ICICI Prudential Sees Mixed Momentum in June Premium Metrics

Image Source: Business Today

ICICI Prudential Life Insurance Company Ltd has reported a nuanced performance for June 2025, reflecting both resilience and recalibration in its premium growth trajectory. While new business premiums surged, a dip in annualized premium equivalent (APE) signals evolving market dynamics and consumer preferences.

Premium performance

Key Highlights:

New business premium for June 2025 stood at 15.73 billion rupees, showcasing robust demand across proprietary and bancassurance channels.
This figure marks a healthy year-on-year growth, reinforcing ICICI Prudential’s strong distribution footprint and product diversification.
However, APE for the month declined by 5.2% compared to June 2024, indicating a shift in product mix and subdued traction in certain segments.

Strategic implications:

The decline in APE is attributed to lower uptake of unit-linked products and a cautious consumer stance amid market volatility.
ICICI Prudential continues to focus on high-margin protection and annuity products, which have shown consistent growth over the past quarters.
The company’s proprietary channel remains a key contributor, although its performance was tempered by a high base effect and changing customer preferences.

Market outlook:

Despite the APE dip, ICICI Prudential’s overall premium momentum remains intact, supported by its multi-channel strategy and digital enablement.
Analysts expect the insurer to recalibrate its product offerings and distribution mix to regain APE growth in the coming quarters.
The June data underscores the importance of balancing volume growth with profitability and long-term value creation.

Sources: Business Standard, SMEStreet, Mint, The Hindu BusinessLine