Life Insurance - Individual WRP For Private Players Flat YoY In November; LIC’s WRP Declined 9.4%: Motilal Oswal

Motilal Oswal Report

In November 2023, the individual weighted received premium for private players was flat YoY (a three-year compound annual growth rate of 17.2%, versus an increase of 15% YoY in October 3). WRP for the industry declined 4% YoY in Nov-23 (a three-year CAGR of 13.8%, versus an increase of 9.5% YoY in Oct-23). Over Apr-Nov’23, private insurance players grew 11.2% YoY.

Among listed players, HDFC Life Insurance Company Ltd. (including Exide merger) reported a decline of 3.7% YoY in Nov-23 (a three-year CAGR of 13.6%).

Bajaj Allianz and Max Life reported a strong YoY growth of 26.5% and 8.2%, respectively.

SBI Life Insurance Company Ltd./HDFC Life/ICICI Prudential Life Insurance Company Ltd./Tata AIA posted a decline of 2.7%/3.7%/2.5%/13.7% YoY. 

Life Insurance Corporation of India reported a decline of 9.4% YoY in individual WRP (+1.7% in Oct-23). Over Apr-Nov-23, individual WRP for LIC was flat YoY.

After reporting a strong growth in March 2023, the industry witnessed a slowdown over Apr-Nov-23. The dip in performance can be attributed to a large number of customers purchasing insurance policies in March-23, right before the implementation of budgetary changes.

While FY23 saw a healthy growth, the growth momentum over FY24 would be a key monitorable.

We retain SBI Life as our preferred idea in the space.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.