Friends Provident has announced a 25% increase in new individual health insurance business.
Last year the company consolidated its position in the PHI market, which is where most of the gains have been made.
Communications manager Jim Murdoch said all sectors had shown growth over the past year, but the policies which had sold best were individual PHI, executive PHI and serious illness cover.
Murdoch added: “We are very pleased with the continued growth we’ve had in the health insurance market, particularly for our core PHI products.”
Individual PHI generated £3.7m in 1997 for Friends Provident. And although this policy has been underwritten for over 100 years, the recently launched executive policy is already proving popular.
“We think it is an area that will expand further. Especially with Government plans to encourage the public to become accountable for their own protection,” said Murdoch.
He said Friends Provident is considering expanding into budget PHI. He pointed out that although this would not provide the same comprehensive benefits as existing PHI policies, it would still offer a cheaper alternative to consumers who are unable to afford existing PHI premiums.
Murdoch added: “We monitor our products through feedback panels and research. The service behind the products is very important to us.”