Best’s Rankings: US Individual Life Lapse Ratios Reached 7 in 2024
OLDWICK, N.J. //BestWire// - United States individual life insurers saw the total industry lapse ratio reach 7.0 in 2024, up from 5.1 in the year prior, according to a new Best’s Rankings report.
The sector’s renewal premium persistency stood at 87.6 this past year, up from 86.9 in 2023. The average in-force policy size increased to $189,000 from $169,000 the year prior, according to the report.
Northwestern Mutual Group held onto the No. 1 spot in 2024 with $182.72 billion in individual life insurance policies issued. The company’s lapse ratio was 3.9 and its renewal premium persistency was 94.1, unchanged year-on-year.
No. 2 State Farm Life Group’s 2024 individual life policies issued reached $121.12 billion; No. 3 New York Life Group had $111.56 billion in policies issued, rising from No. 4 the prior year; and No. 4 Primerica Group had $110.58 billion. It fell one position from No. 3. No. 5 Pacific Life Group, which rose from No. 8, had $93.67 billion.
Subscribers can access the report and data here.
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AM Best data sourced from Best’s Financial Suite, US.
(By Steve Hallo, senior associate editor, BestWire: Steve.Hallo@ambest.com)