SBI Life Insurance’s Managing Director and CEO, Amit Jhingran, has stated that the company aims to increase contributions from traditional insurance products in the future. In an interview with BusinessLine, Jhingran explained that the company wants to reduce its dependence on unit-linked insurance plans (ULIPs).
The company’s annual premium equivalent (APE) grew by 9% in the last financial year. Individual APE increased by 13% year-on-year, while group protection grew by 5%. However, the group fund segment experienced a decline due to increased competition and sensitivity to interest rates.
For FY26, SBI Life Insurance is expecting an APE growth of 12%. The company is focusing on better-than-industry growth and plans to achieve this by strengthening its traditional product portfolio. ULIPs currently constitute over 60% of the company’s APE, but Jhingran aims to reduce this share by increasing contributions from traditional products.
The company’s market share in the private sector life insurance space was 20.8% in FY25, while its overall market share, including LIC, was around 9%. SBI Life Insurance’s individual new business premium (NBP) experienced a minor dip in market share within the private life insurance sector. However, the company gained 26 basis points in market share in the overall industry space.
The company’s VNB margin for the last fiscal year was 27.8%, within the guided range of 27-28%. SBI Life Insurance plans to maintain this margin guidance for FY26. The agency channel witnessed muted growth in the fourth quarter due to the launch of new traditional products with lower ticket sizes compared to ULIPs. The company is working to improve agent productivity and activity levels.
Overall, SBI Life Insurance is focusing on diversifying its product portfolio and reducing its dependence on ULIPs. The company is confident about achieving better-than-industry growth and maintaining its VNB margin guidance.
