In June 2016, APRA released the 2015 Life Insurance Institution Level Statistics publication. This annual publication shows statutory profits and capital for each insurer and reinsurer with an APRA life insurance license operating in the Australian market for financial years ended in 2015. KPMG’s Life Insurance Profitability & Capital Analysis provides a snapshot of the key take-outs from this publication.
Overall, for financial years ended in 2015, the life insurance industry reported statutory profits of $3,036 million, a 51 percent increase compared to the profits reported in financial years ended in 2014. This is an increase from 9.1 percent to 15.2 percent of net policy revenue. The increase in profitability reflects a return to normal levels of industry profitability.
Our summary provides a snapshot of life insurers':