Life insurance records robust growth with new business premiums spike 22.42% in July

The Indian life insurance industry recorded robust growth in July, with new business premiums (NBPs) rising 22.42 per cent year-on-year to Rs 38,958.05 crore, data released by the Life Insurance Council said on Friday.

This was low compared to Rs 31,822.69 crore in the same month last year.

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As per the data, the year-to-date (YTD) collections for the current fiscal stood at Rs 1,32,502.63 crore, marking a 9.01 per cent increase over the previous year’s Rs 1,21,549.39 crore.

Interestingly, the Council highlighted that insurers are increasingly tapping underserved markets, backed by rapid digitisation and agent network expansion.

Over 3,47,561 new agents were added in the past year, lifting the total count by 2.27 per cent. This, coupled with technology-led outreach, is expected to further boost insurance penetration and sustain premium growth through FY25 and beyond.

In the individual segment, single premiums grew 19.44 per cent to Rs 5,506.81 crore in July, with YTD growth at 14.09 per cent, while the non-single premiums were up 9.60 per cent at Rs 10,051.05 crore, and YTD collections rose 6.02 per cent.

Combined individual premium collections expanded 12.89 per cent in July and 8.65 per cent on a YTD basis, aided by efforts to attract first-time policyholders.

The group policy segment witnessed even stronger momentum, with single premiums climbing 29.48 per cent to Rs 21,280.53 crore in July. Overall group premium collections during the month were higher by 29.70 per cent year-on-year.