SBI Life Insurance Reports FY 2025 Premium Growth and Strong Financial Metrics
SBI Life Insurance reported its financial and operational results for the fiscal year ended March 31, 2025. The insurer recorded a New Business Premium (NBP) of Rs. 35,577 crores, reflecting a modest decline from Rs. 38,238 crores in the prior year, with an 11% increase in regular premium collections. The company's focus on protection products is evident with protection new business premium reaching Rs. 4,095 crores, including Rs. 793 crores from individual protection policies. Individual new business premium grew by 11%, hitting Rs. 26,360 crores. SBI Life posted a profit after tax (PAT) of Rs. 2,413 crores, marking a 27% increase year-over-year. Its solvency ratio stood strong at 1.96, surpassing the regulatory minimum of 1.50, indicating healthy financial stability.
Assets under Management (AUM) expanded by 15% to Rs. 4,48,039 crores, maintaining a debt-to-equity investment mix of 61:39, with a majority of debt holdings in AAA and sovereign instruments, underscoring prudent risk management. The insurer's distribution network remains extensive, supported by over 309,000 trained insurance professionals and 1,110 operational offices nationwide. The diverse distribution channels include bancassurance, agency networks, corporate agents, brokers, point-of-sale personnel, marketing firms, web aggregators, and direct sales.
Noteworthy metrics include a private market leadership position with a 22.8% market share in individual rated premium totaling Rs. 19,354 crores, and annualized premium equivalent (APE) rising 9% to Rs. 21,417 crores. The company reported a 43% growth in individual new business sum assured, reaching Rs. 2,76,918 crores. Persistency improved, with 13-month and 61-month durations increasing by 63 basis points and 528 basis points, respectively. The value of new business (VoNB) stood at Rs. 5,954 crores, a 7% year-over-year increase, with a VoNB margin of 27.8%. Indian Embedded Value (IEV) rose 21% to Rs. 70,250 crores, supported by an operating return on embedded value of 20.2%.
This performance reflects SBI Life Insurance’s continued emphasis on financial discipline, product diversification, and sustainable growth within the competitive Indian life insurance market. The company adheres to regulatory compliance and risk management standards, maintaining strong solvency and a diversified asset base. The sustained growth in AUM and new business metrics positions SBI Life solidly among private market leaders, while its broad distribution network enhances market penetration and customer outreach.
Looking ahead, SBI Life faces typical industry risks including regulatory changes, market volatility, and integration of digital technologies to enhance customer and distributor experiences. The company’s ongoing investment in digital transformation and extensive network capability aims to support scalable growth and operational efficiency. As one of India’s top life insurers, SBI Life’s financial results illustrate resilience and adaptive strategies suitable for navigating regulatory and market dynamics in the life insurance sector.