Royal London protection sales plunge
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Royal London has insisted it is committed to the protection market despite reporting significant drops in new business sales for both Bright Grey and Scottish Provident.
New business at Bright Grey fell 21 per cent to £75m in the first six months of 2010 from £96m for the same time last year while Scottish Provident reported a fall of 17 per cent in new business to £95m from £114m in 2009.
Chief executive John Deane says: “We know from the first quarter figures that the protection market is down and quite a chunk of that is down to mortgages and the lack of activity in the housing market. That is not going to change very quickly and we can see that in economic terms.
“It is not a lost cause. We still think it is a good market and medium term we do see there will be some prospects for growth. But we need to make sure people see the need for protection and take it out.”
He adds that the firm still has no plans to merge the two brands.
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