OLDWICK, N.J.--(BUSINESS WIRE)--The U.S. life/annuity (L/A) industry saw its net income increase by 60% in the first three months of 2022 compared with the same prior-year period, fueled by declines in tax obligations and realized capital losses. This financial review is detailed in a new Best’s Special Report, “First Look: Three-Month 2022 U.S. Life/Annuity Financial Results,” and the data is derived from companies’ three-month 2022 interim statutory statements that were received as of June 6, 2022, representing an estimated 91% of the total L/A industry’s net premiums written.
According to the report, the U.S. L/A total income rose 3.9% from the prior-year period, driven by a 2.7% increase in premiums and annuity considerations and an 8.6% increase in net investment income. Total expenses for the industry grew 7.8%, as increases in surrender and other benefits drove a 7.2% rise in incurred expenses. The industry’s pretax net operating gain was down by 30.4% to $15.0 billion, but the lower tax burden and a $10.2 billion decrease in net realized capital losses contributed to the industry’s net income spike to $13.4 billion, compared with $8.4 billion in first-quarter 2020.
To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=320670.
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