Revealed – Australia’s life insurance performance

Revealed – Australia’s life insurance performance | Insurance Business Australia

Life & Health

Revealed – Australia’s life insurance performance

Net profit broken down by risk product

Life & Health

By
Terry Gangcuangco

The Australian Prudential Regulation Authority (APRA) has published the latest performance statistics for the country’s life insurance industry.

According to APRA, here are the numbers for the year ended March 31, 2023:

Metric

Year ended March 2023

Year ended March 2022

Total revenue

$17.8 billion

$16.7 billion

Total expenses

$16.6 billion

$15.3 billion

Net profit after tax

$1 billion

$1.1 billion

Total assets

$126.7 billion

$126.6 billion

In a release, the regulator said: “Risk products returned a net profit after tax of $872 million. Individual lump sum and individual disability income insurance (individual DII) business reported weaker profits than the previous year because of an increase in net policy expenses for individual lump sum business and lower reserve releases for individual DII business.

“Group lump sum and group disability income insurance (group DII) business reported an improvement in performance in comparison to the prior year, which was in large part due to higher investment revenue for group lump sum business and reserve releases for group DII business.”

Of the total net profit of $872.4 million, $238.4 million came from individual lump sum; $523.9 million, individual DII; $(59.3) million, group lump sum; and $169.4 million, group DII.

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