New Delhi – Max Life Insurance Co. Ltd (“Max Life”), one of the leading Indian life insurance company, recorded a year of strong consistent growth, outperforming the industry. The Company recorded Individual adjusted first year premium of Rs. 3,880 crore achieving growth of 21% in the Financial Year 2018-19 (FY19) as compared to industry growth of 9% resulting in 65 bps increase in private market share to 9.7%. During this period the Gross Written Premium of the company grew by 17% to Rs. 14,575 crore, the Company recorded Shareholder Profit (Post Tax) of Rs. 556 crore.
Max Life performed well on other key business parameters for FY19:
- New Business Premium (Individual + Group) at Rs. 5,160 crore, recorded growth of 19%
- Assets Under Management (AUM) at Rs. 62,798 crore witnessed a growth of 20%
- Sum assured in force grew by 38% to Rs. 7,03,972 crore
- Solvency Ratio of 242%, significantly higher than the regulatory requirement of 150%, indicating the Company’s strong and stable financial position
- Claims paid ratio grew to 98.74% in FY19, up 48 bps from 98.26% in FY18
- 13th month persistency grew by 300 bps to 83% and 61st month persistency was maintained at 53%
Commenting on the performance of the Company, Mr. Prashant Tripathy, Managing Director & CEO, Max Lifesaid, “In the backdrop of a formalized economy that rendered savings and investment patterns more structured, Max Life Insurance saw a year of strong and consistent growth with robust financial performance across all parameters in FY19. The year saw a significant increase in not only case size but also number of lives that we covered, recording a notable growth in new business. After setting an industry benchmark in ‘Claims Paid Ratio’ in FY18, we further improved this to 98.74% this year.
Through the year, we made significant investments to support future growth, enabling the proprietary channel to grow by 29% through the year. To further strengthen our agency distribution, we entered into a knowledge partnership with former executives of New York Life, to share insights and best practices to further improve Max Life’s efficiency in agency distribution.
Our strong business performance also manifested in superior returns for both our policyholders and shareholders in form of investment return in ULIPs fund and dividend, respectively. At Max Life, we look forward to sustaining our commitment towards building a financially protected nation, by addressing the diverse financial needs of our customers and engaging in a manner that results in greater outcomes.”
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