SBI Life, HDFC Life: Insurance cos eyeing reforms, stay invested: Analysts

While on one hand the Budget proposed to increase the FDI limit in the sector to 74 per cent, it also proposed to levy capital gains tax on ULIPs rendering insurance an unattractive investment option

The insurance sector clocked a muted growth in business premiums in of January with gross premium underwritten by non-life insurers growing 6.7 per cent year on year (YoY) to Rs 18,488 crore and life insurers recording growth of 3.7 per cent YoY in new business premium to Rs 21,389.7 crore.

While the life insurance sector reported positive premium growth in January 2021, the year-to-date (YTD) growth in FY21, in first year premium collection, remains negative. "The sector reported a dip of 1.2 per cent in first year premium to Rs 2.12 trillion in YTD from Rs 2.14 trillion in YTD