HDFC Life Insurance Company Limited
Performance Overview
HDFC Life Insurance Company Limited reported its financial results for the quarter ended June 30, 2026 (Q1 FY27). The Board of Directors approved and adopted the reviewed standalone and consolidated financial results.
Key Financial Metrics
Premium Performance:
- Individual Annualized Premium Equivalent (APE): ₹2,969 crore (Q1 FY27) vs ₹2,777 crore (Q1 FY26), 7% YoY growth
- Total APE: ₹3,515 crore (Q1 FY27) vs ₹3,225 crore (Q1 FY26), 9% YoY growth
- New Business Premium (Individual + Group): ₹8,143 crore (Q1 FY27) vs ₹7,272 crore (Q1 FY26), 12% YoY growth
- Renewal Premium (Individual + Group): ₹9,023 crore (Q1 FY27) vs ₹7,603 crore (Q1 FY26), 19% YoY growth
- Total Premium: ₹17,166 crore (Q1 FY27) vs ₹14,875 crore (Q1 FY26), 15% YoY growth
Profitability:
- Profit After Tax: ₹611 crore (Q1 FY27) vs ₹545 crore (Q1 FY26), 12% YoY growth
- Excluding GST impact, underlying PAT growth stood at 17%
- Value of New Business (VNB): ₹879 crore (Q1 FY27) vs ₹809 crore (Q1 FY26), 9% YoY growth
- New Business Margin: 25.0% (Q1 FY27) vs 25.1% (Q1 FY26)
- Excluding GST impact, VNB margin would have been 25.6% and VNB growth 11%
Scale and Solvency:
- Assets Under Management: ₹4,00,870 crore (Q1 FY27) vs ₹3,55,897 crore (Q1 FY26), 13% YoY growth
- Including wholly owned subsidiary HDFC Pension Fund Management, AUM crossed ₹5.7 lakh crore
- Embedded Value: ₹65,860 crore
- Operating Return on EV: 14.7% (rolling 12-month basis)
- Solvency Ratio: 185% (June 2026) vs 192% (June 2025)
Business Performance Highlights
Product Mix (Individual APE):
- ULIP: 44% (Q1 FY27) vs 38% (Q1 FY26)
- Non-par savings: 22% (Q1 FY27) vs 19% (Q1 FY26)
- Annuity: 11% (Q1 FY27) vs 5% (Q1 FY26)
- Protection: 8% (Q1 FY27) vs 6% (Q1 FY26)
- Par: 15% (Q1 FY27) vs 32% (Q1 FY26)
Distribution Mix (Individual APE):
- Bancassurance: 57% (Q1 FY27) vs 60% (Q1 FY26)
- Agency: 18% (Q1 FY27) vs 16% (Q1 FY26)
- Non-bank alliances: 15% (Q1 FY27) vs 15% (Q1 FY26)
- Direct: 10% (Q1 FY27) vs 9% (Q1 FY26)
Protection Business:
- Retail protection registered 42% YoY growth
- Retail sum assured grew 31% YoY to ₹1,265 billion
- Credit protect grew close to 20%
- Protection mix (including riders) now contributes nearly 11% of retail business
Persistency Ratios:
- 13-month persistency: 84% (Q1 FY27) vs 86% (Q1 FY26)
- 61-month persistency: 65% (Q1 FY27) vs 64% (Q1 FY26)
- Renewal collections grew 19% YoY
Management Commentary
Vibha Padalkar, MD & CEO:
- Proprietary channels led by agency and non-bank alliances grew by 17%, faster than industry
- Bancassurance channel saw moderate growth resulting in Individual APE growth of 7%
- Counter share at partner banks showed encouraging improvement as quarter progressed
- Strong customer acquisition with number of policies growing in double digits ahead of industry
- Non-participating savings crossed 25% of individual APE on run-rate basis
Niraj Shah, ED & CFO:
- Crossed important milestone with Assets Under Management crossing ₹4 lakh crore
- Focus on being consistent, predictable partner during regulatory transition period
- FY27 aspiration remains unchanged: grow in line with or faster than industry, deliver VNB growth broadly in line with APE growth
Market Position
- Overall industry market share: 11.2%
- Ranked amongst top two players in retail protection
- Over 500 distribution partnerships comprising banks, NBFCs, MFIs, SFBs, brokers
- Count of distribution partnerships: 500+
- Partner branches: 46,000+
Additional Information
- Total expense ratio: 22.6% (Q1 FY27) vs 21.9% (Q1 FY26)
- Total expense ratio excluding GST for current year: 21.2%
- Number of individual policies (new business) sold: 282,000 (Q1 FY27) vs 249,000 (Q1 FY26), 13% growth
- The document includes forward-looking statements subject to risks and uncertainties