APN News

Shriram Life Insurance’s Retained Earnings Jumps 32% to 328 Crores

Mumbai: Shriram Life Insurance Company Limited, the life insurance arm of 80,000 Crore Shriram Group has announced its Annual Results for the financial year ended 31st March 2015.

Continuing its track record of sustainable growth, Shriram Life Insurance has posted a pre net surplus of Rs. 103 crore, during the financial year ending March 31, 2015. Operational efficiency has been the key driver of Shriram Life’s profitability. The Company is among the top 9 private life insurers on Policy Count, for the financial year 2014-15.

During the year 2014-15, the company collected a new business premium of 498 Crores on 1.91 Lakh policies. The new business premium saw a growth of 28% over last year. Pre-tax surplus continued to be strong at 103 Crores while the retained earnings have climbed to 328 Crores at the end of last fiscal.

Commenting on Results, Akhila Srinivasan Managing Director Shriram Life Insurance said, 2014-15 was the biggest year for us in terms of policy count. The company sold 1.91 lakh policies, a growth of 38% over last year. We are among the top nine private life insurers on policy count. The strong growth in policy count is testimony to company’s focus on penetrating into lower and lower middle segment. The Company has been substantially exceeding the minimum social and rural regulatory norms.

She further added; Shriram life is dedicated to bring prosperity for all stake holders. The company announced its maiden dividend of 9% for its share holders. In addition to this, to mark the completion of 10 years of operation the company has declared a special onetime bonus of Rs. 10 per 1000 sum assured for all the participating policies that were in force as at 31st March 2015. In line with group philosophy – we will continue to focus on Inclusive growth by taking life insurance to the section where it is needed the most – the ‘AAM AADMI” (Common Man). We aim to sell more than 2.5 Lakh policies and a 30% growth in new business premium in the current financial year.

Mr. Manoj Jain, CEO of Shriram Life Insurance, said – Our net profit has come down by close 7% from last year as we opened more than 160 Branches in Northern, Eastern & Western States and we will continue to develop our distribution network in the coming year too. We are building capacity for future growth; Capacity building may impact the profitability in short term but it’s part of our endeavour to penetrate and reach the common man of the country. We have recently introduced more customer friendly products and remain committed to bring more and more people under the umbrella of insurance.

We will continue to consolidate in Southern Market, but our major focus is to expand in North & West. We plan to add around 70-75 new offices in the states of UP, Bihar, Odisha, Jharkhand, MP, Maharashtra, Punjab & Gujarat.

Source : Sachin Murdeshwar

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