The US life and annuity market saw its total income rise 9% in 2021, according to new note from AM Best.
More tellingly, Coppola notes that the net income for US life and annuity between 2020 and 2021 rose more than 60%, from $22.5bn to $36.2bn.
Written by Matthew Coppola, director, the new note says that the increase in net income was driven mostly by a 109.7% increase in other income, an 8.8% increase in net investment income, and a 3.5% increase in premiums and annuity considerations.
Expenses for the industry grew, which AM Best said happened as $10.6bn was transferred to separate accounting, minimising the increases in death, annuity, and surrender benefits.
The agency also reported that direct premiums across all lines of business had risen between 2020 and 2021, from $1,115,371,749 to $1,227196,518.
