Life Insurers Grew 2%, Non Life 13% in FY24
By : DC Correspondent
Update: 2024-04-19 16:37 GMT
Mumbai: Life insurers grew by 2 per cent for FY24, with a new business premium of nearly Rs 3.8 lakh crore, compared to Rs 3.7 lakh crore in FY23 largely due to the high base effect of the previous financial year. According to the Life Insurance Council (association of life insurers), the new business premium for the life insurers last fiscal stood at Rs.3,77,960 crore as against Rs.3,70,543 crore earned in FY23. On the other hand, the non-life insurance industry grew 12.8 per cent during FY24.
According to data released by Council, the life insurance industry saw its new business premium collection coming in at Rs 60,213 crores in March 2024, due to a whopping 41.5 per cent growth in group premiums which now account for 60 per cent of the fresh premiums.
“In FY24, the non-life insurance industry reported a premium of Rs. 2.9 lakh crore growing at 12.8 per cent compared to the 16.3 per cent growth reported in FY23,” said credit rating agency CARE Ratings in a research report.
While the motor and health insurance segments drove the growth for the non-life sector, compared to last year’s growth rates, there was a decline owing to a fall in liability, crop insurance, and credit guarantee.
Further, for the month of March 2024 as well, the growth rate was comparatively lower as growth in health was offset by slower growth in motor and a fall in the fire insurance segment, CARE Ratings said.
The four public sector general insurers’ grew their business by 9 percent last fiscal (gross direct premium Rs 90,344.5 crore) as compared to 10 per cent growth logged in FY23 (Rs 82,891.3 crore), CARE Ratings said.