Freedom Insurance has reported a 78% rise in inforce premium to $89.7 million for the six months to December 31.

The recently listed insurer’s customer numbers totalled 241,000 at December 31.

Revenue for the half-year was up 116% to $25.7 million.

Upfront commissions earned Freedom $18.1 million in the six months, up 176% on the corresponding period in 2015. Trails were up 91% to $2.4 million.

Freedom increased its clawback provisions to $4.7 million for the six months, up from $1.6 million.

Expenses were up 43% to $14.6 million, but Freedom reported a 573% rise in after-tax profit to $7.1 million.

CEO Keith Cohen says the result is due to strong growth in new business and declining lead-generation costs.

New business sales totalled $31.8 million, with lead-generation costs accounting for 11% of this figure – lower than the 16% predicted in Freedom’s listing prospectus.

Freedom has a retention rate of 92% for its direct business.

“Strong revenue growth was achieved with savings in marketing and lead-generation costs,” Mr Cohen said.

“These costs were lower… due to increased efficiencies and competitive pressure among suppliers of leads.”

For the full financial year, Freedom predicts sales of $59-$64 million and pre-tax profits of $18-$21 million.

It plans to introduce new mortgage protection and direct life products in the fourth quarter of the year.