India's life insurance industry clocks 10 pc retail annual premium equivalent growth in July

New Delhi, Aug 11 The life insurance industry reported “satisfactory” business growth with 10 per cent retail annual premium equivalent (APE) growth in July 2025, a report said on Monday.

The private life insurance companies grew 14 per cent and LIC's retail APE grew at a flat 0.4 per cent, according to a report from Emkay Global Financial Services Ltd.

The annual premium equivalent is the total value of regular or recurring premiums plus 10 per cent of new single premiums written in the period.

Retail APE rose 6.4 per cent this year, with private sector growth at 10 per cent. The month of July saw a 14 per cent growth for the industry on a 2-year CAGR.

"Considering the high base of H1FY25 and the impact of the new surrender regulations, the industry is expected to maintain its subdued growth trajectory in H1FY26," the report said.

HDFC Life outperformed expectations with a 25 per cent retail APE rise in July 2025. Axis Max Life's growth slowed to 14 per cent after strong growth in recent months. SBI Life grew 9 per cent, whereas IPRU Life's retail APE fell 3 per cent due to a large base effect.

"With growth anticipated to revive in H2FY26, we expect the industry to deliver 11-12 per cent retail APE growth, backed by the private sector growing at 13-14 per cent and LIC at 6-7 per cent," the report said.

Group APE for the month grew at a strong 31 per cent, primarily driven by the private players’ strong 61 per cent growth. Meanwhile, LIC logged 12 per cent Group APE growth. The total APE for the industry grew 15 per cent, with the private sector clocking 22 per cent growth and LIC seeing 5 per cent expansion, the report added.

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