Ageas Federal Life Insurance aims 3x premium growth by FY28: CEO Gomes

Company is open to exploring non-life opportunities once composite licence is approved by Parliament

Ageas Federal Life Insurance, a joint venture between Belgium-based Ageas and Federal Bank, is targeting a threefold increase in premium income to nearly ₹4,000 crore by 2028 and aims to break into the league of top 10 life insurers, said Jude Gomes, managing director and chief executive officer of the company, in an interaction with Business Standard.

 

Growth will come primarily from expanding its distribution channels and strengthening its presence in the country.

 

The insurer is planning to explore opportunities if a composite licence is approved, and expand its operations into GIFT City, Gomes added.

 

The company recorded a new business premium of ₹1,338.28 crore in FY25. During April-November 2025-26, its new business premium stood at ₹888 crore. Of this, 80-85 per cent came through its bancassurance partnerships, primarily with Federal Bank.

 

The company is planning to strengthen its agency channel and increase its contribution to overall premium to 25-30 per cent from 6-7 per cent now, while continuing to expand its reach through the bancassurance network.

 

In recent months, the insurer added several partners — including CSB Bank, Jio Credit, Vakrangee, Capri Global, and Muthoot Finance — to its bancassurance portfolio.

 

“While bancassurance remains a core growth driver, we are leveraging a multi-channel strategy that includes agency transformation in Tier-II and -III markets, expansion through new bancassurance partnerships, brokers, fintech and affinity platforms, digital direct-to-customer channels, innovative product offerings in protection, annuity, and unit-linked insurance plans, as well as enhanced cross-sell and persistency initiatives,” Gomes said.

 

The company also plans to expand into GIFT City and submitted an application about six months ago. It expects to secure it soon.

 

In addition, as the industry awaits amendments to the Insurance Act during the winter session of Parliament, Gomes said the company planned to explore any new opportunities that might emerge if the composite licence was approved.

 

However, he added that Ageas, which holds 70 per cent in the joint venture, would not be interested in increasing its stake to 100 per cent even if the government allowed it, owing to the “critical strength” brought by Federal Bank.

 

Federal Bank holds the remaining 30 per cent in the company.

 

“We will explore all opportunities available. We are operating at a certain quartile. ‘Composite’ is a great licence. Ageas worldwide is a life and a non-life company and we have reinsurance as well. It only complements us and gives us more bandwidth to operate.”

 

With the removal of goods and services tax (GST) on retail insurance products, the industry is seeking additional measures from the government and regulator to boost penetration and inclusion, Gomes said.

 

These include “enhanced tax incentives for protection and retirement products, simplified digital taking on board, expanding micro-insurance schemes, regulatory flexibility for innovative and bundled products, encouragement for fintech and alternative distribution channels, consumer awareness initiatives, and promotion of long-term savings”.