PROFITS at life assurance group Irish Life rose by 20 per cent to £48 million for the six months to end June. Profits increased despite an 11 per cent fall in group sales to £205 million.

In strong markets, group investment earnings rose £5 million to £12 million. Profits from the sale of life assurance policies rose by £3 million to £36 million.

However, in competitive markets, group sales fell, with an 11 per cent drop in annual premium income in the Irish market and a 43 per cent drop in premium income in the US. Overall, sales in the Irish market rose by 7 per cent when single premiums - once off lump sum payments - were included.

Profits were boosted by strong contributions from [group investments including AGF Irish Life and Irish Intercontinental Bank. Managing director, Mr David Kingston, said the group wanted to grow rapidly in the US where it was looking for suitable acquisitions. Page 2.