Lloyds TSB Insurance reported a 16% increase in pre-tax profitx to £243m in 2006.
Gross written premiums (GWP) relating to new home insurance sales gained through the Lloyds TSB UK retail bank rose by 42% in 2006.
New GWP for the SME general liability product rose by 133%.
The group's corporate partnership strategy progressed with two new accounts won during 2006, the bank said. In April, Lloyds TSB Insurance won the tender to supply home and motor insurance to Home Retail Group customers.
In July the insurer acquired the new and existing general insurance business of Pearl Group and the right to market a range of products under the Pearl brand.
The existing book of business was transferred across to Lloyds TSB Insurance with effect from 1 November 2006.
Phil Loney, managing director of Lloyds TSB Insurance, said: "2006 has seen further progress in the implementation of our strategy, with particularly pleasing progress in growing our stand-alone sales of property insurance through the branch network and in the corporate partnering arena.
"We continue to grow our presence in the SME market through leveraging our business banking customer base and using our personal lines expertise to grow sales of commercial insurance through direct channels."
While claims increased slightly to £200 million in 2006, the claims ratio fell to 32 per cent from 34 per cent in 2005 reflecting benefits in re-engineering the claims processes. Lloyds TSB Insurance is now implementing the final phase of its claims re-engineering programme which deploys a SAP claims system across the property and creditor product lines.
Loney added, "Having largely completed the development of new capabilities in claims management, pricing and retention management our focus is on profitable organic growth through the group's franchise and channels and our growing range of corporate partnerships."
