HBOS General Insurance has seen its profit before tax increase by 20% to £233m in the first half of 2005, compared to the corresponding period. It's premium income increased by 12% to £941m.
Overall sales of household insurance policies increased by 19% on the corresponding 2004 period. Sales from direct channels continued to perform strongly with more than 100% increase in internet sales.
HBOS General Insurance added that despite the storms and floods earlier in the year, underwriting experience was positive in the first half of 2005, combined with relatively benign price competition in recent months.
The bank reported that sales of repayment insurance under the Halifax and third party brands increased by 17% to £517m GWP. It also added that sales of other personal lines insurance such as legal protection and annual travel continue to grow strongly.
Michael Warren, finance director, HBOS General Insurance, added: "2005 has seen an excellent start to the year for HBOS's General Insurance business. Enhanced retention from existing customers and improved claims experience has contributed to this success. Strong total growth across our product range demonstrates the increasing importance that our multi channel strategy plays in maintaining sales momentum".