Health Insurance Popularity Drives Aviva Profit Increase

An increase in health insurance policyholders has helped Irish insurance provider Aviva to record a 40 per cent increase in operating profits for the first six months of 2010. The insurer now has 280,000 private medical insurance customers, while volumes in the company’s life insurance and pensions businesses also rose considerably. As in the UK, there has been an upward trend in the number of health insurance policyholders in Ireland in recent years, as consumers look to ensure quick access to health care and medical treatments should they require it.

In total, Aviva now has more than 1.2 million customers across its general insurance, life and pensions and health business in Ireland. Profits rose from €82 million in January-June 2009 to €115 in the first six months of this year, though the results were partly countered by claims emanating from the severe weather, which could yet total €100 million.

The strong results in the insurers Irish division helped the wider Aviva group to enjoy a 21 per cent increase in profits, which reached £1.27 billion - £100 million above general forecasts.