Page 14 - The Insurance Times September 2025

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steady margins. Total net premium
LIC invests Rs. 5,000 crore in SBI's Rs. 25,000 crore
income rose 15.6% Y-o-Y to Rs. 14,446
QIP, stake risesLife Insurance crore, while APE increased 12.5% to
Corporation of India (LIC) has invested Rs. 5,000 crore in State Bank of India's Rs. 3,225 crore. Value of New Business
Rs. 25,000 crore Qualified Institutional Placement (QIP), raising its stake in (VNB) climbed 12.7% to Rs. 809 crore,
the bank to 9.21%. SBI announced that the QIP received strong interest, with the VNB margin holding steady at
being subscribed 4.5 times, with global investors accounting for 64.3% of 25.1%.
the bids and receiving one-third of the allocation. The remaining two-thirds However, expenses surged 19% to Rs.
were allotted to domestic investors, led by LIC. 3,259 crore. CEO Vibha Padalkar
This strategic investment enhances LIC's influence in India's largest public highlighted that over 70% of new
sector bank and reflects growing confidence among institutional investors customers in Q1 were first-time
in the banking sector's long-term growth trajectory. The QIP proceeds will buyers. The company gained 70 basis
support SBI's growth plans, strengthen its capital adequacy, and expand its points in overall market share to reach
lending capacity across retail, MSME, and infrastructure sectors. 12.1% and 40 bps in private sector
share to 17.5%.
Persistency ratios saw some
ICICI Prudential Life's Q1 highlighted the 24.1% Y-o-Y growth in
retail protection and a 36.3% rise in moderation, with the 13th month at
profit jumps 34%, the total new business sum assured. 82.7% and the 61st month at 61%. The
premium income up 8% He attributed this to the company's solvency ratio improved to 192% from
186% last year. The insurer's reach
ICICI Prudential Life Insurance strong distribution and diverse product across Tier-I to Tier-III markets was
reported a 34% year-on-year rise in net suite. Despite the fall in APE and VNB, also significantly enhanced.
profit to Rs. 302 crore in Q1FY26, up the company continued to prioritise
from Rs. 225.4 crore, driven by protection-led strategies to sustain
increased premium income and lower long-term profitability and market HDFC Life to scale up with
expenses. Net premium income rose share. tech-led strategy, eyes
8% to Rs. 8,503 crore.
HDFC Life posts 14% profit Tier-III markets
However, the insurer's Annualised
Premium Equivalent (APE) declined by rise, market share hits HDFC Life Insurance plans to expand its
5% to Rs. 1,864 crore, while the Value operations with a focus on
of New Business (VNB) dipped 3.18% record 12.1% macroeconomic opportunity,
to Rs. 457 crore. The VNB margin HDFC Life Insurance reported a 14.23% technological transformation, and
contracted slightly to 24.5% from 25%. year-on-year rise in Q1FY26 net profit deeper rural outreach, Chairman Keki
Expenses dropped by 4.72% to Rs. to Rs. 546 crore, backed by a 19% Mistry said at the company's 25th
1,891.5 crore. CEO Anup Bagchi growth in renewal premiums and AGM.

14 September 2025 The Insurance Times