Since 1995 the FSA has required that every year regulated firms provide it with information about the persistency of their life assurance and pension business. Persistency is based upon the proportion of investors who continue to pay regular premiums to their life and pension policies, or who do not surrender their single premium policy.
The FSA has published its annual 2007 Survey of the Persistency of Life and Pension Policies (the Survey). In the Survey the FSA has found, in most areas, similar levels of persistency to those reported in recent years. The FSA also found that for regular premium policies, there was a continuation in lower levels of persistency at longer terms. However, the persistency for personal pensions continues to fall. For single premium life policies the persistency rates generally show small falls, but for pensions, the persistency rates are generally the lowest reported.
View 2007 Survey of the Persistency of Life and Pensions policies, (PDF 439KB), 5 November 2007