HDFC Life Insurance Q2 profit rises 15% YoY to ₹378 cr

HDFC Life Insurance Ltd released its financial results for the July to September quarter on Friday. During the quarter under review, the company’s standalone net profit surged 15.48% year-on-year to ₹376.7 crore, as against ₹326.24 crore in the same period last year. In the September quarter, the company's net premium income stood at ₹14,755.96 crore, up 28% as against ₹13,110.91 crore in the same period last year.  

"Despite the recent budget changes that were perceived to be unfavourable for the sector, the life insurance industry has demonstrated remarkable resilience. We recorded a healthy growth of 10% in individual WRP vs 8% for the overall industry, for the half year ended September 30th, 2023. Our H1FY24 market share was 15.7% and 10.3% in the private and overall sectors respectively. We continued to grow faster than the overall industry and be ranked amongst the top 3 life insurers across individual and group businesses," says Vibha Padalkar, MD & CEO, HDFC Life Insurance.

"We saw an uptick of 10% in the number of individual policies sold, beating industry growth. This healthy volume growth is in line with our stated objective of broadening our customer base. We have insured more than 3 crore lives across our individual and group businesses, which represents a YoY growth of 16%," he adds.

During the quarter under review, the value of new business stood at ₹801 crore as against ₹770 crore in the same period last year. According to the company, growth in protection was robust at 28% on a new business premium basis. Retail protection witnessed a growth of 46% during the quarter under review. "Sum assured recorded healthy growth, with retail and overall sum assured growing by 61% and 45% respectively. We continue to lead in terms of sum assured and our private market share based on overall sum assured stood at 18% for H1FY24. Annuity APE grew by 17% and the segment contributed to 18% of new business premium. Annuity and Protection put together contributed to about 55% of new business premium in H1FY24," says Padalkar.

Post Q2 results, the share price of HDFC Life Insurance ended 0.11% higher at ₹625.35 on the BSE, while the market capitalisation stood at ₹1,34,465.02 crore with more than 1.37 lakh shares exchanging hands on the BSE as against the two-week average of 0.51 lakh shares. During the session, the share price of the life insurance company surged as much as 1.3% to hit an intraday high of ₹633.10 apiece on the BSE. The scrip closed at 0.03% lower at ₹624.45.