PORTLAND, Maine--(BUSINESS WIRE)--Gen Re has released results of the 2016 U.S. Group Term Life Market Survey, the annual industry benchmark survey covering Group Term Life and Accidental Death & Dismemberment (AD&D) in-force and new sales premium results for the U.S. market, representing combined employer-paid and employee-paid business.
According to the participating companies (29 for Group Term Life; 27 for AD&D), sales and in-force premium growth was positive for both products. Key observations include:
- Participants reported $23.7 billion in total Group Term Life in-force premium, a 3% increase compared to 2015.
- The total number of employers offering coverage rose by 3%, while the total number of insured employees grew at a more modest pace of 1%.
- Group AD&D in-force premium was up by a healthy 6%, while new sales premium exhibited a more significant gain of 19% after a decade of mostly declining sales.
- For the second year in a row, new Group Term Life sales premium increased, growing by 4% to reach $2.5 billion.
Reported Group Term Life new sales volume among participants showed a 7% gain over 2015. At $82,138, the average face amount for new Group Term Life policies was also up by 7% in 2016.
A summary report is available online at genre.com/lhsurveys.
Gen Re, a Berkshire Hathaway Company, is one of the leading life/health and property/casualty reinsurers in the world. Our North American life and health reinsurance company, General Re Life Corporation, has superior financial strength ratings among life and health reinsurers. Gen Re delivers tailor-made reinsurance programs and risk management solutions for the Life, Medicare Supplement, Critical Illness and Individual Disability Income markets. Through our research, we also offer valuable information and insights. For more information, visit www.genre.com.