SBI Life net up 5 per cent at Rs 861 crore in 2015-16

SBI Life Insurance today reported a 5 per cent growth in net profit at Rs 861 crore for the year ended March 31.

The insurer had posted a net profit of Rs 820 crore in 2014-15, it said in a release issued here.

The individual new business premium of the company increased by 33 per cent to Rs 4,978 crore in 2015-16 from Rs 3,757 crore in the previous fiscal.

SBI Life Managing Director and CEO Arijit Basu said, “FY16 has been one of the strongest years for the company with 29 per cent growth in total New Business Premium and 37 per cent in Rated Individual New Business Premium as compared to 8 per cent for the industry.”

The company’s focus will be on further enhancing its distribution efficiency, lowering operational cost, introducing innovative products and continuing to be customer centric, he added.

The gross total premium received in 2015-16 was Rs 15,825 crore, compared to Rs 12,867 crore last year.

Of this, new business premium accounted for Rs 7,107 crore against Rs 5,529 crore last year, while renewal premium accounted for Rs 8,719 crore compared to Rs 7,338 crore earlier.

SBI Life’s total assets under management (AUM) grew by 12 per cent to Rs 79,828 crore as on March 31, 2016, from Rs 71,339 crore as on March 31, 2015.

Operating expense ratio increased to 9.2 per cent from 9.1 per cent in the previous year.

SBI Life covered 208 lakh lives as on March 31, 2016, an increase of 57 per cent over the previous year.

It covered 2,85,027 lives in the social sector against the mandated 55,000 lives in 2015-16.

The solvency ratio was 2.12 against the regulatory mandate of 1.5, it said.

SBI Life, which is a joint venture between State Bank of India and BNP Paribas Cardif, has 774 offices across the country.

State Bank of India