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GEN RE LIFEHEALTH ANNOUNCES 2007 U.S. GROUP LIFE MARKET SURVEY, An Analysis of 2006 Sales and Inforce Results

STAMFORD, CONNECTICUT: Gen Re LifeHealth and JHA released the results of the 2007 U.S. Group Life Market Survey, a leading industry benchmark survey covering Group Term Life (GTL), and Voluntary Group Term Life (VGTL) new sales and inforce premium, volume, lives, and cases. For the first time, this year’s survey also included new sales and inforce premium and volume for Group AD&D and Voluntary AD&D. Thirty-two companies participated in the 2007 survey, representing over $17.7 billion in premium.

The survey shows that GTL inforce premium increased 5% in 2006 to almost $16 billion. VGTL inforce premium increased 10% in 2006 to over $1.7 billion. Results also indicate that 2006 GTL new sales premium decreased by 2% to $1.7 billion; GTL volume increased by 1%, as compared to 2005. New VGTL sales premium increased by 15% to $293 million; VGTL volume increased by 17%, as compared to 2005.

New lives for GTL decreased by 19%, while cases grew by 2%, causing the average lives per case on new sales to decrease 20% in 2006. For the second straight year, the number of GTL inforce cases grew, if only slightly.

“We are very pleased and excited to present this more comprehensive Market Survey. The results of the survey help participating companies perform an external analysis as a basis for strategic planning and operational adjustment,” said Achim Dauser, Vice President and Manager of the Group Life and AD&D lines of business at Gen Re LifeHealth.

The annual Gen Re LifeHealth U.S. Group Life Market Survey, now in its fifth year, presents new sales figures and inforce amounts for both group term and voluntary group term life products. In addition, the survey covers premium, volume, lives, and cases. Participating companies receive the full report. To obtain a summary of the U.S. Group Life Market Survey results, visit JHA’s website at www.jhaweb.com. To participate in next year’s survey, please contact Marcy Updike, Director of Market Research, at mupdike@jhaweb.com.

Gen Re LifeHealth and Gen Re are global brands belonging to General Re Corporation, a subsidiary of Berkshire Hathaway Inc. and a holding company for global reinsurance and related risk management operations.

JHA, a subsidiary of Gen Re LifeHealth, is a disability reinsurance, consulting, and research firm located in Portland, ME. Since 1986, JHA has been helping insurers, TPAs, employers, brokers, and benefit consultants improve their disability business performance. Through its research practice and consulting work, JHA (www.jhaweb.com) is the leading source for information about the disability market.

 

VIEW THE 2007 U.S. GROUP LIFE MARKET SURVEY RESULTS

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