ClearView Wealth says its life division is a key focus going forward after a strategic review failed to attract offers of “appropriate value” from external parties locally and overseas.

The life business is now the “main profit driver” for the listed company, achieving a 23% rise in operating earnings after tax to $28.9 million in the last financial year.

“How do we see the future at Clearview? ClearView continues to focus on growing its life insurance business,” Chairman Geoff Black said in his address to shareholders at the annual general meeting last week.

“The business, especially the life insurance business, is building strong momentum, which is reflected in the improved financial performance.”

He says “tough decisions” made in recent years such as tightening of policy benefits, raising premium rates and focusing on customer retention has strengthened the life division.

MD Simon Swanson says the strategic review has been beneficial as it provided useful insights.

“As a result, we have identified a number of areas of opportunity and growth, which we intend to focus on,” he said. “We believe the outlook for ClearView and the broader life insurance industry is positive.”

He says the life insurance market has shown strong resilience during a difficult period and is now seeing growth accelerating through an improved regulatory outlook and return to industry profitability, driven by structural reforms focused on sustainability.

“These tailwinds are further supported by an increasing interest rate environment which is a further positive for ClearView,” Mr Swanson said.

“More specifically, good claims and lapse management… gives us much confidence that ClearView can continue to grow both profitably and strategically.”

The company reiterated its FY2022/23 guidance for group underlying net profit after-tax of $28.5-30 million. In the last financial year, group underlying net profit after-tax surged 22% to $26.4 million.