Page 14 - Insurance Times April 2023

manifold increase in its net profit in the
Most Indians see inflation affecting retirement
December quarter (Q3) of financial
year 2022-23 (FY23), aided by a lifestyle: Survey
transfer of Rs 5,670 crore from non- A majority of Indians are worried about inflation affecting their retirement
participatory to shareholders'
savings and lifestyle, shows a survey conducted by ICICI Prudential Life
accounts. Its net profit in Q3 stood at Insurance.
Rs 6,334.19 crore, compared with Rs
The survey was carried out among over 1,100 individuals to understand
234.91 crore in the year-ago period.
consumers' attitudes toward retirement, money, and annuity plans.
In the nine-month period (April-
The respondents included government employees, private sector employees,
December FY23), the corporation's
businessmen, self-employed, and retirees across the age bracket of 45 to
profits soared to Rs 22,970 crore,
75 years from cities with a population of more than 2 million.
compared with Rs 1,672 crore a year
ago. The huge jump was because of the "Over two-thirds of those surveyed have mentioned, they worry about
transfer of Rs 19,941 crore to inflation impacting their retirement savings, and consequently, their
shareholder accounts over the last four lifestyle," said the survey results.
quarters. "Over three-fifths of the respondents indicated that their retirement goals
LIC reported a net premium income of include enjoying life, staying connected with friends, travelling abroad,
Rs 1.11 trillion in Q3, up 14.51 per feeling financially secure, and having peace of mind in this new chapter of
cent year-on-year (YoY) from Rs their lives," it said.
97,620.34 crore a year ago, with the The survey further showed that at present 11 per cent of total income is
first-year premium income rising 11 per channeled towards retirement-specific savings.
cent YoY to Rs 9,724.71 crore, renewal
premium increasing 6 per cent YoY to
February a drop of 17 per cent from the dampener, dipping over 40 per cent in
Rs 60,194.87 crore, and single
same period a year ago. February, dragging down its NBP.
premium income jumping 30 per cent
Generally, the last quarter of a financial
YoY to Rs 42,117.10 crore.
year is the busiest period for life HDFC Life guaranteed
Value of new business margin, a
insurance companies as taxpayers look
income insurance plan
measure of profitability of life insurance
to buy savings and term products to
companies, stood at 14.6 per cent for HDFC Life Guaranteed Income
reduce tax liability.
the nine months of FY23, which was Insurance Plan is a non-linked non-
In January, the industry reported a 20
the same at the end of the September participating individual life insurance
per cent jump in premiums, aided by
quarter (6MFY23), despite a rise in the savings plan that provides guaranteed
private sector companies' performance
share of non-par business in its tax-free benefits after completion of
(23 per cent YoY growth), while LIC premium payment term and
portfolio.
saw its premium go up 18 per cent YoY.
Guaranteed Death Benet during the
In February, while private sector entire policy term. This is a savings
32% drop in LIC premia
companies managed to record a 10 oriented product.
drags life insurers' NBP per cent jump in premiums to Rs.
10,968 crore, insurance behemoth
Life insurance companies reported a 17
LIC's premiums dropped 32 per cent to Join
per cent year-on-year (YoY) drop in
Rs. 11,879.49 crore.
new business premium (NBP) in
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February as state-owned Life In the same period a year ago, LIC had
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Insurance Corporation (LIC) of India's earned premiums of Rs. 17,489 crore.
premiums contracted 32 per cent Insurance
NBP is the premium acquired from
during this period on account of a drop new policies in a year. It is the sum of
in its group single premium segment. the first-year premium and single For details please visit
According to data released by the Life premium, reflecting the total premium
Insurance Council, the industry earned received from new businesses. For LIC,
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an NBP of Rs. 22,847.65 crore in the group single premium was a
The Insurance Times April 2023 13