Our Profit-Share has Grown
After another Profit-Share assignment our Members total Profit-Share Account balance has grown yet again.
Total Profit-Share Account Pool
IT PAYS TO HAVE A PPS MUTUAL POLICY
Every Member is entitled to a share in the profits of the insurance that they buy. And this year is the seventh consecutive year they’ve been rewarded with a profit share assignment.
Total number of
PPS Mutual Members
as of 30 September 2023:
10,248
Total Profit-Share
Assignment for 2023:
$2,220,391
Total Profit-Share
Account
Pool:
$7,900,000
The Profit-Share Pool has more than TRIPLED over the last 3 years
$2.4m
in 2020
$7.9M
in 2023
One Member has
accrued over $30,000 in
Profit-Share
Members have been
rewarded with a
Profit-Share every
year since we
started in 2016
348 Members
have accrued
more than
$3,000 in
Profit-Share
37 Members have
accrued more than
$10,000 in Profit-Share
And one Member has
accrued $14,000 in
Profit-Share despite
only paying one
premium before
claiming.
BUSY REWARDING MEMBERS
Our members have been consistently rewarded with profit share assignments and interest on their profit share accounts.
% of profit assigned to member accounts |
Interest earned on member accounts |
|||
| 2017 | 8.0% | + | NA | |
| 2018 | 7.0% | + | 2.0% | |
| 2019 | 7.0% | + | 4.0% | |
| 2020 | 7.0% | + | 4.5% | |
| 2021 | 6.0% | + | 2.75% | |
| 2022 | 3.5% | + | 1.75% | |
| 2023 | 3.5% | + | 3.9% | |
PROFIT-SHARE FOR MEMBERS
Members Profit-Share Account Balances have increased every year since our inception.
Profit-Share Assignment 
Profit-Share Account Balance 
These figures are illustrative only, showing assignments and balances based on the actual premium dollar amount that a hypothetical PPSM Member who paid an initial annual premium of $6,168 when joining PPSM in 2016 (being an approximate average total premium, with indexation and plan fees applying in line with our rates since 2016).
LOWER LAPSE RATES
Thanks to our consistent profit-share assignments, once members join us they very rarely leave.
PPS Mutual
lapse rate
4.3%
Industry average
lapse rate
15%
Source: NMG Retail Advice Channel Risk Distribution Monitor Q2 2023.
PPS Mutual and the profit share offering have been a breath of fresh air in the life insurance industry. It provides great peace of mind as an adviser recommending their products that the business is centred around member service/benefits. Every other insurer in the market has the competing interests of delivering shareholder returns and/or client service. These interests aren’t always aligned and we know which comes first in shareholder owned companies. It will be a great pleasure when clients get to the end of their insurance journey being able to return their profit share accounts.
*Details of the profit-share plan (including accessing a profit-share account) are available in the PDS – speak to your adviser about any questions.