New Delhi:

The Value of New Business (VNB) of Max Life Insurance Company increased by 42 percent  to Rs 290 crore due to a significant growth in new business as well as higher share of protection products in the first half of the financial year 2018-19.


Gross written premium of the company grew by 17 per cent to Rs. 5,619 crore, while the new business premium grew by 21 per cent  to Rs 1,909 crore and the renewal premium recorded growth of 15 per cent to Rs 3,711 crore in H1 FY19 over H1 FY18. 


During this period Individual Annualised Premium Equivalent (APE) went up to Rs 1,405 crore, recording a growth of 26 per cent.

As on 30th September 2018, the Embedded Value (post interim shareholder dividend) stood at Rs. 7,752 crore, with an Operating Return of Embedded Value (RoEV) of 18.5 per cent.

The company’s Assets Under Management (AUM) increased by 17 per cent  YoY to Rs. 56,070 crore.

The Board of Directors of Max Life Insurance in a board meeting held on 25 October 2018, approved an interim dividend of Rs 282 crore (including dividend distribution tax).

Prashant Tripathy, Senior Director and Chief Financial Officer, Max Life Insurance said, "One of the strategic priorities for Max Life is to deploy digital technologies and analytics models across the life insurance value chain to achieve best in class customer experience and efficiency in our operations.”

Some key business parameters of the company during H1 FY19:
•30 per cent policies sold during H1 FY19 were pure protection policies, with a YoY growth of 56 per cent . E-commerce channel contributed to 13 per cent of total policies sold in H1 FY19.
•Shareholder’s profit (Pre Tax) recorded an increase of 17 per cent  to Rs 276 crore in H1 FY19 from Rs. 236 crore in H1 FY18.
•Solvency Ratio of 262 per cent (pre dividend), which is significantly higher than the regulatory requirement of 150 per cent, indicating the company’s strong and stable financial position. 
•The company recorded 13thmonth persistency of 83.9 per cent  and 61stmonth persistency of 54.5 per cent in H1 FY19, up by 230 bps and 110 bps respectively as compared to H1 FY18. 
•Sum Assured has increased by 42 per cent  to Rs. 6,16,528 crore in H1 FY19 from Rs. 4,35,524 crore in H1 FY18.