Insurance – Monthly Update – Growth momentum sustains; outlook remains watchful
Published on 22 Apr 2026
Growth momentum steady; Axis Max Life leads in FY26: Private players saw a steady individual APE growth in Mar’26 (7.8% YoY vs. 20.1%/7.2% in Feb’26/Jan’26). Within our coverage, SBI Life witnessed a growth of 8.5% YoY, followed by Axis Max Life (+6.9% YoY). However, IPRU Life and HDFC Life recorded a de-growth of 0.9% and 0.3% YoY respectively. Other players like Aditya Birla Sun Life, Bajaj Life, Tata AIA saw a sustained growth in volume (6.2%/ 6.7%/ 16.0% YoY respectively), while LIC also saw an uptick of 9.9% YoY. In FY26, the industry grew by 10.1% YoY, with private players performing better (+12.2% YoY) especially Axis Max Life which grew by 18.7% YoY and SBI Life by 13.1%. HDFC Life registered an Individual APE growth of 7.7% YoY in FY26 while IPRU saw a decline of 1.2% YoY. The near-term outlook remains cautious amid global uncertainties; expect growth to see a gradual improvement driven by sustained growth in protection. Prefer MAXF among private life insurers: In our coverage universe, Axis Max Life has delivered a strong APE growth of 19% YoY in FY26. As the drag from impact of GST neutralizes in FY27, VNB margin is expected to improve supported by better product mix. Reiterate BUY on MAXF (TP of INR 2,040 at 2.2x FY27E P/EV).
