SBI Life Insurance Reports Strong Q3 FY26 Performance with 5% Profit Growth
SBI Life Insurance Company Limited announced its financial results for the third quarter ended December 31, 2025, on Wednesday, showcasing a steady growth trajectory in a competitive insurance landscape. The company posted a 5% year-on-year increase in net profit, reaching ₹577 crore, compared to ₹551 crore in the corresponding quarter of the previous fiscal year.
Robust Premium Income and Customer Retention
Net premium income demonstrated impressive growth, jumping 22% year-on-year to ₹30,245 crore. This surge was driven by a 24% increase in one-time premium receipts and a nearly 21% rise in renewal premiums from existing policies, highlighting strong customer retention and loyalty. The total New Business Sum Assured reached ₹10,833.6 billion, reflecting a substantial 69% growth, indicating robust demand for insurance products.
Rising Operating Costs and Asset Growth
However, the quarter also saw a significant rise in operating expenses. Management expenses surged more than 45% to ₹3,519 crore, primarily due to a 28% increase in commissions and a 36.6% rise in employee-related costs. Despite these higher expenses, assets under management (AUM) grew 16%, increasing from ₹4,416.8 billion as of December 31, 2024, to ₹5,117.1 billion as of December 31, 2025. The debt-equity allocation stood at 59:41, with nearly 95% of the debt portfolio invested in AAA-rated and sovereign instruments, ensuring a secure investment strategy.
Management Insights and Industry Context
Amit Jhingran, Managing Director and CEO of SBI Life, commented on the results, stating, "The life insurance industry witnessed improved momentum during the third quarter, supported by recent regulatory measures and a gradual shift in customer preference towards higher sum assured products. The exemption of GST on individual policies contributed to improved affordability and aided demand during the quarter." He added that growth in Q3 accelerated compared to the first half of FY26, driven primarily by volume increases from more individual policies sold.
Business Growth and Market Leadership
The company reinforced its leadership in the individual insurance segment, achieving an Individual Rated Premium of ₹166.8 billion and capturing a 25.6% share of the private market during the nine-month period of FY26. Individual New Business Premium grew by a healthy 13.5% year-on-year to ₹225.5 billion in 9M FY26, reflecting steady demand across key product lines.
Overall growth remained robust, with Gross Written Premium (GWP) rising 20% year-on-year to ₹733.5 billion in 9M FY26. This expansion was largely driven by a 24% increase in single premium and a 21% growth in renewal premium, demonstrating a balanced mix of new sales momentum and strong persistency in the existing book.
Future Outlook and Strategic Focus
Jhingran emphasized, "SBI Life remains focused on maintaining a balanced approach to growth and profitability. The company continues to strengthen its product portfolio, distribution capabilities and operational efficiencies, while adhering to prudent risk management practices. As one of the leading life insurance companies in India, SBI Life remains committed to increasing insurance penetration, while delivering long-term value to all stakeholders."
The results underscore SBI Life's strong position in the Indian insurance sector, with significant growth in premiums and assets, albeit amid rising operational costs. The company's performance aligns with broader industry trends favoring higher sum assured products and regulatory support.
