LV= reported strong performance in the key areas of protection and equity release with sales of the former seeing a 12% year-on-year increase, reaching a Present Value of New Business Premiums (PVNBP) of £398 million (FY 2023: £356 million).
The growth reflected strong demand for income protection and life cover, an area of increasing importance for mortgage brokers advising clients on financial security.
Meanwhile LV= also reported a positive increase in equity release mortgage advances, indicating a growing market for later-life lending solutions.
New business sales are up 4% with overall new business sales reaching £1,229 million (FY 2023: £1,187 million), reinforcing LV=’s strong market position.
ADVISER SUPPORT
LV= maintained a solid Capital Coverage Ratio of 192% and expanded its LV= Platform Services.
Digital enhancements and service improvements have also been rolled out to streamline adviser interactions and client experiences.
David Hynam, LV= Chief Executive, said: “As a mutual, members come first. Since 2011, we’ve shared a total of £414 million in member bonuses, of which £29 million will be distributed to 280,000 eligible members as a result of our 2024 results.
“Our results show that our focused business strategy is delivering and returning value for members. Our Capital Coverage Ratio of 192% and increase in operating capital generation of 57% to £55 million, underscores the financial strength of the business and highlights our robust capital position.
“I am also pleased to highlight a positive year in terms of driving down operating expenses by 4%. Members will appreciate that we are not only returning profits to them in the form of the member bonus, but we are also running the business efficiently on their behalf.
“Our financial performance is a result of our forward-looking strategic approach and points to the significant benefit of our diversified portfolio, which includes award-winning products, services and advice. We’ve seen positive sales growth across protection and equity release, and strong investment performance from our Smoothed Managed Fund range.”
MOST RECOMMENDED
And he added: “The strength of the LV= brand continues, together with its recognition as one of the most recommended in the UK. Our focus is on its growth and the future success it presents for our members. We look forward to exploring further brand partnership opportunities at the end of the general insurance brand agreement with Allianz which commenced in 2017.
“We are well positioned to further enhance investment and financial performance. We remain steadfastly committed to doing the right things for our members, customers and advisers, and continuing to deliver for this and future generations to come.”
