Tata AIA Life registers 615% growth in net profit at Rs 506 crore for FY23

Tata AIA Life Insurance Co. Ltd. (Tata AIA) reported an Individual weighted new business premium income of Rs 7,093 crore in FY 2022-23, an increase of 59 per cent over Rs 4,455 Cr in the Financial Year 2021-22. This performance places the Company 3rd among private life insurers in IWNBP incomes. The Total Premium Income for the fiscal grew by 42 per cent to Rs 20,503 Cr. compared to Rs 14,445 Cr in the previous year. During the year, Net Profit grew by 615 per cent to Rs 506 Cr from Rs 71 Cr in FY22.

The Retail Sum Assured underwritten by Tata AIA Life has grown from Rs 3,07,804 Cr to Rs 443,479 Cr, a growth of 44.08 per cent over FY22. Amongst the Private Life Insurers, Tata AIA’s market share based on Retail Sum Assured in FY23 has increased to 27 per cent from 21 per cent in FY22. The total Renewal Premium income witnessed a 32 per cent growth compared to the previous financial year and raised from Rs 9,086 Cr to Rs 11,964 Cr in FY22. The Asset Under Management (AUM) grew by 21 per cent - increasing to Rs 71,006 Cr from Rs 58,570 Cr.

Tata AIA also did well on the two most important operational metrics despite Claim Settlement Ratio and Persistency. The Individual Death Claims Settlement ratio for FY23 improved from 98.53 per cent in FY22 to 99.01 per cent in FY23. The Company continues to deliver robust Persistency, a hallmark of life insurance companies' operational excellence. Compared to FY22, the 13th Month Persistency ratio (based on Premium) of the Company improved to 88.1 per cent from 87.76 per cent. The company's 25th Month Persistency for the year was at 79.6 per cent.

Today, holistic wellness is an essential topic of conversation. Consequently, life insurers can differentiate their products at the point of sale and contribute meaningfully to our customers' health, thereby reducing Mortality and Morbidity with holistic wellness solutions. During the year, Tata AIA also evolved in response to changing consumer needs and introduced innovative and consumer-centric solutions driven by its value of ‘Consumer Obsession’.

As a means of enabling its consumers to live healthier and happier lives, Tata AIA introduces an industry-leading holistic wellness program called Vitality to Indian consumers. In addition, it has partnered with Medix, a global company that provides medical management solutions for critical illnesses through a network of over 4,500 independent and world-leading specialists. These initiatives have enabled Tata AIA Life to evolve from a Payor of benefits and claims into a more value-added Partner for consumers at every stage of their lives.