Consumer spending on insurance grew 1.2% last month – the biggest rise among 12 categories monitored by Commonwealth Bank.

The seasonally adjusted increase snapped three straight months of decline, according to the bank’s household spending insights report for July.

However, annual insurance spending eased from 8.3% to 5.6%.

“We saw strong growth in insurance in the ... month,” CBA senior economist Ashwin Clarke told insuranceNEWS.com.au.

Over the year, strong gains were recorded in pet insurance, life insurance and health insurance, he says. “On the other hand, weaker results were recorded in travel insurance, which has been impacted by the war in the Middle East, as well as landlord insurance.”

The report says travel and landlord cover recorded “large contractions” in the year to July.

Overall consumer spending grew by a seasonally adjusted 0.6% last month. Recreation posted a 1.1% rise, second behind insurance. Hospitality placed third on 1%.

“Spending on the football World Cup, which ended on July 19, and The Odyssey movie likely supported the increase in spending over the month,” CBA said.

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