LV= hails third quarter performance
Mike Rogers, the group chief executive of insurance giant LV=, has hailed the company's performance in a "challenging market", despite an overall decline in its general insurance sales.
A trading update for the nine months to 30 September 2014, revealed that gross written premium (GWP) at the Bournemouth-headquartered group was down to £1.08bn from £1.13bn for the same period a year earlier. Private motor insurance also fell to £743m from £835m.
But the group did experience multimillion-pound growth in its home and commercial SME insurance, as well as sales of its life insurance.
Life insurance sales increased to £1.14bn from £1.03bn.
Rogers said: "Nine months into 2014 sales in both trading businesses have been good in a challenging market.
"In our life business sales are up £100m compared to this time last year and we have achieved over £400m of sales in just the last three months. Margins post-budget are generally lower driven by the business mix in our retirement business, but these strong sales are a great achievement and testament to our customer-focused range of products."
Rogers added that the lower overall GWP was down to decreases in motor insurance rates, leading to a pressure on premiums. He said the group did not believe that current prices are sustainable and that LV= expects to see an increase in the coming months.
"Entering the last quarter of the year overall I am pleased with our progress in both business areas," Rogers said.