Life Insurance – Monthly Update – Growth trajectory remains upward
Published on 12 Jan 2026
New Business Premium (NBP) for private players saw a buoyant growth at 25.8% YoY (+13.2% YoY in Nov’25/ +12.4% YoY in Oct’25). Axis Max Life and IPRU Life performed better than peers (~25.0% YoY) followed by SBI Life at 19.4% YoY while growth for HDFC Life was healthy at 14.6% YoY. LIC’s NBP expanded 57.5% YoY resulting in Industry NBP growth (+40.0% YoY). On YTDFY26 basis, industry NBP has grown by 13.4% YoY.
BUY Max FS and HDFC Life: Expect FY26 VNB margins to be range-bound due to the impact of GST disallowance; however positive growth momentum and favorable product mix likely to offset some of the drag. Reiterate BUY on Max Life (TP of Rs 1,925 at 2.1x FY27E P/EV) and HDFC Life (TP of Rs 900 at 2.6x FY27E P/EV)
