ICICI Prudential Life confident to double value of new business premium in FY23 over FY19

Despite hit by the COVID-19 pandemic, ICICI Prudential Life is confident of meeting the 2022-23 target of doubling the value of new business premium over the 2018-19 numbers, and has set an annual growth rate of around 30 per cent for the same.

To attain the objective set in April 2019, the second-largest private sector life insurer will continue to increase its focus on protection and savings products.

Satyan Jambunathan, ICICI Prudential Life Chief Financial Officer said that the company is well on track to meet the 2022-23 target of doubling the value of new business (VNB) premium over the same in 2018-19. “For this, we have also set a target of growing around 30 per cent annually over the next two years.”

Its VNB for the 9 months of 2020-21 stood at Rs. 1,030 crore with a margin of 25.7%, of which Rs. 428 crore came in the third quarter.

The company’s main focus will be on protection products to meet the target of doubling of VNB by 2022-23. “I am pretty confident that the target is achievable if we grow at 30 per cent over the next two year, which to me is also realistic, despite the fact that the premium is very small for protection policies,” he added.

To attain the target, ICICI Prudential is driving protection products that clipped at 14%, traditional long-term savings that grew 36%, and annuity that gained 125% year-on-year in the third quarter, said Jambunathan.