LIC’s new premium income has seen a growth of eight per cent y-o-y to Rs 1,98 trillion during the reporting period.
The private sector companies led by SBI Life has mobilised a total new premium of Rs 1,15 trillion, up 23 per cent y-o-y, in FY 2021-22
Except Future Generali Life Insurance and Aegon Life Insurance, rest of the players have recorded a positive top line growth
The industry’s total number of policies sold in 2021-22 has risen by 3.51 per cent to 2.91 crore during the year
Mumbai:
Bouncing back from Covid-19 disruptions since March 2020, led by IPO bound Life Insurance Corporation(LIC), the life insurance industry, consisting of 23 players (excluding defunct Sahara Life), has grown its total new premium by 13 per cent year-on-year (Y-O-Y) to Rs 3,14 trillion in FY 2021-22.
LIC’s new premium income has seen a growth of eight per cent y-o-y to Rs 1,98 trillion during the reporting period, according to the annual business figures released by the insurance regulator, IRDAI.
Majority of LIC’s new premium income, at Rs 1,37,359 crore(with a growth of 13per cent), has been contributed by group single premium while individual non-single premium of the corporation is at 30,000 crore during FY 2021-22.
The private sector companies, led by SBI Life, have mobilised a total new premium of Rs 1,15 trillion, up 23 per cent y-o-y, in FY 2021-22.
The private sector life insurance companies together, at 36.75 per cent, have expanded their market share by three per cent in cornering more new premium income in FY 2021-22. LIC’s market share, in the matter of new premium income, is at 63.25 per cent by the end of FY 2021-22.
However, unlike LIC, private sector life insurers, at Rs 53,371 crore ( with a growth of 22 per cent), has earned its majority of premium from individual non-single premium., the segment that gives profit to a life insurance company.
SBI Life’s total new premium income has surged by 23.43 per cent y-o-y to Rs 25,488 crore in 2021-22 and now has a market share of 8.10 per cent.
HDFC Life, the second largest private sector life insurer, with a market share of 7.73 per cent, has increased its total new premium income by 20 per cent y-o-y to Rs 24.301 crore in 2021-22.
Some of the private sector life insurers, which have earned more than Rs 5000 crore premium in 2021-22, are- ICICI Pru Life(Rs 15,036 crore, with a growth of 15 per cent), Bajaj Allianz Life(Rs 9,136 crore, 44.72 per cent), Max Life(Rs 7904 crore,15.78 per cent),Kotak Life(Rs6,143 cr,17 per cent), Tata AIA Life(Rs 5359 crore, 30 per cent).
Except Future Generali Life Insurance and Aegon Life Insurance, rest of the players have recorded a positive growth in their top lire growth in Fy 2021-22.
“Happy to have wrapped the previous financial year with a strong growth of 49 per cent in individual rated new business(IRNB) premium (the highest amongst the top-10 private market players – IRNB basis). It’s a reflection of our consolidated efforts across business parameters – including quality of the business we write, persistency that we are focusing.” Tarun Chugh, MD & CEO, Bajaj Allianz Life Insurance.
The industry’s total number of policies sold in 2021-22 has risen by 3.51 per cent to 2.91 crore during the year.
The private sector life insurers have sold 74 lakh policies, up 3.35 per cent, during 2021-22.
LIC’s total number of policies sold, has marginally gone up by 3.56 per cent to 2,17 crore in FY 2021-22 and the corporation, at 74.62 per cent( against 74.58 per cent) , has marginally gained market share over the private sector life insurers in 2021-22.