Premium inflows for life insurance companies grew by 12.5% during the 12 months to December 31, according to new data from research house Plan For Life.

Continuing its strong presence in the life insurance market, Tower Australia’s growth for the calendar year was 31.5%, with premium income of $1.19 billion.

AMP also reported strong growth, up 26.4%, with inflows of $814 million while AIA recorded 19.1% growth and revenue of $883.6 million.

Leading premium inflows was NAB/MLC with $1.42 billion, but it only recorded 8.8% growth for the year.

Total life insurance premium inflows for the year were $9.3 billion.

The income protection market also reported good growth, up 10% for the year ending December 2010.

BT/Westpac led the premium growth figures with inflows up 21.3% and total revenue of $88.5 million.

AIA also reported strong growth of 19.2% followed by OnePath, up 15.3%.

NAB/MLC again dominated revenue inflows in this market segment with $80.3 million followed by OnePath with $53.5 million.

Group insurance inflows were up 17.6% for the year to $3 billion with AIA maintaining its number one position holding a 20.1% market share.

Its premium inflows for the year were up 18.9%, but this was eclipsed by Tower Australia with growth of 63% for the year.

Tower Australia has been very aggressive in the group market and now has a market share of 19.1% compared to 12% in December 2008.

Its premium inflows were $589 million for the year, well ahead of its nearest competitor OnePath with inflows of $396 million.

Metlife reported a 30.2% drop in premium inflows for the year with revenue of $171 million. Its market share has fallen from 9.8% in December 2008 to 5.6% in this reporting period.