ABI life and pensions new business data for Q2 2008 reveals sales of single premium individual protection products slumped by almost 20% to £305m in Q2 2008 compared with the same period last year.

Regular premium new business sales fell only marginally, by 1.1% to £215m compared with Q2 2007, but this still represents a huge fall from Q3 2006 when new business sales hit £236m.

Conversely, regular premium occupational pensions new business climbed 44.9% in Q2 2008 compared with the same period last year, while individual pensions rose 12.5% to £976m.

Single premium occupational pensions also climbed dramatically, by 38.3% to £3,349m in Q2 2008 compared with the same period last year, but single premium individual pensions fell 11.2%.

Despite the drops in protection, total regular premium accumulation and protection new business, which also includes sales of endowment policies, bonds and child trust funds (CTFs), in Q2 2008 was £1.593bn, an increase of 13.6% from £1.402bn in Q2 2007.

Total single premium accumulation and protection new business in Q2 2008 was £18.729bn, a decrease of 9.5% from £20.690bn in Q2 2007.

Total decumulation new business in Q2 2008 was £3.506bn, a decrease of 3.5% from £3.633bn in Q2 2007.

Meanwhile, total single premium investment bond new business in Q2 2008 was £6.861bn, a decrease of 26% from Q2 2007.

Contact:
Scott Sinclair
News Editor
020 7484 9791
scott.sinclair@incisivemedia.com