AMP Financial Services New Zealand's profit has taken a dip due to a higher than expected number of people making insurance claims.
It made a profit of $119 million in the year to December, compared with $120 million last year.
The company says it experienced losses of $10 million due to a spike in claims.
AMP also lost customers because the number of people letting their policy lapse increased to 11%, which the company says largely reflects an increase in the price of premiums.
Managing director Jack Regan said the annual premium income still increased 4% to nearly $300 million.
Operating costs fell 4% in the second half of the year, due to better cost control and the benefits of the AXA merger.
Mr Regan says AMP's KiwiSaver schemes increased their combined assets under management by a quarter to $2.4 billion.
The company also announced plans to consolidate the AXA and AMP KiwiSaver schemes.
Shares were up 16 cents to close at $6.16 each on Thursday.