ICICI Prudential Life Insurance on Saturday announced strong financial results for thw quarter ended March 31, 2022, on the back of a robust growth (33 percent) in the Value of New Business (VNB). The company, in its quarterly earnings report, said its VNB margin -- a measure of profitability -- expanded to 28 percent, up from 25.1 percent a year ago, while absolute VNB stood at Rs 2,163 crore.

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The company said this was led by a robust growth of 25 percent in new business sum assured and a 20 percent increase in Annualised Premium Equivalent (APE) for the same period. Its reported APE stood at Rs 2,608 crore, up 3.9 percent year-on-year from Rs 2,509 crore. As per the earnings report, during FY2022, annuity and protection new business premiums grew by 29 percent and 35 percent YoY respectively. Given that both these segments are significantly under penetrated, they offer tremendous opportunity for growth, the company said.

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The company New Business Sum Assured of the Company grew to Rs 7.73 lakh crore for FY2022, making ICICI Prudential Life Insurance "the leader in the private sector". A combination of factors such as innovative products coupled with deep and wide distribution network have helped the Company to maintain its position as the market leader in New Business Sum Assured, the company added.

The Company’s 13th month persistency ratio improved to 85.7 percent for FY2022, up from 84.8 percent for FY2021, which it said was indicative of the quality of business being underwritten. Assets under Management stood at Rs 2.41 lakh crore in the reported quarter. "This is an outcome of the trust reposed in the company by customers, growth in new business, strong persistency and robust fund management. The solvency ratio for FY2022 stood at 204.5 percent, well above the regulatory requirement of 150 percent," the company said in its report.

“Despite the disruptions caused by the third wave of COVID-19, which impacted productivity in January and February, we were able to demonstrate resilience in our operations. In March, we posted the best ever monthly sales by the company in any year since inception. This helped grow our VNB by 33 percent YoY. We are now poised to take advantage of all this good work that has gone into building a growing and sustainable institution with customer centricity at its core," said N S Kannan, MD & CEO, ICICI Prudential Life Insurance.

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First Published:Apr 16, 2022 6:18 PM IST