Life insurers' new business premium rises 12% in October on GST relief
- IBEF
- November 11, 2025
Healthy growth in both individual and group segments boosted the life insurance industry’s new business premium (NBP) by 12.06% YoY to Rs. 34,006.90 crore (US$ 3.83 billion) in October 2025, as per data from the Life Insurance Council. The exemption from the Goods and Services Tax (GST) drove a rise in both policy sales and premium collections during the month. The NBP in October 2024 stood at Rs. 30,347.60 crore (US$ 3.42 billion). State-owned Life Insurance Corporation of India (LIC) reported a 12.5% YoY increase to Rs. 19,274.01 crore (US$ 2.17 billion), while private life insurers posted an 11.5% YoY rise to Rs. 14,732.90 crore (US$ 1.66 billion).
The individual insurance segment surged 18.3% YoY to Rs. 12,932.50 crore (US$ 1.46 billion), while the group premium rose 8.6% YoY to Rs. 21,174.40 crore (US$ 2.39 billion). LIC, the market leader in group insurance, saw a 7.8% increase to Rs. 14,470.50 crore (US$ 1.63 billion), while private insurers grew 10.3% to Rs. 6,703.92 crore (US$ 755.71 million). In the individual segment, LIC’s premium jumped 29.4% to Rs. 4,803.50 crore (US$ 541.48 million), even as private insurers saw a 17.3% dip. Among private players, State Bank of India (SBI) Life Insurance led with 20.3% growth to Rs. 3,185.01 crore (US$ 359.04 million), followed by HDFC Life Insurance (1.06%), ICICI Prudential Life Insurance (6.5%), Axis Max Life Insurance (8.2%), and Bajaj Allianz Life Insurance (15%). The number of policies sold surged 62.7% YoY to 1.95 million, with LIC’s policy sales rising 120% and private insurers’ up 10.5%. Between April-October 2025-26, the industry premium grew 8.2% YoY to Rs. 2,40,000 crore (US$ 27.05 billion), supported by steady gains from both LIC and private insurers.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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