New Delhi : Tata AIA Life Insurance Company Limited (Tata AIA Life) today announced it has registered an Individual Weighted New Business Premium (IWNBP) income of Rs. 3,416 crore for that for the financial year 2020-21, a robust growth of 26.9% compared to Rs. 2,692 crore for the year 2019-20. The Company has witnessed CAGR increase of 23.70% in IWNBP income for the last two financial years.
The Company has maintained its focus and consolidated its leadership position in the Retail Protection business (Life Insurance solutions known as Pure Term policies) by registering a 35% CAGR in the Retail Protection Business over the last two financial years.
The IWNBP market share of the Company has gone up to 7.56% from 6.40% in FY20. The total premium income has increased to Rs. 11,105.09 crore as against Rs. 8,308.51 crore in FY20, a growth of 34%. The total renewal premium income has also witnessed a 37% growth compared to the last financial year and increased from Rs. 5,066.49 crore to Rs. 6,961.36 crore.
The total Assets Under Management (AUM) have also witnessed a significant growth of 47.16% and increased to Rs. 46,281 crore from Rs. 31,450 crore in the last fiscal. As of 31st March 2021, 99.93% of Tata AIA Life’s Asset Under Management are rated 4 star or 5 star on a 5-year rating. 82% of these assets were rated 5 star over the same period by Morningstar*.
During the year, Tata AIA Life has also cemented its Bancassurance distribution channel by renewing the Corporate Distribution agreement with the IndusInd Bank.
Tata AIA Life continued to deliver robust performance on all critical consumer parameters. The 13th Month Persistency remained at 88.28% despite the adverse impact of the Covid-19 Pandemic. The Company has taken many essential measures to enhance the Customer Experience both at the on-boarding and servicing stages. As a result of these initiatives, 98% of policies during the year were submitted digitally. The Self-Service ratio for policy-holders also went up to 91% from 85% in FY20.
Tata AIA Life also witnessed significant improvement in Employee Satisfaction and Engagement score that helped the Company win the Kincentric Best Employer Award for the fifth consecutive year. It has achieved an employee engagement index of 91%%, almost 15% higher than the industry average.
During these unprecedented times, the Company introduced a series of initiatives to ensure the physical, mental, and emotional well-being of its employees and their families too. These initiatives include vaccination drives for eligible employees, reimbursement of vaccination costs, vaccination leave, COVID Kavach policies, 24X7 free access to Specialist doctors, and one-on-one counseling to manage stress and anxiety.
Speaking on the performance of the Company, Naveen Tahilyani, MD & CEO Tata AIA Life, said, “We kept up the momentum of our business even in the most disruptive year. Our market share grew, outpacing industry growth yet again and we continue to maintain our leadership in protection, having registered the highest growth in the last two years. Our Agency growth too is ahead of industry. We are in a good place to strengthen further our commitment towards financial protection of families across the country.
Our excellent financial results are also an outcome of the company’s commitment to supporting and uplifting all stakeholders in the ecosystem. Tata AIA Life has gone that extra mile to ensure consumer and employee safety first. We rolled out a slew of effective initiatives to safeguard our employees and also to serve our consumers from the safety of their homes. The emphasis on customer-centric initiatives, especially in the last year, reflects in our Net Promoter Score [NPS] which is at an all-time high of 59.”
“The pandemic has heightened the awareness regarding the need for Life Insurance. We are well positioned to serve consumers with a good product mix, multiple channels of distribution and investment in developing strong digital capabilities to ensure convenience, speed and safety especially in these times”, he added.
As the company completes 20 years of existence, it is poised to introduce Health & Wellness related products in the coming year, marking a new chapter in the history of the industry.