009: £35.4m) while protection and savings businesses saw a 55% increase with an APE of £15.2m (H1 2009: £9.8m).
General insurance GWP (Gross Written Premiums) were up 37% to £546.4m (H1 2009: £397.5m), this includes including new business GWP up by
39% to £85.0m (H1 2009: £61.3m). The results also confirm that LV= is now fourth biggest private car insurer (according to FSA returns 2009).
In asset management (LVAM), investment performance shows continued strong outperformance against benchmark for the with-profits portfolio. 85% of eligible funds are ranked in the first or second quartile of their peer groups for performance in the first six months of 2010 while H1 2010 sales exceed the total for 2009 (excluding third party institutional sales).
Mike Rogers, LV= group chief executive, commented: “Although the market environment remains challenging, our focus has paid off enabling us to
continue to grow profitably across the LV= Group. Our trading performance in terms of both sales and profitability was significantly up on the same period last year.
“In the life business, pensions and annuities spearheaded a strong performance, driven partly by legislation change moving the retirement age from 50 to 55. Profitability in life was also enhanced by improved cost control and by our development of new IFA accounts.