Declines across all age bands, both month-over-month and year-over-year, is what Massachusetts-based MIB Group Inc. is reporting in its monthly review of life insurance application activity.
The MIB Life Index report says Canadian life insurance application activity showed a double-digit decline in the number of applications completed during the month, “continuing a pattern of year-over-year declines that began in July 2021.”
Overall activity declined 14.4 per cent year-over-year in April 2022, compared to April 2021. Month-over-month, April activity was down 10.3 per cent when compared to March 2022 figures. Year-to-date activity through April 2022 was down 10.4 per cent compared to 2021.
“April saw declining year-over-year activity across all age bands,” says the report. Application activity among those between 31 and 50 years of age declined the most, down 19.1 per cent, year-over-year. Activity among those between ages 61 and 70 declined the least, dropping 8.5 per cent.
One bright spot in the report: April saw double-digit year-over-year growth in application activity for amounts over $1 million. For amounts over $500,000, up to and including $1-million, application activity was flat. Lower amounts, up to and including $500,000 posted double digit declines.
By product, they say when examining patterns where a product type was submitted, Universal Life showed double digit year-over-year growth, Whole Life showed some decline, and Term Life showed double digit declines in April. About 29 per cent of the total index volume for Canada in April did not include a product type.
