 "Life insurance, insurance")
In the period under consideration, the life insurers posted nearly 12 per cent growth in the sale of policies. Photo: Shutterstock
First-year premium of life insurance companies posted nearly 23 per cent year-on-year (Y-o-Y) growth in the April-June period of the current financial year (FY25), tracking healthy double-digit growth among the public and private sector insurers.
According to the data released by the Life Insurance Council, the new business premium (NBP) increased by 22.91 per cent Y-o-Y to Rs 89,726.7 crore in Q1 FY25 from Rs 73,004.87 crore in Q1 FY24.
Life Insurance Corporation of India (LIC) clocked 28.11 per cent growth to Rs 57,440.9 crore in the three-month period ended June 30, 2024, aided by growth in group premium. LIC, the market leader in the group insurance segment, recorded a 33.49 per cent rise in its Group Single premium to Rs 44,671.86 crore in the April-June quarter of FY25 from the same period last year.
On the other hand, private life insurers clocked a 14.62 per cent Y-o-Y improvement in their premium to Rs 32,285.8 crore from Rs 28,167.66 crore, supported by healthy growth in the individual segment.
“Low base effect, increased insurance coverage and increase in single premium drove the growth in life insurance premium in the first quarter of FY25. In the quarter, individual single premiums have seen a decent growth. There is definitely an element of low base, but, in the last two months, the sum assured has also been rising. In FY25, the premiums are likely to grow by nearly 13 per cent,” said Saurabh Bhalerao, associate director, CareEdge Ratings.
Other major players, including HDFC Life, Bajaj Allianz Life Insurance, and Max Life Insurance, posted 9.19 per cent, 17.78 per cent, and 11.87 per cent growth, respectively.
In the quarter ended June 30, 2024, the market share of LIC stood at 64 per cent compared to 61.4 per cent in the corresponding period last year. The share of private insurance companies accounted for 35.9 per cent of the NBP compared to 38.6 per cent last year.
In the period under consideration, the life insurers posted nearly 12 per cent growth in the sale of policies.
New Business Premium
|
Life Insurance Data |
Jun-24 |
% Growth YoY |
April-June FY25 |
% Growth YoY |
|
Total New Business Premium |
42433.7 |
14.80 |
89726.7 |
22.91 |
|
Life Insurance Corporation of India (LIC) |
28366.9 |
13.60 |
57440.9 |
28.11 |
|
Private Insurers |
14066.8 |
17.31 |
32285.8 |
14.62 |
|
SBI Life Insurance |
2989.95 |
21.80 |
7032.69 |
13.33 |
|
HDFC Life Insurance |
2694.29 |
8.31 |
6540.34 |
9.19 |
|
ICICI Prudential Life Insurance |
1510.9 |
14.10 |
3768.55 |
23.51 |
|
Bajaj Allianz Life Insurance |
1082.45 |
21.99 |
2539.93 |
17.78 |
|
Max Life Insurance |
893.97 |
-5.68 |
2073.46 |
11.87 |
In (Rs) cr
Source: Life Insurance Council
First Published: Jul 08 2024 | 3:35 PM IST
