MLC’s position in the life insurance market was “stable” during the three months ending on June 30, although the number of claims rose.

In the National Australia Bank’s June quarter market update, CEO Cameron Clyne says life insurance sales have been “moderate”, but cross-selling within the bank is helping to maintain market share.

“Market share in insurance premiums in force was broadly stable while there was a slight deterioration in claims experience and an increase in lapses,” he said.

The bank cited Dexx&r’s March quarter research as a guideline for the June quarter results.

The research house found MLC’s total inforce annual premiums were $1.43 billion, up 6.96% on the corresponding 12 months ending March 2010.

While this was an increase in sales, MLC’s market share dropped from 16.29% last year to 15.90% this year.

The business suffered a bigger drop in total new business premiums, down 18.26%, giving it market share of 15.3% compared to 19.65% in the 12 months ending March 2010.

These figures exclude Aviva’s business, which was taken over by the bank in 2009.

Mr Clyne says integration of the Aviva business is “ahead of expectations” and the number of advisers in MLC dealer groups increased during the quarter.