LIC grows by ~28% YoY, market share for private players grows by ~63% in Apr’22
MOFSL prefers SBILIFE and HDFCLIFE
by Suman Gupta
According to India Life Insurance report of Motilal Oswal Financial Services Limited (MOFSL), private players’ individual weighted received premium (WRP) reported a growth by 46% YoY in Apr’22 (+12.2% in Mar’22), while the industry posted a growth of 38.7% YoY (+11.9% in Mar’22). This was primarily on account of a low base in Apr’21, which saw muted volumes due to Covid relapse and resulting lockdowns. After reporting a moderation in growth over Jan-Feb’22, the industry is witnessing a healthy recovery in Mar-Apr’22. MOFSL expects trends to remain healthy, given the strong demand in Annuity/Non-PAR and recovery in the Protection business, while ULIP growth can remain weak due to volatile market conditions.
Among the listed players, SBILIFE posted a growth of 89.2% YoY in Apr’22. IPRU too reported a growth of 32.2% YoY, after reporting a muted trajectory in the past few months. HDFCLIFE reported a modest 9.6% YoY growth, while MAXLIFE posted a decline of 4.6% YoY – the third decline in the past four months. Among mid-sized players, Tata AIA/Bajaj Allianz/Birla Sun Life reported a growth of 86%/81%/51% YoY. Kotak Life reported a growth of 19% YoY. LIC reported a growth of 27.8% YoY (+11.5% in Mar’22) in Individual WRP.
Individual WRP market share for private players expands to ~63% in Apr’22
Individual WRP market share for private players expands by ~300bp MoM to 63.1% in Apr’22. LIC’s market share stood ~37%. SBILIFE (15.6%) remained the largest private insurer in terms of Individual WRP in Apr’22, followed by HDFCLIFE (8.9%) and IPRU (7.3%). On an Unweighted basis, HDFCLIFE was the largest private insurer, with a market share of 8.2%, followed by SBILIFE (6.9%) and IPRU (4.9%).
Performance of key private players
On an Individual WRP basis, the combined market shares of listed players – SBILIFE, HDFCLIFE, MAXLIFE, and IPRU – stood ~58% in Apr’22. We also note that both Bajaj Allianz and Tata AIA have overtaken MAXLIFE in terms of Individual WRP market share in Apr’22. Among the key listed players, on the basis of individual WRP:
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HDFCLIFE reported a growth of 9.6% YoY; total Unweighted premium grew 22.5% YoY.
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SBILIFE reported a robust growth of 89.2% YoY; total Unweighted premium grew 33.3% YoY.
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IPRU reported a strong growth of 32.2% YoY; total Unweighted premium grew 37.6% YoY.
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MAXLIFE reported a decline of 4.6% YoY; total Unweighted premium grew 3.3% YoY
