Signs of North American revival

Pointing to a recovery in the North
American life insurance market, application activity for
individually underwritten life insurance in November 2009 lifted
3.9 percent year-on-year, reports life industry data specialist MIB
Solutions.

The recovery, which began in July,
lifted year-to-date (YTD) figures from the June 2009 level of -1.6
percent, to an almost flat -0.1 percent at the end of November.

Commenting on the positive trend, Stacy Gill,
MIB Solutions’ vice-president of actuarial and statistical
research, said: “It’s clear consumers are recovering their interest
in the benefits available from life insurance.”

Looking at the US specifically, MIB reported
that application activity in November was up 4.1 percent
year-over-year – all ages combined – while YTD activity was down by
a modest 0.4 percent.

Growth in the US was especially strong in the
over 60-age group, which registered an increase of 18.8
percent.

This represented the ninth month out of the
past 10 months that this age group recorded double-digit
growth.

The 45 to 59-age group also registered solid
growth in November, with YTD activity up 6.7 percent. However, for
the seventh consecutive month, the age group 0 to 44 registered
zero growth.

In Canada, overall year-on-year activity in
November was up 2.3 percent while YTD activity was up 1.9
percent.

As in the US, the over 60 group was also in
the lead with a year-on-year increase of 8.7 percent, followed by
the 45 to 59 year age group with an increase of 4.1 percent and the
0 to 44 age group with 0.5 percent increase.

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