Norwich Union's UK business leapt by 23 per cent in the first half of this
year to £668m in equivalent premium income from £541m last year,
boosted by a massive increase in pension sales.
Individual pension sales were up by 77 per cent to £140.8m from
£79.5m last year. Group pension business rose by 41 per cent to
£176m from £124.6m.
IFAs accounted for £507m of overall sales, up by 20 per cent from
£422m. NU now does 75 per cent of its business through IFAs.
Partnerships such as NU's arrangement with Tesco and its direct-sales
operation accounted for £161m of sales, an increase of 35 per cent
from £119m in the same period last year. Life sales were also up by
17.7 per cent to £52.4m from £44.5m last year.
Regular-premium mortgage business, including mortgage protection and
endowments, grew by 21 per cent to £23m from £19m last year.
However, single-premium annuities sales were down by 16 per cent to
£351m from £420m.
Bond sales increased by 5.5 per cent to total £178m from £169m
while other investment sales remained the same at £62m.
NU's partnership with the Royal Bank of Scotland has brought in
£28.6m-worth of business in the first six months of this year. NU
plans to launch Royal Scottish Assurance-branded life products by August as
part of the link-up.
Sales and marketing director Peter Hales says: “The IFA market continues
to demonstrate strong support for NU and remains our main source of