Star Health has announced a 21% year-over-year increase in profit after tax (PAT) to ₹518 crores for H1FY26 under IFRS. This growth is attributed to a healthier loss ratio and improved operating efficiency. The company’s gross written premium (GWP) reached ₹8,809 crores, a 12% increase year-over-year. Retail GWP rose by 17%, driven by a 24% increase in fresh retail premiums.
H1FY26 Financial Highlights
Star Health reported a Profit After Tax (PAT) of ₹518 crores for the half year ended September 30, 2025 (H1FY26), marking a 21% year-on-year growth under IFRS. This performance was supported by an improved loss ratio and enhanced operating efficiency. The company sustained strong momentum, closing H1FY26 with a Gross Written Premium (GWP) of ₹8,809 crores (N basis), a 12% Y-o-Y growth.
Retail Segment Performance
The Retail GWP rose by 17% to ₹8,332 crores (N basis), driven by a 24% increase in fresh retail premiums. The company maintains a 32% market share in India’s retail health insurance sector. Renewal persistency in retail health remained strong at 98%.
Key Performance Indicators
The Net Incurred Claims Ratio stood at 70.6% in H1FY26, a 30 bps decrease from the prior year. The expense ratio improved to 29.7% in H1FY26, compared to 31.1% in the previous year. The combined ratio (IFRS basis) improved to 100.3% from 102.1% in the same period last year. The company’s solvency ratio remained robust at 2.15x.
Q2FY26 Performance
In Q2FY26, the expense ratio improved to 29.3% from 31.1% in Q2FY25. The loss ratio improved to 71.8% in Q2FY26 from 73.7% in Q2FY25. The combined ratio (IFRS basis) improved to 101% from 104.8% in the same period last year.
Strategic Initiatives
The company continues to focus on technology-driven customer experience, implementing an AI-enabled claims platform for faster settlements. The Star Health app has surpassed 12 million downloads. The Super Star product exceeded the ₹1,250 crore premium milestone within its first year. The company will follow an annual repricing strategy going forward.
Customer Experience
Customer experience remains a core focus. The company’s claims NPS improved from 52 to 61, and the overall company NPS improved from 59 to 61. The company is also observing strong tailwinds following GST exemption on retail health insurance, indicating increased affordability.
Source: BSE
