Life insurance sales climb but penetration rates remain low

Banks need to reconsider distribution channels if they are to reach meaningful levels of life sales, according to new research

US banks grew their new life insurance sales revenue by an estimated 15% in 2005, according to a new study. This increase came on the back of a similar rise in revenue the previous year. However, the research – carried out by Connecticut information and consulting service Kehrer-LIMRA – revealed that the banking sector has yet to reach meaningful revenue and customer penetration levels.