What Life Insurance Products Indians Are Buying – Find Out


In its latest insurance industry report, Emkay Global Financial Services shared comprehensive details on new business performance across all product categories in life insurance in FY22.

Even though ULIPs made a strong comeback in 9MFY22 (Retail Annual Premium Equivalent +50% YoY), the category experienced a significant slowdown in Q4 (+8% YoY), driving the growth of the Retail Annual Premium Equivalent ULIP (APE) for the year 22 to 33%.

Pension products and non-participating savings (savings) continued to grow strongly, but annuity products and participating savings struggled, reflecting the slow growth of LIC (the most dominant player on these segments).

The very slow growth in the amount insured by new individual business compared to the growth in premiums very clearly reflects the slowdown in personal protection volumes due to the impact on demand resulting from price increases and supply problems. which prevented insurers from writing retail term policies in the first half of FY22.

Strong growth in Group Term Insurance (GTI) premiums (+82% YoY) versus Sum Assured’s 17% YoY growth reflects strong price increases in the GTI business.

Going forward, with the inversion of the interest rate cycle, stock market volatility, high inflation and the return of postponed discretionary consumption, middle-class household savings will be under pressure, which will lead to some pressure on the savings-life insurance business.

All things considered, large private players, with their superior brands and distribution networks and implementing their agile and innovative approaches, are well positioned for strong growth and increasing their market shares.

The evolution of the new enterprise product line in FY22 was shaped by a combination of external factors, including a persistently low interest rate environment, buoyant equity markets in the first half of financial year 22 and the dislocations caused by the Covid-19 (additional savings will be deployed by the upper middle class and wealthy class, but reduced savings capacity of the masses). These external factors, along with changing customer preferences, drove the evolution of the new business line into ULIP, non-participating savings and retirement products.

Strong equity markets and increased savings from the affluent class and young white-collar workers with higher risk appetite helped ULIPs record strong retail APE growth in 9MFY22 (+ 50% YoY). However, ULIP APE’s growth slowed significantly to +8% YoY in the fourth quarter, bringing full year growth to 22-33% YoY.

Non-peer (savings and provident) continues to grow sustainably despite the slowdown in the non-peer provident component, its share in individual APE falling from 18% in FY20 to 23% in FY22.


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