The life insurance industry’s financial performance is improving but individual disability income insurance (IDII) reported a loss of $345.5 million during FY21, according to data.
The Australian Prudential Regulation Authority (APRA) data found net profit after tax (NPAT) for the life insurance industry was $1 billion and said it was a “significant improvement” from the previous year primarily owning to the improved investment market.
However, risk products reported a combined net loss after tax of $18.8 million. While IDII products reported the $345.5 million loss, this was a $900 million improvement in comparison to the previous year’s result.
APRA noted group lump sum and group disability income insurance remained negative but had also improved.
Group lump sum reported a loss of $70.6 million, and group disability income lost $5.9 million.