MetLife says operating earnings in Asia grew by $US100 million ($130 million) to $US1.3 billion ($1.7 billion) last year.

In the three months to December 31 the region’s operating earnings grew 22% to $354 million ($463 million) thanks to volume growth, favourable markets and a tax-related item in Japan. Operating premium in the quarter totalled $US2.1 billion ($2.7 billion), up 5%.

Worldwide, MetLife’s net income was down 86% to $US697 million ($911 million) last year.

Premium for the year totalled $US39.1 billion ($51.1 billion), compared with $38.5 billion ($50 billion) in 2015.

Benefit payments were $US40.8 billion ($53.3 billion), up from $US38.7 billion ($50.6 billion).

MetLife’s investment portfolio income grew last year to $US19.9 billion ($26 billion) from $US19.2 billion ($25 billion). It recorded a $US6.7 billion ($8.7 billion) loss on derivatives in the investment portfolio. These investments delivered a $US38 million ($49 million) gain in 2015.

Chairman and CEO Steven Kandarian says in the full-year result “market factors and underwriting reduced earnings, while management actions to control expenses and generate volume growth were positive. While rising interest rates are good for MetLife’s businesses, they reduced the carrying value of our derivatives book and produced a net loss.”

He says the prospect of higher interest rates is a positive this year, “together with our new enterprise strategy, capital management and expense discipline”.