Life insurance in France continued to save billions of euros in the first half, but has seen its total outstanding debt eroded by the decline in the value of some riskier investments, France Assureurs said on Wednesday. This is a savings productrecorded an excellent first half of the year“, Franck Le Vallois, the managing director of this professional federation, was welcomed during a conference call. The savings flow was positive in the first half, with €76.4 billion contributions or deposits – the highest level since 2010 – and € 64.3 billion payments (withdrawals). Net inflows thus increased by 1.8 billion euros compared to the same period of the previous year and reached 12.1 billion euros. However, it does not compensate for the decline in the valuation of certain investments in life insurance: certain units of account (UC), which are riskier but potentially more profitable, have been maltreated since January 1, mainly due to the bad shape of the markets.
At the end of June, life insurance outstanding debts amounted to €1.821 billion, ie €55 billion less than at the end of December 2021. Despite this, subordinate units still attract savers: in contrast to euro funds with guaranteed net inflows (+20.9 billion euros) capitalized (-8.8 billion euros). June also reflects this trend.”Not newTo UC’s advantage, Mr. Le Vallois underlined, vector according to him “seeking better diversificationamong the saviors. Diversification also to the advantage of Livret A since the beginning of the year: The net inflow of this regulated product (+16.5 billion Euros) is higher than life insurance during the period, yet five times less (359.8 billion Euros) unpaid). A dynamic that should continue as Livret A moves to 2 percent on August 1, that is, more than the number of euro funds.
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