The life industry suffered a weak December quarter as investment returns plunged and key risk products delivered lower underwriting earnings.

Net profit from continuing operations collapsed to $9 million from $459 million in the September quarter.

Investment returns fell to $1.16 billion from $2.69 billion and the insurance service result – a measure of underwriting performance – dropped to $85 million from $638 million.

Insurance revenue for the December quarter fell to $5.63 billion from $6.17 billion.

Among the key risk products, individual disability income’s insurance service result slipped to $176 million from $384 million; group disability income weakened to $48 million from $129 million; group lump sum made a $39 million loss after a $47 million profit; and individual lump sum’s loss worsened to $183 million from $88 million.