India’s private life insurance sector recorded an impressive APE growth of 18% in June 2026. According to a Kotak Institutional Equities report, this rise was due to the strong performance of tier-II insurance companies, while the top-4 companies also showed recovery.
New Delhi [भारत]July 10 (ANI): India’s private life insurance sector maintained its healthy growth pace in June 2026, according to a report by Kotak Institutional Equities. Aggregate annual premium equivalent (APE) growth reached 18 per cent year-on-year, driven by strong performance by tier-II insurance companies.
The report said industry-wide APE growth improved to 15 percent in June compared to 11-12 percent in May.
Increase in individual and group APE also
Individual APE growth for private insurers accelerated to 14 per cent year-on-year in June from 12 per cent in May. For Q1FY27, individual APE growth stood at 15 percent. Private sector group APE grew by a massive 74 per cent year-on-year during the month, supporting overall premium growth.
Tier-II companies continue to dominate
The top four private life insurers also saw a recovery and recorded year-on-year APE growth of 14 per cent in June compared to around 5 per cent in May. Tier-II insurance companies continued to outperform the top four companies for the eighth consecutive month. Private insurers, barring the top four, recorded annual APE growth of 23 per cent in June, with the strongest growth among tier-II companies at 29 per cent. For Q1FY27, private insurers excluding the top four recorded year-on-year APE growth of around 23 per cent, while for the top four insurers it was around 14 per cent.
Moderation in sum assured growth
Despite strong premium growth, the report said growth in sum assured for the private sector slowed to 11 per cent from 60 per cent in April and in the range of 27-53 per cent during H2FY26. “We expect the sum assured/term business to continue to be bullish and will watch SA growth trends with concern,” the report said. (ANI)
(Except for the headline, this story has not been edited by Asianetnews Editorial staff and is published from a syndicated feed.)