The expansion in Could slowed in comparison with 14.9% YoY reported in the identical month final 12 months. The slowdown in premium progress is basically attributed to the 1/n rule, which kicked in October, consultants stated.
Underneath the 1/n rule, IRDAI has mandated non-life insurers to report premiums yearly even when the coverage time period is longer than one 12 months. Accordingly, the reported premium is calculated by dividing 1 by the variety of days the coverage is in impact.
“The flash numbers for Could reported a modest progress indicating that the business remains to be adjusting with the 1/n rule on premium reporting. Regardless of the influence, the expansion appears to be supported by renewal of economic strains like hearth insurance coverage, and progress in SAHI gamers indicative of regular demand in medical health insurance,” stated Saurabh Bhalerao, Affiliate Director, CareEdge Scores.
Barring SAHIs, general premiums collected by common insurers grew 5.7% YoY to 19,210 crore in Could. Eight out of the 25 common insurers reported year-on-year fall in premium collections within the reporting month.
Among the many listed common insurers, New India Assurance led features amongst main gamers in Could. The state-run insurer reported a 22.47% leap in gross premiums to Rs 2,944 crore, serving to its market share edge as much as 16.06% from 15.15% in Could 2024.Non-public sector main ICICI Lombard Common Insurance coverage noticed premiums rise 2.41% year-on-year, whereas Go Digit Common Insurance coverage noticed a 2.19% drop in premiums. Newly listed Niva Bupa Well being Insurance coverage registered a 9.69% enhance in premiums to Rs 554 crore.Complete premiums by standalone well being insurers grew 10% YoY to Rs2,917 crore in Could. Among the many seven SAHI gamers, ManipalCigna Well being Insurance coverage topped the chart with almost 43% progress in premium collections, adopted by 36% progress reported by Aditya Birla Well being Insurance coverage.
