The Indian life insurance sector has witnessed its income from the sale of policies growing by 10.7% to touch a sum of Rs.2.15 lakh crore in FY19, in comparison to a cumulative income of Rs.1.94 lakh crore in the previous financial year.
LIC’s new business growth, however, has reduced to 5.7% with a total premium of Rs.1.42 lakh crore in FY19, as against a total premium Rs.1.35 lakh crore in the previous financial year. The drop witnessed by LIC in its premium collection has been attributed to a drop in the insurer’s premium earned via the sale of new policies to individuals.
The cumulative new business premium of private-sector life insurance companies grew by 22% to touch Rs.72,481 crore in FY19 from Rs.59,314 crore in FY18.
Among the private-sector life insurance companies, HDFC Life, ICICI Prudential Life Insurance, SBI Life Insurance, Bajaj Allianz Life Insurance, and Max Life Insurance have accounted for 22.8% of the total premium collected by the life insurance industry, while the other 18 private-sector life insurers have an 11% share.
Tata AIA Life, whose new business premium rose by 66%, and Aditya Birla Sun Life, whose new business premium increased by 47%, are the two quickest growing life insurance firms in the country. The other insurance firms in the life insurance sector that witnessed high growth were IndiaFirst Life Insurance, HDFC Life Insurance, Edelweiss Tokio Life Insurance.
Source: The Times of India