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.
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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.