This week, we outline an update from Limra on third quarter premium results and a summary from CNBC on Medicare drug price increases over the past five years.
Limra: Third Quarter Individual Life Premium Increase Two Percent | Limra, December 5, 2016
Third quarter individual new annualized premium rose 2 percent, compared with prior year, according to the LIMRA U.S. Retail Individual Life Insurance Sales Survey.
In the first nine months of 2016, total new annualized premium increased two percent.
“Whole life sales, which have experienced 10 consecutive years of positive growth, played an integral role in overall life insurance sales growth this quarter,” said Ashley Durham, associate research director, LIMRA Insurance Research. “Continued market volatility and low interest rates make whole life products attractive to consumers looking for protection and steady investment growth.”
Total individual life insurance policy count increased one percent. LIMRA anticipates overall policy count to be positive at year end. This would result in the second consecutive year of positive growth, which has not occurred since 2012.
Many Medicare drugs soared in price over past five years, new data reveals | CNBC.com, December 8, 2016
The prices of many prescription medications for the nation’s mammoth government-run Medicare program jumped sharply from 2011 through 2015, with double-digit percentage increases often seen, according to new data released by federal health officials.
Those price hikes included quadruple-digit percentage increases for many inexpensive medications, and triple-digit percentage increases for some pricier drugs.“You’ve got specialty medications, which are going up by a large dollar amount, and you’ve got generic medications, which are going up by a large percentage amount,” said Andy Slavitt, acting administrator for the federal Centers for Medicare and Medicaid Services, which released pricing data on 5,000 drugs.
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