Year-over-year application activity jumped 20.5 per cent when compared to May 2020 application activity but still came in lower than pre-COVID activity reported in May 2019, according to the most recent report on the Canadian MIB Life Index from Massachusetts-based, MIB Group, Inc.
In addition to the 20.5 per cent jump year-over-year, the actuarial and underwriting research provider found that year-to-date activity increased 6.4 per cent by the end of May 2021. “These comparisons are impacted by a significant drop in April and May activity in 2020, attributable to the pandemic,” they write. Compared to pre-COVID activity reported in May 2019, application activity is still down 5.3 per cent year-to-date and 11.7 per cent, year-over-year.
All age groups saw year-over-year application activity increase during the month, they add, with almost all age groups growing year-to-date in May, as well. (Application activity among those between 51 and 60 years of age was flat year-to-date.)
“May saw double digit growth year-over-year across all face amounts with the most sizable gain, more than 50 per cent, for face amounts over $1-million, up to and including $5-million,” MIB adds. “For ages 71+, triple digit growth was seen for face amounts over $500,000, up to and including $1-million and for face amounts of $2.5-million up to and including $5-million. Double digit growth was seen in all other face amounts over $250,000.” They add that term life applications were up 2.9 per cent year-over-year, while universal life applications jumped 67.5 per cent and whole life applications increased 25.2 per cent, year-over-year.
