A growing part of Italians’ savings is returning to life insurance policies linked to the financial markets. The most significant data concerns unit-linked policies, which in the first quarter of 2026 collected 11.5 billion euros, 6.8% more than in the same period of the previous year. These are life insurance policies in which the paid-up capital is invested in funds: the final value depends on market trends and, except for specific contractual guarantees, may be lower than the premiums paid.
The change emerges from the new IVASS analysis of insurance collection. It doesn’t mean that unit-linked is always preferable or necessarily riskier than any other solution. It means, however, that an increasing amount of money is entrusted to products in which the result depends on the performance of the underlying investments.
A policy taken out in a bank or at the post office does not therefore become a deposit and does not automatically guarantee the full repayment of the capital.
How life insurance policies are changing in Italy
In the first quarter, insurance companies with a stable organization in Italy collected a total of 46.3 billion euros, a value almost unchanged compared to 2025. The stability of the total hides, however, very different movements.
| Typology | Harvested in the first quarter of 2026 | Annual variation |
| Traditional life policies, branch I | 19.3 billion | -4.0% |
| Unit-linked, branch III | 11.5 billion | +6.8% |
| Insurance pension funds, branch VI | 1.1 billion | -19.6% |
| Long Term Care policies, branch IV | Almost 100 million | +16.3% |
The decline in branch VI only concerns pension funds managed by insurance companies, not all Italian supplementary pensions. Furthermore, 85.6% of Life collection comes from single premiums: in most cases, therefore, the capital is paid in a single solution and not through periodic payments.
What are unit-linked policies
Unit-linked policies combine insurance coverage with a financial component. The premium, net of the costs envisaged by the contract, is invested in shares of funds within the company or of external investment organisations.
The value of the policy changes following that of the shares. If investments rise, capital can increase; if they go down, the amount that can be liquidated may also be reduced. As the QuiFinanza guide on life insurance explains, these solutions therefore have a different nature from traditional policies linked to separate management.
| Element | Traditional policy | Unit-linked policy |
| Main destination of the prize | Separate management | Internal funds or UCIs |
| Result | Connected to the management of the company | Linked to the value of the shares |
| Oscillations | Generally smaller | They depend on the underlying markets |
| Capital guarantee | It may be provided for in the contract | It’s not automatic |
| Early redemption | May suffer penalties | It depends on the value of the shares and the costs |
| Documents to check | Conditions and additional DIP | KID, additional DIP and conditions |
The presence of the insurance component does not therefore eliminate the financial risk. Some contracts may provide protections or guarantees, perhaps only upon expiration or in the event of death. However, they must be found expressly in the documentation: they cannot be taken for granted.
Because unit-linked are growing again
The recovery can be favored by market trends and the search for returns higher than those of more prudent solutions. Distribution also matters.
According to Ivass, bank and post office branches intermediate 60% of the entire Life collection. Together with financial advisors, the share reaches 76.2%. In class III alone, that of unit-linked, almost 30% of the collection passes through consultants.
This capillarity makes the products easily accessible, but should not replace comparison. The distributor is responsible for evaluating the suitability of the solution with respect to his knowledge, financial situation, objectives and ability to bear any losses.
How much the costs can weigh
Financial policies can have multiple levels of expense: premium costs, annual contract fees, costs of the underlying funds, any performance fees and penalties in the event of early exit.
A seemingly modest difference can become significant over the years. In a purely illustrative simulation, 10 thousand euros invested for ten years at 4% per year would grow to approximately 14,802 euros. With an annual percentage point of additional cost, and, therefore, a hypothetical net growth of 3%, the value would drop to around 13,439 euros: over 1,360 euros of difference, before taxes.
The simulation does not represent the performance of a specific policy. It shows why in the KID, the document containing key information, it is not enough to look at favorable scenarios.
What happens if you leave early
Early redemption is one of the most underrated steps. The amount received may depend on the value reached by the shares on the day the request is processed. If the markets go through a negative phase, the loss can be added to any contractual penalties.
Ivass explains how to monitor the progress of a life insurance policy: for unit-linked companies the companies publish the value of the unit and send an annual report with premiums paid, surrenders and main information on the contract.
Before signing, it is advisable to obtain written answers to five questions:
- Is the capital guaranteed, and under what circumstances?
- Where is the premium actually invested?
- How much do all the costs affect in total?
- How much would I receive by leaving after one, three or five years?
- What loss could I suffer in the unfavorable scenario?
When a unit-linked can be coherent
A unit-linked can meet investment, estate planning and insurance protection needs, provided that the duration, risk and costs are compatible with the client’s profile.
It becomes problematic when it is chosen with the intention of purchasing a product similar to a deposit account, when the money could be needed in the short term or when the difference between the premium paid and the capital actually invested is not clear.
