The number of plans sold during the period dropped by 13.23 percent to 433,985 from 500,159 the previous year, the SEC report added.
Pension plans accounted for bulk of sales with 224,470 units sold, representing a 19.68 percent decline from 279,493 in 2002. The value of their sales also slipped to P13.83 billion from P19.38 billion a year earlier.
The number of education plans sold likewise slid by 28.18 percent to 117,053 from 162,985 a year ago. The value of their sales likewise declined to P10.14 billion from P11.22 billion.
The number of life plans sold, on the other hand, increased by 60.3 percent to 92,462 units from 57,681 units. In effect, the value of the sales of these plans grew to P2.45 billion or an improvement of 45.83 percent from the previous year’s P1.68 billion.
College Assurance Plans Phils. Inc. emerged as the top seller of education plans for the period under review. The company sold a total of 32,701 education plans valued at P1.895 billion. In terms of sales, however, Prudentialife Plans Inc. ranked first with P2 billion for a total of 19,186 units sold.
Among issuers of life plans, St. Peter Life Plans Inc. led the pack with 20,018 units sold valued at P350.7 million. In terms of sales, however, Pacific Plans topped the list with P458.01 million.
The pre-need industry has faced difficult challenges in meeting investment objectives based on the assumptions of expected returns under more favorable economic and market conditions.
Some pre-need companies had been affected by the continued slowdown in the property sector and the decline of the stockmarket.
With few investment alternatives, the pre-need investment portfolio has been invested mainly in real estate, listed stocks, treasury bills and government bonds, and bank deposits.
Sales of pre-need plans dropped by 10.08 percent last year to 607,155 from 675,187 in 2001.