LONDON (Alliance News) - Esure Group PLC Thursday said premiums grew across the business during the first quarter of the year whilst income at Gocompare.com has soared, as the company reiterated its guidance for the full year.
The general insurance provider said gross written premiums were 16% higher in the first quarter of 2016 at GBP151.0 million compared to the GBP130.7 million reported a year earlier whilst the volume of in-force policies in place was 1.7% higher in the quarter to over 2.0 million.
Gross written motor premiums rose 17% in the quarter to GBP128.9 million from GBP110.1 million a year earlier and home premiums grew 7.3% at GBP22.1 million from GBP20.6 million.
The number of policies in force related to motors was 1.7% higher year-on-year at 1.5 million from only 1.4 million, whilst the amount of home policies on its books rose 1.9% to 577,000 from 570,000 at the end of March 2015.
Additional services revenue was also up 4.1% in the quarter to GBP25.4 million from GBP24.4 million, which esure said was in line with year-on-year policy growth.
The company's Gocompare.com price comparison unit has also seen income soar by 19% in the quarter to GBP36.3 million from only GBP30.5 million a year earlier.
"The new advertising campaigns, largely focused on Money products, are delivering in line with our expectations. We continue to invest in Gocompare.com and we expect to increase Gocompare.com's profit before tax by 20 to 30% in 2016," said Chief Executive Stuart Vann.
Esure said it remains well capitalised and in a strong financial position after the first three months of the year.
"We are on track to deliver on our guidance for 2016," added Vann.
Esure shares were trading up 2.2% to 274.90 pence per share on Thursday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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