15 IDI market leaders record a combined premium growth rate of 5.8% in 2015
SEATTLE, Oct. 10, 2016 /PRNewswire/ — Milliman, Inc., a premier global actuarial and consulting firm, today released the results of its latest Individual Disability Income (IDI) Market Survey report.
The report, in its ninth edition, measures sales trends across 15 IDI companies, representing 90-95% of the market. The survey also covers recent changes in underwriting and products, the range of views that companies have on the current profitability of their business, and the favorable and unfavorable trends that can affect the long-term profitability of the IDI market.
The 2016 survey results identify some very favorable trends, including:
- A combined new annualized premium of $392.2 million, highest since the 1990s
- A solid 5.8% growth in new annual premium from 2014 to 2015,
- New premium from the employer-sponsored multi-life market exceeding 40% of total IDI new premium in 2014 and 2015,
- A stabilization in the share of new IDI premium from doctors
- A reduction in the share of new IDI premium issued using voluntary guaranteed standard issue (GSI) underwriting.
Robert Beal, Principal at Milliman and author of the report, says, “It’s been a tumultuous 10 years for individual disability income carriers. What Milliman’s IDI Market Survey reveals is that 2016 presents a much healthier picture of the market than in many years past. The survey sheds light on the causes and trends behind this optimistic outlook, and is a valuable resource for any companies looking to mitigate risk in a competitive environment.”
Milliman is among the world’s largest providers of actuarial and related products and services. The firm has consulting practices in healthcare, property & casualty insurance, life insurance and financial services, and employee benefits. Founded in 1947, Milliman is an independent firm with offices in major cities around the globe. For further information, visit here.