InvestorQ : Is it true that private insurers like SBI Life, ICICI Pru and HDFC Life have grown their business in Jan-21 at the cost of LIC?
Rashi Mehra made post

Is it true that private insurers like SBI Life, ICICI Pru and HDFC Life have grown their business in Jan-21 at the cost of LIC?

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Archita Jajjoo answered.
4 months ago
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This is only pertaining to the new business premiums or the NBP for the month of January 2021, which was released on Tuesday. Overall, the life insurers recorded 3.7% growth in new business premiums or NBP to Rs.21,389 crore in Jan-21. This is the first monthly rise after 2 consecutive months of falling NBP.

The big gun, LIC actually witnessed a fall in NBP as it reported a 2% fall in NBP in Jan-21. The overall growth came about more because the 23 private insurers saw 15.3% growth in new business premiums or NBP in Jan-21. NBP growth had fallen to negative levels in the preceding months of November 2020 and December 2020 last year due to a high base.

Leading private insures like ICICI Prudential, SBI Life, HDFC Life and Max Life saw double-digit growth in NBP in Jan-21. If you consider the first 10 months of FY21, then the NBP of life insurers contracted 1.17% to Rs.212,000 crore, largely on account of the pressures exerted by COVID on the purchasing power of individuals.

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