Although some insurance company executives say they are now using analytics, others say they’re still on the fence about it or only beginning to explore its possibilities.
BRAINTREE, Mass., July 11, 2014 /PRNewswire/ -- U.S. application activity for individually underwritten life insurance was flat at -0.3% in June, year-over-year, all ages combined, according to the MIB Life Index. The story for the first six months of 2014 has been one with progressively lessening monthly losses. U.S. life insurance application activity was flat (0%) in the second quarter, year-over-year helping to ameliorate a negative first quarter (-5.4%). At the close of Q2 2014, U.S. life application activity is off -2.7% YTD. June's application activity increased +1.2% from that of the previous May, consistent with seasonal averages. Improving quarterly results are welcomed just prior to the typically slow summer season.
U.S. application activity by age group was mixed in June. Ages 0-44 were off -1.7%; ages 45-59 were flat at +0.3%; and ages 60+ were up +2.8%. Second quarter activity by age group mirrored the improvements seen in the composite Index: ages 0-44 were off -1.2%; ages 45-59 were off slightly at -0.5%; and ages 60+ were up +2.9% (Q2-14/Q2-13). For the first six months of 2014, ages 0-44 are off -3.8%; ages 45-59 are off -2.8%; and ages 60+ are up slightly +0.6%, compared to the same period last year.
MIB CEO Lee Oliphant talks with A.M. Best on the 2013 year-in-review available from www.mibgroup.com/news. Review all the industry trends and register (free) for MIB's 2013 Life Index Annual Report at www.mibsolutions.com/regLI or login at www.mibsolutions.com/loginLI.
U.S. Monthly Percent Change
U.S. Monthly Percent Change by Age
0 - 44
45 - 59
U.S. Monthly Percent Change
vs. Prior Month
About the MIB Life Index
The MIB Life Index is the life insurance industry's timeliest measure of application activity in the United States. Released to the media each month, the Index is based on the number of searches MIB life member company underwriters perform on the MIB Checking Service database. Since the vast majority of individually underwritten life premium dollars in North America include an MIB search as a routine underwriting requirement, the MIB Life Index provides a reasonable means to estimate new business activity. For past releases, methodology or to subscribe visit www.mib.com/lifeindex.
MIB is the life and health insurance industry's most trusted resource for risk information and analytical services. Owned by the industry it has served for more than a century, MIB is uniquely positioned to aggregate industry insights in order to develop products and services for our members that improve their risk assessment. MIB, Inc. and MIB Solutions, Inc. are wholly-owned subsidiaries of the MIB Group, Inc. (www.mibgroup.com).
David O. Aronson
MIB Group, Inc.
SOURCE MIB Group, Inc.