Tower Australia Group Ltd. (ASX:TAL) says that premiums have exceeded $1 billion for the first time during the June 2010 quarter.

The company reports new business growth was flat for the year, reflecting product transition from three product offers down to one, with a general market slowdown in adviser sales impacting the Retail Life business.

Tower says from August, the ALI Group will no longer write individual business of around $4 million per quarter with the company, following a new corporate arrangement from the distributor.

The company has advised new business growth of 207% in Group Risk over the quarter, and says this figure reflects the inclusion of new income protection benefits to 700,000 AustralianSuper members, increasing premiums by $80 million per annum.

Tower reported a $46.42 million profit for the year ending 30 September 2009.