LIC beats private firms in premiums

The insurer reported first-year premium of ₹89,980.2 crore

October 15, 2019 10:39 pm | Updated 10:45 pm IST - Mumbai

According to latest data released by the insurance regulator, LIC reported first-year premium of ₹89,980.2 crore, while private sector insurers’ new premium collection grew by 20.88% to ₹35,777.89 crore during the April-September period.

According to latest data released by the insurance regulator, LIC reported first-year premium of ₹89,980.2 crore, while private sector insurers’ new premium collection grew by 20.88% to ₹35,777.89 crore during the April-September period.

State-run insurer Life Insurance Corporation of India (LIC) has registered a 41.74% growth in first-year premium collection for the April-September period of the current financial year, outperforming the combined growth rate of all private sector life insurance players put together.

According to latest data released by the insurance regulator, LIC reported first-year premium of ₹89,980.2 crore, while private sector insurers’ new premium collection grew by 20.88% to ₹35,777.89 crore during the April-September period.

Overall, the insurance industry logged 35.11% growth in premium collection to ₹1.26 lakh crore.

At the end of September, LIC had market share of 71.55% as compared to 68.20% a year ago, while the private sector markets share was 28.45% as compared to 31.80%. HDFC Life, which collected ₹8,007.2 crore first-year premium, had the higher market share with 6.37%, followed by SBI Life with 6.21% market share, and ICICI Prudential Life with 4.1% market share.

A report by Kotak Securities said individual annualised premium equivalent APE declined 3% on year in September as compared to 11-27% on year growth in April-August 2019.

APE refers to 100% of regular premiums and 10% of single premiums collected.

“Overall APE was up 3% y-o-y on the back of stronger group business. ICICI Prudential Life’s APE declined for the third month, albeit at a lower pace,” the report said.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.