Hela July 15, 2019

LIC recorded two-fold rise in its new premium collection to  26,030.16 crore

Led by LIC, life insurers’ collective new premium income jumped 94 per cent to 32,241.33 crore in June this year, according to data from Insurance Regulatory and Development Authority.

All the 24 life insurers had written new gross premium of 16,611.57 in the same month a year ago.

The country’s largest life insurer LIC, which is the only state-owned life insurance firm, witnessed more than two-fold rise in its new premium collection to 26,030.16 crore in June, from 11,167.82 crore in the same period last year.

With this high growth in business, the market share of the insurance behemoth increased to 74 per cent. Remaining 26 per cent has been shared by rest of the 23 private sector players operating in the space.

During the month, LIC sold 13.32 lakh policies to collect over 25,000 crore in just one month.

Private players performance

Private sector players witnessed an increase of 14.10 per cent in their collective new year business premium at 6,211.17 crore in June, as compared to 5,443.75 crore collected in the year-ago month.

Among the private players, HDFC Life’s new premium rose by 21 per cent year-on-year at 1,358.45 crore; SBI Life up 28.14 per cent at 1,310.07 crore; ICICI Prudential Life up 26 per cent at 897.98 crore; Bajaj Allianz up 51 per cent at 468.51 crore; Max Life up 16 per cent at 421.87 crore; Kotak Mahindra Life up 8 per cent at 291.89 crore and Tata AIA Life posted 90.26 per cent rise to 258.95 crore in June.

India First Life business premium fell 54 per cent to 119.31 crore; DHFL Pramerica Life by 65 per cent to 48.87 crore; Aditya Birla Sun Life by 40 per cent to 212.46 crore; and Reliance Nippon Life by 6.84 per cent to 66.81 crore.

Cumulatively, the new premium generated by all the 24 life insurers during April-June period of this fiscal rose by 65 per cent to 60,637.22 crore.

The April-June, 2019-20 new premium income of LIC increased by 82 per cent to 44,794.78 crore.

The remaining private sector players’ collective cumulative fresh premium rose by 32 per cent to 15,842.44 crore in the first quarter of the current fiscal.