Managers of the life operations at Hartford Financial Services Group Inc. wrung a 13% increase in revenue out of their business in the second quarter despite a 29% drop in annuity sales.[@@]
Hartford Financial, Hartford, is reporting $602 million in net income for the latest quarter on $6.1 billion in revenue, up from $433 million in net income on $5.4 billion in revenue for the second quarter of 2004.
The multiline insurer’s Hartford Life unit is reporting $287 million in operating income for the latest quarter on $3 billion in revenue, up from $253 million in operating income on $2.6 billion in revenue.
Sales and deposits for individual annuities fell to $2.9 billion, from $3.9 billion, and sales and deposits for fixed annuities fell to $72 million, from $246 million.
Although annuity sales were weak, overall individual annuity revenue increased 7.7%, to $629 million, and the U.S. 401(k) plan operations, U.S. group benefits operations and operations in Japan did well, Hartford says.
Hartford has been working hard to promote its group disability unit, and sales there increased 20%, to $42 million.