HDFC Life Insurance registered a 15.9 per cent drop in its net profit to ₹274.16 crore in the second quarter of the fiscal as against ₹326.09 crore in the same period last fiscal.
“Our profit after tax stands at ₹577 crore for the first half of 2021-22, which is 26 per cent lower than the first half of 2020-21, on the back of higher claims reserving warranted by the second wave of the pandemic,” said Vibha Padalkar, Managing Director and CEO, HDFC Life Insurance.
For the quarter ended September 31, 2021, net premium income increased by 13.9 per cent to ₹11,443.96 crore from ₹10,045.44 crore a year ago. The insurer settled around two lakh claims in the first half of the fiscal. Gross and net claims amounted to ₹3,640 crore and ₹2,466 crore, respectively.
“The overall experience has been in line with our projections and we carry an Excess Mortality Reserve (EMR) of ₹204 crore into the second half of 2021-22,” said Padalkar.
Its solvency ratio was at 190 per cent as on September 30, 2021 compared to 203 per cent a year ago. Its 13th month persistency was at 84.8 per cent as on September 30, 2021 versus 83.9 per cent as on September 30, 2020.