HDFC Life Insurance Company reported a 13.6% year-on-year increase in standalone net profit to ₹508 crore for the July-September quarter, compared with ₹447.15 crore in the year-ago period. Net premium income rose 15.7% to ₹21,727 crore from ₹18,777 crore a year earlier. For the first half of FY27, net premium income increased to ₹38,275 crore from ₹33,243 crore in the corresponding period last year. The insurer's profit after tax (PAT) for the April-September period rose 12.7% year-on-year to ₹1,119 crore, compared with ₹994 crore in H1 FY26. Total premium income rose 16% to ₹39,569 crore in the six months ended September 30, 2026, compared with ₹34,162 crore in the year-ago period.
HDFC Life's value of new business (VNB), a measure of the expected profit from new policies sold, grew 12.1% to ₹2,037 crore in H1 FY27, outpacing annualised premium equivalent (APE) growth of 11%. New business margins improved to 24.7% from 24.5% a year earlier. Total APE rose to ₹8,245 crore from ₹7,413 crore in the year-ago period, while individual APE increased 9% to ₹7,080 crore. Individual weighted received premium grew 11% in the September quarter, surpassing the private life insurance industry's 10% growth, demonstrating the company's competitive positioning. New business premium, including individual and group policies, rose 18% to ₹19,126 crore, while renewal premium increased 14% to ₹20,443 crore. Overall APE increased 13% during the quarter, with the company's market share improving to 16.2% in Q2 from 16.1% in Q1.
First-year premium increased 9.69% year-on-year to ₹3,926.66 crore, while renewal premium rose 10.47% to ₹11,419.87 crore for the second quarter this fiscal. Single premium showed exceptional growth of 31.39% to ₹7,055.96 crore during the period. The number of individual policies sold increased 9% during H1, ahead of industry growth. Retail protection business expanded 33% during H1 FY27, with its share of individual APE rising to 8% from around 7% a year earlier. Retail sum assured increased 21% to ₹2.77 lakh crore, while credit protection business also recorded 19% growth during the first half. Protection products and riders together accounted for 11% of individual APE.
The insurer's Indian embedded value (IEV), a measure of the economic value of its existing business and future profits, stood at ₹66,461 crore, up 12% from ₹59,540 crore a year earlier. The company's rolling 12-month operating return on embedded value was 14.9%, compared with 15.8% a year earlier. The solvency ratio improved to 180% as of September 30, 2026, from 175% a year earlier, although it moderated from 185% at the end of June. Renewal collections increased 14% year-on-year, reflecting growth in the insurer's existing policy portfolio. The company's total expense ratio increased to 22.3% in H1 FY27 from 21.6% year earlier. HDFC Life's assets under management (AUM) rose 13.8% year-on-year to ₹4.1 lakh crore as of September 30, 2026. Including the assets managed by its wholly owned subsidiary, HDFC Pension Fund Management, the combined AUM reached approximately ₹5.9 lakh crore.
Vibha Padalkar, MD & CEO of HDFC Life, commented on the results, stating that individual weighted received premium grew 11% in Q2, ahead of the private industry at 10%. According to The Hindu BusinessLine, she noted that this took the H1 growth to 9% with market share improving to 16.2% from 16.1% in Q1. On the regulatory front, IRDAI has released consultation papers on the economics of insurance distribution, which propose significant changes for the industry. The regulator has encouraged industry participants to share their feedback backed by data and keeping policyholder interest at the centre of the conversations. During the earnings call, management indicated that the proposed reform would impact the agency channel at the industry level, but this channel would be least impacted. Brokers would be the highest impacted, with Padalkar remaining optimistic that the company will be in a stronger position once disruption is digested by all market participants.
