Clarica Life Insurance is reporting a 30% increase in net income for the second quarter ended June 30.

The firm posted net income of $105 million, or 78¢ a common share, up from $81 million, or 60¢ a share a year earlier.

Total assets under administration were $46 billion at quarter end, up 7% from $43 billion a year earlier. Total gross premiums, deposits and ASO equivalents for the second quarter rose10% to $1.7 billion over the same period in 2000, primarily due to growth in Pension & Group Savings, U.S. and Reinsurance.

Total wealth management premiums and deposits rose 15% from the 2000 second quarter to $765 million at June 30, 2001 as a result of growth in Pension & Group Savings.

Bob Astley, Clarica president and CEO, said “as a result of Clarica’s strong financial performance in the first half of 2001, we are raising our earnings expectations for all of 2001 from the 10% to 15% range previously forecast.”

Return on equity reached 14% at the end of the first half of 2001.

For the first six months of 2001, earnings rose to $195 million, or $1.45 per share, a 29% improvement over the $151 million, or $1.12 per share a year earlier. Clarica said results for the latest six months included three significant items reported in the 2001 first quarter: $17 million (after tax) of integration expenses associated with the acquisition of the Canadian defined contribution group pension business of Royal Trust, a gain of $5 million from finalization of the life retrocession acquisition and a release of $6 million in tax provisions following the successful completion of a tax audit, which related to the 1997 disposal of a business unit.