Its guaranteed-income and pension product launches, new bank assurance partners such as IndusInd and
along with new 20,000 agents helped boost sales and bring down the reliance on Unit Linked Insurance Products. The company has tripled its provisions for Covid-related claims to Rs 300 crore.
The company on Monday said its new business premium grew 23 per cent year-on-year in the fourth quarter of FY2021 at Rs 5,133 crore with bancassurance contributing 42 per cent of it. Its share of ULIPs was at 47 per cent, down from more than 80 per cent a few years ago.
“Along with opportunity, the base effect should boost growth this year,” said NS Kannan, CEO, ICICI Prudential Life Insurance. “The lockdowns won’t be as harsh as last year. We don’t expect a derailment of the economy. It would not be as bad as last year while businesses have learnt the hard way on how to navigate in these troubled times.”
The insurer settled Covid-related claims aggregating Rs 459 crore in the last fiscal and net of reinsurance it paid out Rs 264 crore.
Value of new business (VBN) for the quarter grew 26 per cent to Rs 591 crore for the same period. VNB for FY2021 stood at Rs 1,621 crore with a margin of 25 per cent, up from 21.7 per cent last year. VNB is used to measure profitability of the new business written in a period.
Kannan said that despite the disruptions caused by Covid-19, the company is well poised to achieve its stated objective to double the VNB by FY23 from what it was in FY19.
The board has approved a final dividend of Rs 2 per equity share of Rs 10 face value.