IDBI Federal Life Insurance reports Rs 148 cr profit for FY20

Private life insurer IDBI Federal Life Insurance on Monday reported a net profit of Rs 148 crore in 2019-20 against Rs 133 crore in 2018-19.

The company's total premium declined by 4.65 per cent to Rs 1,843 crore in 2019-20 from Rs 1,933 crore in 2018-19.

"While FY20 has been a challenging year for the organisation, we have taken a number of steps to steady the course. We focused on growing our distribution footprint primarily through our proprietary channels, while continuing to strengthen bottom line parameters such as persistency, costs, surrenders, claims, PAT and solvency margin," the company's managing director and CEO Vighnesh Shahane, said in a release.

Renewal premium grew by 14 per cent to Rs 1,282 crore as against Rs 1,126 crore in 2018-19.

Its solvency ratio stood at 298 per cent compared with 334 per cent in 2018-19.

The 13th month persistency stood at 83 per cent in FY20.

Shahane said the company will continue to ramp up its distribution channels, while looking at further leveraging the relationship with our bancassurance partners.