Almost 50,000 fewer protection policies have been sold in the first three quarters of 2023 compared to the same period last year, according to Gen Re.
The figures are likely to be disappointing for the market after a strong start to the year which has been followed by two consequtive quarters of retraction.
The reinsurer’s Protection Pulse update showed 1,545,313 policies have been sold so far this year, down by 48,925 from 1,594,238 in the first three quarters of 2022.
While Q3 saw more completions than Q2 2023, the figure was 49,048 down on the first quarter of the year and 39,851 down on the corresponding quarter of last year when 542,421 polices were sold.
There was a bright spot with total annual premium equivalent (APE) at £590m over the first nine months of the year, up 4.4% from £565m at the same point last year.
APE also rose to £193m for July to September, from £191m in the previous three months, but this was down from £206m in the first quarter of the year and also down from £196m in the same period of 2022.
Across product group in terms of APE compared to a year ago, income protection saw a 26% increase, while term assurance saw a negligible increase and critical illness was 2% down.
Turning to product market split, mortality accounted for 45%, with accelerated CI comprising 27% of the market, income protection 12%, whole of life guaranteed 6%, whole of life U/W 5% and standalone critical illness 4%.
