Boosted by an increase in the surplus of the policyholders and new business premium growth, private insurer HDFC Life today reported a 20 per cent jump in net profit at Rs 380 crore.
While new business premium (both individual and group) grew at a strong 62 per cent to Rs 2,680 crore, renewal premium clipped at 16 per cent to Rs 2,380 crore, the company said in a statement.
The policyholders surplus contributed 81 per cent of the net income, it said.
Total premium income jumped 37 per cent to Rs 5,060 crore, the company said, adding its new business margins rose to 24.2 per cent from 20.5 per cent, helping it post better overall numbers.
Individual APE (annual premium equivalent, a measure to compare revenue by normalising policy premia into the equivalent of regular annual payments, grew 15 per cent Rs 840 crore, helping the total total APE to grow past 26 per cent to Rs 1,030 crore.
New group premium grew 67 per cent to Rs 1,440 crore, while premium minus the benefit payouts nearly doubled to Rs 2,130 crore from Rs 1,070 crore, registering a growth of 98 per cent.
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Assets under management rose 16 per cent to Rs 1,09,630 crore while the embedded value rose 19 per cent to Rs 15,690 crore.
The solvency ratio inched down to 197 per cent from 198, but is better than 192 per cent for the full year of last fiscal.
Among private sector players, HDFC Life enjoys 13.3 per cent market share in individual segments at 13.3 per cent.
Amitabh Chaudhry, managing director and chief executive said, "Our balanced product mix and focus on protection, coupled with our wider reach, positions us well to maximise the long-term growth potential."
He also said the board approved a proposal to change the corporate name of the company from HDFC Standard Life Insurance Company to HDFC Life Insurance Company, subject to relevant approvals.
While HDFC hold 51.6 per cent in the company, Standard Life Mauritius Holdings owns 29.3 per cent as of June 2018.
The HDFC Life counter closed over 4.5 per cent up at Rs 492.50 on the BSE against the benchmark gaining 0.40 per cent.
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