India’s life insurance industry reported robust growth in FY26, with total new business premium (NBP) rising 15.7% year-on-year to ₹4,59,713 crore, compared to ₹3,97,337 crore in FY25, signalling strong demand and improving market confidence. In March 2026, insurers collected ₹75,872 crore in new business premium, up from ₹61,439 crore in March 2025, reflecting sustained traction across both individual and group segments.
Growth was led by the group business segment, with Group Single Premium increasing 17.5% to ₹2,49,766 crore and Group Yearly Renewable Premium surging 39%. Group Non-Single Premium also registered notable gains, though on a smaller base. The individual segment remained resilient, with Individual Non-Single Premium rising 10.1% to ₹1,26,900 crore and Individual Single Premium growing 12.3% to ₹57,664 crore.
The industry issued over 2.83 crore policies in FY26, marking a 4.7% increase. Higher premium growth relative to policy volumes indicates rising average ticket sizes and improved product mix. “The life insurance industry’s robust performance reflects rising awareness and a shift towards planned financial protection,” said Kamlesh Rao, Chairperson of the Insurance Awareness Committee (IAC-Life), adding that addressing the protection gap remains a priority.
