Aviva’s protection & health business saw profits rise 21% year-on-year, according to the insurer’s full year 2021 results.
The group’s results released this morning, reveal its protection & health business posted operating profit of £229m in 2021, up from £189m in 2020, which the group attributed to improved new business
profitability and cost efficiency.
The group added an improved business mix combined with reduced costs in both health and individual protection generated growth in the value of new business of 13%.
Operating profit for the group’s UK Life business fell 26% – from £1.91bn in 2020 to £1.41bn in 2021, while its Ireland Life business saw profits rise from a £6m loss in 2020 to £11m in profit for 2021.
Across the group the insurer posted adjusted operating profit of £1.63bn for the year, down from £1.8bn in 2020.
The release of the results coincided with the announcement that Aviva has acquired financial advice firm Succession Wealth for £385m.
Commenting on the performance of the group’s protection & health business, Doug Brown, chief executive officer of UK & Ireland Life at Aviva, said: “Our UK health business performed strongly, with record consumer sales driven by the launch of our Expert Select cover, along with growing volumes in our direct channel. For the first time, the business now covers more than one million lives.
“Individual protection sales grew from the previous year, reflecting growth across all of our main distribution channels, as a result of the ending of stamp duty relief and a more buoyant housing market in 2021,” he added.
“We are the only provider of scale in the UK offering cover across health, group protection and individual protection and we remain focused on continuing to deliver innovative wellbeing services, digital transformation and to extend our strong distribution reach across a range of partners.”
