Prudential ICICI Life Insurance on Tuesday reported an increase in the gain of the fourth quarter, helped by a strong demand for their group insurance offers.
The independent gain of the insurer was more than doubled to ₹ 386 million rupees ($ 45 million) for the quarter that ended on March 31. Its quarterly net premium grew 11 percent to ₹ 1,637 million rupees, driven by a 30 percent jump in unique premiums.
The demand for its market or insurance plans linked to the unit (ULIP) reduced the duration of the fourth quarter, since the national market markets underwent strong correction.
In the previous quarters, ULIP demand increased constantly as the securities markets were negotiated at record levels.
However, analysts pointed out that an increase in the demand for group insurance plans duration of January-March has increased the revenues of premiums for prudential ICICI.
Group insurance policies cover several people in the same plan and are generally companies to provide coverage to employees.
The prudential ICICI value of new businesses (VNB), or the expected profits of new policies, increased 2.5 percent to ₹ 795 million rupees for the quarter, according to reuters calculations.
However, the equivalent sales of annualized premiums (APE) of the insurer, which is the total value of all individual and recurring premium policies, fell 3.1 percent to ₹ 3,502 million rupees the quarter due to the fall of Ulip sales.
Meanwhile, the VNB margins of ICICI prudental throughout the year deteriorated to 22.8 percent from 24.6 percent a year ago.
ULIPS represented 48.3 percent of the company’s general combination of products, below 50.8 percent of the previous year.
Peer HDFC Life will report its quarterly results at the end of this week, while SBI Life Insurance is scheduled to publish their profits next week.
Posted on April 15, 2025