ClearView Wealth has reported a 5% rise in life insurance after-tax profit to $12.7 million for the six months to December 31.

Inforce premium grew 30% to $171 million in the half. New business was up to $22.1 million from $18.2 million in the corresponding period of 2015.

ClearView’s main life product, LifeSolutions, recorded inforce premium of $126.1 million, a 45% increase. New business for the product was up 31% to $20.6 million.

The primary distribution channel for the product is independent financial advisers (70%), with the remainder through aligned advisers.

ClearView increased the number of approved lists the product features on to 293 from 229.

An adverse swing in claims of $2.3 million resulted in a claims loss of $600,000 for the six months, compared with a claims profit of $1.7 million in the corresponding period of 2015.

Direct life sales, mainly through health insurer BUPA, totalled $1.5 million, down from $4.5 million due to the life insurer leaving the lower socioeconomic demographic.

MD Simon Swanson says the solid result reflects a significant increase in LifeSolutions sales.

“The life insurance segment continues to be the key profit driver, with the strong growth of our distribution footprint underpinning the company’s profit profile and embedded value.

“This result demonstrates our position as an innovative challenger brand in life insurance, and the outlook for the life segment remains strong as it builds scale.”

Mr Swanson says the company will work with advisers during the Life Insurance Framework transition.

“This means continuing to deliver innovative products and a high level of service while equipping and coaching advisers to make any necessary changes to their business models.”

ClearView reported a 76% rise to $1.2 million in after-tax profit from its advice business for the six months to December 31.

It had 243 aligned advisers at December 31, up from 221 a year earlier.

These advisers had $223 million of life premium under advice.