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LIC recovers its NBP mojo in Sep-25; led by group policies

10 Oct 2025 , 09:29 AM

SEPTEMBER 2025 – LIC SHOWS A SMART BOUNCE IN NBP

After several months of contraction in NBP, September 2025, LIC and the private insurers saw smart growth in NBP. Private insurers still led the NBP growth story in September 2025 at 17.74%, but LIC redeemed itself, growing NBP at 12.7%. The combined NBP growth in September stood at a healthy 14.81%. For LIC, the positive growth came from Group policies, with individual policy NBP still contracting. Here is a quick look at the September 2025 insurance story.

SEPTEMBER 2025 NBP GROWS 14.81%, FY26 GROWS 7.64%

The table captures new business premium (NBP) growth of life insurers for September 2025.

PARTICULARS	NBP (Sep-25)	NBP (Sep-24)	Growth YOY (%) Sep-25 / Sep-24	Growth YOY (%) FY26 / FY25
Individual Single Premium	4,515.78	5,141.99	-12.18%	4.99%
Individual Non Single Premium	10,837.11	11,500.11	-5.77%	2.16%
Group Single Premium	22,574.81	17,052.25	32.39%	7.94%
Group Non Single Premium	623.75	115.62	439.48%	10.61%
Group Yearly Renewable Premium	1,655.23	1,210.31	36.76%	61.20%
Grand Total Premium Flows	40,206.67	35,020.28	14.81%	7.64%
PRIVATE INSURANCE COMPANIES
Individual Single Premium	2,046.72	1,908.55	7.24%	5.58%
Individual Non Single Premium	8,228.00	7,638.09	7.72%	8.05%
Group Single Premium	5,897.48	4,265.64	38.26%	13.80%
Group Non Single Premium	84.05	12.49	572.94%	181.61%
Group Yearly Renewable Premium	993.33	826.25	20.22%	50.18%
Private Insurer Premium Flows	17,249.58	14,651.02	17.74%	12.21%
LIC OF INDIA
Individual Single Premium	2,469.06	3,233.44	-23.64%	4.55%
Individual Non Single Premium	2,609.11	3,862.02	-32.44%	-10.81%
Group Single Premium	16,677.34	12,786.61	30.43%	6.19%
Group Non Single Premium	539.70	103.13	423.32%	4.56%
Group Yearly Renewable Premium	661.90	384.06	72.34%	95.22%
LIC Premium Flows	22,957.09	20,369.26	12.70%	4.72%

Data Source: Life Insurance Council (New Business Premiums – NBP figures are ₹ in Crore)

There are 2 quick takeaways from the NBP data for September 2025 and FY25 till date.

For the month of September 2025, the growth contribution came from the private insurers and also from LIC. However, in the case of LIC, only Group non-Single Premiums showed a sharp growth while individual policy NBPs contracted. The trend was slightly better for private insurers where individual policies showed lower growth.
There was visible expansion in premium collections for September 2025 at ₹40,207 Crore; compared to ₹30,959 Crore in August, and ₹38,958 Crore July. It was also higher yoy. Private insurers saw their share of NBP falling to 42.90% in September 2025; compared to 48.24% in August 2025, but better than 41.94% in July and 33.4% in June 2025. The share of LIC improved correspondingly to 57.10% from 51.76% in the previous month. Private insurers have hovered around the half-way mark in terms of NBP.

On an absolute basis, the new business premiums are meaningfully higher than the previous 3 months as well as the year-ago period. That is the good news!

LIC STILL STRUGGLES WITH POLICY CONTRACTION IN SEPTEMBER 2025

In terms of number of policies sold, LIC saw a sharp contraction in September 2025, but private insurers managed to close just marginally in the negative.

PARTICULARS	Policies (Sep-25)	Policies (Sep-24)	Growth YOY (%) Sep-25 / Sep-24	Growth YOY (%) FY26 / FY25
Individual Single Premium	1,12,420	1,49,887	-25.00%	-8.26%
Individual Non Single Premium	20,91,886	30,63,667	-31.72%	-14.57%
Group Single Premium	331	253	30.83%	-8.44%
Group Non Single Premium	455	584	-22.09%	-8.14%
Group Yearly Renewable Premium	1,210	3,489	-65.32%	-54.16%
Grand Total No. of Policies	22,06,302	32,17,880	-31.44%	-14.31%
PRIVATE INSURANCE COMPANIES
Individual Single Premium	32,150	28,076	14.51%	16.06%
Individual Non Single Premium	8,15,433	8,37,646	-2.65%	-0.40%
Group Single Premium	249	224	11.16%	-8.24%
Group Non Single Premium	10	8	25.00%	75.81%
Group Yearly Renewable Premium	552	493	11.97%	4.09%
Private Insurer No. of Policies	8,48,394	8,66,447	-2.08%	0.18%
LIC OF INDIA
Individual Single Premium	80,270	1,21,811	-34.10%	-15.00%
Individual Non Single Premium	12,76,453	22,26,021	-42.66%	-21.18%
Group Single Premium	82	29	182.76%	-9.35%
Group Non Single Premium	445	576	-22.74%	-10.30%
Group Yearly Renewable Premium	658	2,996	-78.04%	-67.89%
LIC No. of Policies	13,57,908	23,51,433	-42.25%	-20.90%

Data Source: Life Insurance Council (Number of Policies are absolute figures)

Here are quick life insurance takeaways for September 2025 in terms of number of policies sold.

The overall insurance sector saw a fall in number of policies sold at -31.44% for September 2025. While the number of policies sold by LIC fell by -42.25%, the policy sales by the private players fell by a modest -2.08%.
Overall policies sold for September 2025 were higher MOM at 22.06 Lakhs, compared to 21.46 Lakhs last month. Private insurers saw their share of number of policies sold rise to 38.5% in September 2025; even as LIC saw its share of policies sold fall to 61.5%.

Let us turn to how the NBP of 5 largest private life insurers grew in September 2025.

NBP TRENDS: TOP 5 PRIVATE INSURERS BY NBP IN SEPTEMBER 2025

In September 2025, 7 private insurers saw new business premium (NBP) collections of over ₹1,000 Crore, with overall NBP rising 17.74% yoy. The top 5 private insurers account for 66.4% of overall private sector insurance NBP.

SBI LIFE INSURANCE COMPANY	Sep-25 NBP (₹ in Crore)	Sep-24 NBP (₹ in Crore)	YOY Growth (in %)
Individual Single Premium	754.06	694.74	8.54%
Individual Non Single Premium	1,802.10	1,558.40	15.64%
Group Single Premium	1,328.08	643.45	106.40%
Group Non Single Premium	0.42	0.85	-50.59%
Group Yearly Renewable Premium	68.57	94.33	-27.31%
Total	3,953.22	2,991.77	32.14%