29 August, 2018 07:00
The canadian market experienced a third quarter of growth in a row of sales of insurance premiums of serious diseases, thanks to a growth of 8 % in the first quarter of 2018.
Less than a third of the providers, however, have benefited, says the report from LIMRA on sales and in-force insurance diseases in Canada. Sales of critical illness insurance have reached $ 30.8 million (M $) in terms of premiums, in the first quarter of 2018, compared to $ 28.6 Million in the first quarter of 2017. The number of fonts has been treading water during this period of comparison, reaching 28 439.
Author of the research from LIMRA, Matthew Rubino noted that the first quarter of 2018 continues the growth that began in 2017. This growth in insurance premiums of serious diseases, however, has made piecemeal, in the beginning of the year, ” he adds. “The first quarter results are not generalized : 5 providers 16 reported a growth of premiums for this quarter. “
Standing at the head
This is the permanent product that have generated the majority of the growth in premiums, ” says Mr. Rubino. “The premiums of products graded to limited period payment of the premiums increased slightly compared to the previous year, and those of the renewable products have fallen. “
Although permanent product represent only 35 % of the premium for critical illness insurance total in the first quarter, compared with 47% for the products graded, its sales increased 25.2 %. The premiums of this product amounted to $ 10.6 Million in the first quarter of 2018.
The sales of the products graded grew by 2.4% in the first quarter of 2018, compared to the first quarter of 2017, with premiums of $ 14.5 Million. Those of term insurance have declined by 4.7 % during this period, to settle at $ 5.7 Million, which represents 18 % of the premiums for the first quarter in critical illness insurance.
Products leveled and temporary accounted each for 40 % of the fonts serious diseases sold in the first quarter of 2018, or 11 364 for products graded and 11 249 for the temporary. The product standing has accounted for 20% of policies sold in the first quarter, 5 826 fonts.
Advantage to the self-employed
The independent network has been behind the success of the product permanent. It has sold $ 7.4 Million in terms of premiums, representing a growth of 36 % in the first quarter of 2018, compared to the first quarter of 2017. In comparison, the network captive has sold $ 3.2 Million in premiums, representing a growth of 6 %.
On the other hand, the network captive has experienced a growth rate of 4 % between the first quarters of 2018 and 2017, in terms of premiums in the sale of the product leveled, compared to 1% among the self-employed. During this period, the two networks have experienced a drop in sales of critical illness insurance temporary, or 10% in the network captive and 2 % among the self-employed.
For all products of serious diseases, sales of the network independent are up 11 % in the first quarter of 2018. In comparison, they are up 2 % for the network as a captive during this period.
All products combined, the critical illness insurance in force was represented at the 31 march 2018, premiums 960,4 Million and $ 892 883 fonts.