Aviva’s new medical insurance sales dropped to £25m in the first quarter, almost a third (31%) lower than the £37m generated during the same period a year earlier.
This reflected falling demand from individuals and small businesses.
Yet in-force health premiums exceed £1bn, after sales jumped 9% since the first quarter of 2025.
Overall, the protection business shrank by 2% to £88m, year-on-year. Group sales improved by 6% to £44m thanks to strong demand and retention. However, this was offset by lower sales to consumers.
“Individual protection volumes were slightly lower compared to the prior year, which benefited from strong sales ahead of changes to stamp duty in April 2025,” said Doug Brown, chief executive of insurance, wealth and retirement at Aviva.
Across the Irish Sea, sales leapt 50%, partly driven by winning large group income protection mandates.
Aviva’s wider health business is now focused on achieving the target of making an operating profit of £100m this year.
Overall, Aviva announced some strong figures. The group’s total premiums climbed 19% to £3.4bn, largely the result of the acquisition of Direct Line.
Amanda Blanc, Aviva’s group chief executive officer, said the insurer has made an excellent start to 2026.
“Our continued strong trading performance, high quality balance sheet and diverse set of leading businesses, gives us confidence that we are well placed to meet our group targets, and deliver even more for our customers and shareholders this year,” she added.
