Tata AIA Life Insurance has declared Rs 1,183 crore in dividend payout to participating policyholders for the past financial year, which is 37 per cent higher than the preceding fiscal and the highest till date.
The Tata Group company has been paying bonuses to its policyholders over the years, and the FY23 bonus is 37 per cent higher than Rs 861 crore paid in FY22, the company said, adding 7,49,229 policyholders are eligible for the bonus, Samit Upadhyay, the president & chief financial officer said.
The company's participating (Par) products offer life cover, income, as well as lump-sum benefits in the form of bonuses.
The higher payout is due to the company reporting a multi-fold increase in net income at Rs 506 crore in FY23, up from Rs 71 crore in the previous fiscal.
The income growth was led by the individual new business premium that rose 59 per cent to Rs 7,093 crore in the reporting year.
Total premium income for the fiscal grew 42 per cent to Rs 20,503 crore from Rs 14,445 crore, helping it book a 615 per cent increase in net profit at Rs 506 crore from Rs 71 crore in FY22.
The retail sum assured underwritten has grown from Rs 3,07,804 crore to Rs 4,43,479 crore, a growth of over 44 per cent on-year, helping it increase its market share to 27 per cent from 21 per cent in FY22.
Total renewal premium rose 32 per cent to Rs 11,964 crore on-year, and the asset under management grew by 21 per cent to Rs 71,006 crore.
Its individual death claims settlement ratio improved from 98.53 per cent in FY22 to 99.01 per cent in FY23. The company's total assets under management stood at Rs 71,006 crore.