* Registers a net profit of Rs. 125 crore for Q2FY24
* Maintains robust solvency ratio at 2.lx
* Operating expense to GWP ratio was at a healthy 16.0% in Q2FY24
Star Health and Allied Insurance one of India's leading Health Insurance Company records double-digit growth in both gross written premium and PAT in the second quarter of FY2024 as compared to a year ago. Gross Written Premium grew by 17% to Rs. 3,732 crore versus Rs. 3,193 crore in Q2 of the previous fiscal. The company posted a 35% growth in PAT to Rs. 125 crore in Q2FY24, compared to a profit of Rs. 93 crore in the same period a year ago.
The company's retail health premium witnessed impressive growth, reaching Rs. 3,430 crore in the second quarter of the financial year. This substantial 17% increase compared to the same period last year reflects the company's commitment to meeting the insurance needs of its customers, spanning across the country with heightened focus in tier 3 and tier 4 regions.
In the first half of FY24, Star Health saw 38% growth in fresh digital business, over the same period last year. Also the company registered a 57% fresh banca growth in H1FY24. To increase ease of access, the company redesigned its website to include multilingual support and drove growth through a robust customer awareness digital campaign. Star Health also revamped its payment process to enhance the customer experience and to provide easier access to quality health insurance. During the quarter, a dynamic UPI QR code based payment option was launched that saw rapid adoption by customers.
Commenting on the results, Mr. Anand Roy, MD and CEO of Star Health and Allied Insurance, said, "We've witnessed strong growth in the second quarter of FY23-24 in line with our strategy, resulting in a 17% increase in our Gross Written Premium (GWP). We saw increased demand in retail insurance during the quarter and expect this trend to continue in the coming months. Star Health is dedicated to improving customer experience and we've recently introduced a convenient UPI QR code-based payment system to streamline the process of purchasing and renewing health insurance. In addition, we closely examined our partnerships with network hospitals during the quarter, working collaboratively to ensure that our policyholders receive high-quality medical care at reasonable prices. We also initiated new bancassurance partnerships to expand access to top-notch health insurance for individuals nationwide."
The Operating expense to GWP ratio was at 16.0% in Q2FY24 versus 15.8% in Q2FY23. The solvency ratio continues to remain robust at 2.lx in the second quarter, higher than the minimum regulatory requirement of 1.5x.
Star Health has a diversified distribution network comprising of strong digital channels, leading bancassurance partners, agency channel, corporate agents, brokers, point of sale persons (POS), insurance marketing firms, web aggregators, and direct business.
As of 30 September 2023, Star Health has 14,230 network hospitals and a wide presence of 869 branches offices spread across 25 states and 5 union territories in India.