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Strong premium growth continues; 2-year CAGR performance  highlights marked outperformance by private majors

otal private life insurer APE has grown by 31%/42% YoY in FY22TD / Aug’21.  Strong YoY growth in total APE in August was led by SBI Life (55%), Bajaj Allianz  (51%), ICICI Prudential Life* (30%), HDFC Life (18%) and Max Life (8%). Individual  private insurer APE has grown 31%/39% YoY in FY22TD/Aug’21. YoY growth in  August 21 individual APE was led by SBI Life (67%) followed by Bajaj Allianz (53%),  IPRU Life (34%), HDFC Life (27%) and Max Life (9% YoY). SBI Life outperformed  even on MoM basis with an individual APE growth of 10% in Aug’21 whereas HDFC  Life witnessed decline of 1%. IPRU reported healthy MoM growth of 14.3%/12.5%  in individual/total APE in Aug’21. Number of policy growth has been highest for  SBI Life at 31% in FY22TD compared to overall private life number of 2.5%.

Is 2-year CAGR a better parameter?

Due to covid impact resulting in lower sales in  April/May 2020 and resultant different pace of recovery after that, base effect is possible  in  monthly  FY22  numbers.  Hence,  we  have  provided  a  2-year  CAGR  of  total  and  individual APE growth in Table 1. Among large players, the outperformers based on 2- year CAGR are Tata AIA, HDFC Life, Bajaj Allianz followed by Max Life and SBI Life.

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