AIB's life assurance and pensions company today reported a decline in sales for its financial products in 2002 due to the demand for SSIAs and weak investment markets.
Ark Life's new premium business amounted to €131.6 million compared with €147.4 in 2001.
Ark Life's managing director, Mr Billy Flynn, described 2002 as a "challenging" year for life assurers. Mr Flynn said the beginning of the year was dominated by the SSIA campaign, which meant Ark Life's new savings in 2002 as a whole were down on 2001 and this was the main reason for the overall decline from 2001.
However, Mr Flynn said now that people's savings needs have been satisfied there has been a surge in core protection business, with Ark Life's new business on this front up by 37 per cent on 2001.
The third successive year of stock market falls also provided a difficult backdrop for new lump sum investments. But Ark Life says it has expanded its range of guaranteed and tracker-type products - which are more attractive to investors in bear markets.