Almost 90% of these regular premium sales have been introduced electronically through its sales and admin tool, Hansard Online.
The firm added that despite the closure of Hansard Europe following a number of litigation suits in this segment, as well as a drop in single premiums, new business was still performing strongly and 7.4% above last year.
Hansard added in its results statement that the initial costs of acquiring this new business were funded by "positive operating cash flows of £41.4m generated from the existing policy book".
In accordance with its strategy, the less profitable single premium sales side of its business has fallen year on year, with new business in this area accounting for £32.5m in 2013 in contrast to £51.3m last year.
Gordon Marr, group chief executive officer said that while wider market conditions were uncertain he was confident that the group’s strategy of focusing on regular premium business “would bear fruit.”
He added “We achieved a record level of regular premium new business in 2013. This demonstrates the success of our strategy of focusing on regular premium business in growth markets.”
Marr did add however, that over the coming year the company would be “refreshing certain aspects of the group’s new business strategies” following the appointment of new chief distribution officer, Graham Morrall to “further diversify new business flows, reduce risk and increase the scale of our business.”
Segment wise – based on commission payouts to intermediaries – the Far East appears to have been Hansard’s top performer. Net issued compensation credit to intermediaries in this territory amounted to £12.5m this year in comparison to £7.8m in 2012.
In all other territories however, commission year on year has fallen. Latin American fees amounted to £3.3m compared to £3.8m last year; the EU and EEA fees amounted to £1.5m compared to £2.9m in 2012 while for "the rest of the world" commission fees to intermediaries amounted to £1.5m in 2013 compared to £1.6m in 2012.
In its results statements Hansard anticipated that its European exit would amount to an annual expense saving of £0.4m from 2015. Its Hansard Europe litigation settlements have so far totaled £1.6m (€1.9m) relating to underlying legal claims of approximately €9.5m.
The company added that there remain a number of writs served upon Hansard Europe, totalling €4.6m or approximately £3.9m.
