India’s life insurers registered upbeat revenue growth in July aided by strong growth in new business premiums of Life Insurance Corporation of India, the country’s largest insurer.
The industry’s new business premium stood at Rs 39,079 crore in July 2022, according to provisional data released by the Life Insurance Council. That is more than double the revenue in July 2021, while also reporting a jump of 89% over the same month in pre-pandemic 2019. This doubling of revenue was despite a mere 9% year-on-year growth in number of policies sold over a year ago.
Growth was led by the group single and non-single category premium. The group single category, which constitutes 71% of the revenue for July, jumped around 1.9 times bolstering the new business premium for the month.
Sequentially, revenue rose 27% over June 2022 despite a 40% rise in the the number of policies.
LIC’s revenue surged 1.7 times over July 2021 to Rs 29,117 crore. The behemoth reported a strong growth in the group single and non-single category premium. The group single category premium that contributed to 83% of the insurer’s revenue for the month jumped 2.3 times year-on-year. The premium was also up 43% over June 2022.
New business premium of private insurers rose 21% year-on-year to Rs 9,962 crore in July. However, sequentially, premium fell 8%.
How India’s listed private insurers fared in July 2022: