ICICI Prudential Life Insurance has reported a strong performance for FY2026, achieving a Value of New Business (VNB) of ₹26.29 billion, representing a 10.9% year-on-year growth. The company saw its Profit After Tax (PAT) rise by 34.6% to ₹16 billion. Despite a challenging macroeconomic environment and geopolitical turbulence, the insurer maintained a solid solvency ratio of 227.3%, demonstrating continued financial prudence and operational agility.
FY2026 Financial Highlights
The company demonstrated strong financial health throughout FY2026. The VNB margin expanded to 24.7%, up from 22.8% in FY2025. This growth was driven by an improved product mix and operational efficiencies. The Embedded Value grew by 10.5% year-on-year, reaching ₹529.89 billion. The New Business Premium saw an approximate 10% increase to ₹248.10 billion, while total Assets Under Management (AUM) reached ₹3.14 trillion.
Segment Performance
Retail protection emerged as a key growth driver, recording a 32.3% full-year growth, with a significant 60.5% jump in Q4-FY2026. The company’s retail new business sum assured reached ₹4.5 trillion, bolstered by a 50.9% year-on-year growth in the second half of the year. In the savings category, the APE remained steady, with the company focusing on long-term value and balanced product mixes.
Strategic Priorities and Efficiency
Operational efficiency remained a core focus, with the company utilizing AI/ML initiatives across its customer journey, ranging from underwriting to claims investigation. These efforts led to a 40 basis point reduction in the savings cost-to-premium ratio to 12.1%. Furthermore, the company maintained an industry-leading claim settlement ratio of 99.3%, with an average turnaround time of 1.1 days.
Outlook for FY2027
Looking ahead, the management aims to drive growth through a micro-market-led strategy in proprietary channels. Despite potential macroeconomic volatility and ongoing geopolitical uncertainties, the company remains committed to sustainable VNB growth. The focus will be on deepening distribution, enhancing digital integration, and maintaining a robust, risk-prudent balance sheet to navigate the evolving market environment.
Source: BSE
