Aviva’s new business up in Q3

Insurer Aviva has posted strong results for the third quarter of 2014, as new business rose 10 percent in the first nine months of 2014.

This was driven by growth in its European market of 40 percent and growth in its Asian market of 47 percent.

Its UK life business returned to growth in the third quarter with new business value up 18 percent to £120 million, which offset some of the decline caused by the new annuity legislation.

The insurer’s combined ratio hit 95.9 percent in the first nine months of 2014, compared with 96.9 percent in the first nine months of 2013.

Its operating capital stayed level at £1.3 billion for the first nine months of 2014.

Mark Wilson, chief executive officer of Aviva, said: “Aviva’s turnaround is delivering. Our key metrics have improved again. Year to date, our net asset value is 10 percent higher; value of new business is up 15 percent and the general insurance combined ratio improved to 95.9 percent.

“The steps we have taken to focus and strengthen the group mean we are in a different position to two years ago.

“Notwithstanding this progress, there is still more to do before we can be satisfied we are fully delivering on our investment thesis of cash flow plus growth.”