Shriram Life Insurance net falls 12% to ₹35 cr in Q1
Shriram Life Insurance has reported a 12 per cent dip in profit after tax at ₹35.4 crore for the quarter ended June 30, 2023, compared to ₹39.6 crore in the year-ago quarter.
The company’s total premium surged 82 per cent to ₹717 crore in Q1 of this fiscal, compared to ₹392 crore in Q1 of FY23, driven by group premium, which accounted for more than half of the total premium.
Its new business premium, which includes both individual policies as well as group policies, stood at ₹488 crore, up from ₹207 crore in the year-ago period. In group premiums, new business grew to ₹354 crore from ₹93 crore, according to a statement.
In individual business, the company grew at 18 per cent, higher than the industry growth of 8 per cent..
Growing individual new business would be a key focus area for the current fiscal with the company expecting to grow by 20-25 per cent in this segment.
“We are focussed on reaching more customers and exploring newer markets to increase insurance penetration in the rural and middle-income segment,” said Casparus J Kromhout, MD & CEO, Shriram Life Insurance.
The company has launched a Golden Jubilee Plan this financial year, commemorating Shriram Group’s 50th year of operations. The plan allows policyholders to cover their whole life or a specified period enabling them to achieve their goals with flexibility. Last year, the company launched two plans – Early Cash Plan and Premier Assured Benefit.
Shriram Life Insurance gives a stronger focus on rural areas and about 45 per cent of its policies were sold in the rural segment. In FY23, about 46 per cent of Shriram Life’s retail claims were from the rural segment.
Its solvency ratio stood at 1.98 in Q1 of this fiscal, against 2.05 in Q1 of FY23.