LV= announces £158 million profit

Mutual insurance, retirement and investment group LV= announces its financial results for the year to 31 December 2017 and publishes its annual report.

Strategic and operational highlights:

• Completed landmark strategic partnership with Allianz
• Group capital position significantly improved
• Profitable growth reflecting strong underwriting discipline in General Insurance and an improved result in repositioned Life
• Improved efficiency across the business
• Continued investment in systems and digital initiatives

Financial highlights:

• Operating profit £158 million
• General Insurance gross written premiums £1.60 billion
• General Insurance operating profit up to £121 million
• Life business PVNBP sales up 9% to £2.02 billion
• Life operating profit up £24 million to £37 million
• Group gross expenses down £8 million to £431m
• Profit before tax for the group up to £122 million
• The Group Solvency II capital coverage ratio up to 180%
• Operational Liquidity inflow of £62 million
• Return on the main LV= with-profits fund of 7.7% against benchmark of 8.6%

Richard Rowney, LV= group chief executive, said, ‘2017 has been a transformative year for LV= and I am very proud of what we have achieved. We secured a landmark strategic partnership with Allianz, delivered the first stages of our £100 million investment to transform our General Insurance product and distribution capability and brought together our Protection, Retirement and Heritage business areas under a single leadership as we begin to evolve Life into a broader health, wealth and knowledge business.’