INSURANCE
New business premiums of life insurance companies jump 91% to Rs 39,078.91 crore in July: Irdai
Aug-10-2022

Insurance regulator -- the Insurance Regulatory and Development Authority of India (Irdai) in its latest data has showed that new business premiums (NBP) of life insurance companies jumped 91 per cent to Rs 39,078.91 crore in July 2022, as compared to Rs 20434.72 crore in July 2021, with strong premium growth of state-owned Life Insurance Corporation (LIC).

LIC reported NBP of Rs 29,116.68 crore in July, year-on-year 2-fold jump. In July last year, LIC reported NBP of Rs 12030.93 crore. LIC’s strong premium growth in July is primarily on the back of a jump in group single premium and non-single premium.

On the other hand, private insurers reported 18.54% growth in NBP at Rs 9962.22 crore in July 2022, as compared to Rs 8403.79 crore in July 2021. Private insurers have reported sound growth in group single premiums and group renewal premium.

Among the top life insurers in terms of market share, SBI Life’s NBP rose 29% in July, while ICICI Prudential Life’s NBP jumped 16.20%, and Max Life’s NBP was up by just 1.67%. On the other hand, HDFC Life reported a contraction of 5.70% in NBP during the same period.

In FY23 so far, life insurers’ have reported a 54.12% YoY increase in premiums to Rs 112753.43 crore, with LIC’s premium witnessing 62.32% growth and private insurers growing 38.81% YoY. NBP is the premium acquired from new policies for a particular year. It is the sum total of first year premium and single premium accounted for during the year.

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