SBI Life Insurance New Business Premium collection of Rs. 3,154 crore for the quarter
SBI Life Insurance, one of the leading life insurers in the country registered a healthy growth of 52% in its New Business Premium; to Rs. 3,154 crore for the quarter ended on 30th June, 2019 vis-a-vis Rs. 2,076 crore for the quarter ended June 30, 2018.
Establishing a clear focus on protection, SBI Life’s protection new business premium collection stood at Rs. 436 crore for the quarter ended June 30, 2019 registering a 106% increase over the Rs.212 crore for the quarter ended June 30, 2018. Individual New Business Premium collection increased by 41% to Rs. 1,872 crore from Rs. 1,326 crore over the corresponding period, a year ago.
SBI Life’s profit after tax has increased by 5% to Rs. 372 crore for the quarter ended June 30, 2019, over Rs. 354 crore in the similar period last year.
The company’s solvency ratio continues to remain robust at 2.17 as on June 30, 2019 as against the regulatory requirement of 1.50.
SBI Life’s AUM also continued to grow at 22% to Rs. 1,46,954 crore as on June 30, 2019 from Rs. 1,20,279 crore as on June 30, 2018, with the debt-equity mix of 77:23. 90% of the debt investments are in AAA and Sovereign instruments.
The company has a diversified distribution network of 174,753 trained insurance professionals and wide presence with 922 offices across the country, comprising of strong bancassurance channel, agency channel and others comprising of corporate agents, brokers, micro agents, common service centers, insurance marketing forms, web aggregators and direct business.
Performance for the quarter ended June 30, 2019
• Increase in New Business Premium by 52%
• Increase in share of protection from 10% to 14% with 106% growth
• Private market leadership in Individual Rated Premium (IRP) with 35% y-o-y growth
• Decrease in Operating expense ratio from 9.7% to 7.4%
• Increase in 13th month Persistency ratio by 200 bps from 82.47% to 84.46%
- Increase in Profit after tax by 5% to Rs. 372 crores
- Value of New Business (VoNB) increased by 49% to Rs. 371 crores
• VoNB margin has increased from 19.0% to 19.9%
Disclaimer
Except for the historical information contained herein, statements in this release which contain words or phrases such as ‘will’, ‘expected to’, etc., and similar expressions or variations of such expressions may constitute ‘forward-looking statements’. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results, opportunities and growth potential to differ materially from those suggested by the forward-looking statements. These risks and uncertainties include, but are not limited to, the actual growth in demand for insurance and other financial products and services in the countries that we operate or where a material number of our customers reside, our ability to successfully implement our strategy, including our use of the Internet and other technology our exploration of merger and acquisition opportunities, our ability to integrate mergers or acquisitions into our operations and manage the risks associated with such acquisitions to achieve our strategic and financial objectives, our growth and expansion in domestic and overseas markets, technological changes, our ability to market new products, the outcome of any legal, tax or regulatory proceedings in India and in other jurisdictions we are or become a party to, the future impact of new accounting standards, our ability to implement our dividend policy, the impact of changes in insurance regulations and other regulatory changes in India and other jurisdictions on us. SBI Life Insurance Company Limited undertakes no obligation to update forward looking statements to reflect events or circumstances after the date thereof.
