HDFC Life

Last updated

HDFC Life Insurance Company Limited
HDFC Life
Company type Public
ISIN INE795G01014
Industry Financial services
Founded2000;24 years ago (2000)
Headquarters Mumbai, India
Area served
India
Key people
 Vibha Padalkar
(MD & CEO)
Products
RevenueIncrease2.svg₹101,482 crore (US$12 billion) [1]  (2024)
Increase2.svg₹531 crore (US$64 million) [1]  (2024)
Increase2.svg₹1,574 crore (US$190 million) [1]  (2024)
Total assets Increase2.svg₹302,687 crore (US$36 billion) [2]  (2024)
Total equity Increase2.svg₹14,666 crore (US$1.8 billion) [2]  (2024)
Parent HDFC Bank (50.39%) [3]
Website www.hdfclife.com OOjs UI icon edit-ltr-progressive.svg

HDFC Life Insurance Company Limited (d/b/a HDFC Life) [4] is a long-term life insurance provider headquartered in Mumbai, offering individual and group insurance services. The company was incorporated on 14 August 2000. [5] [6]

Contents

History

The company is a joint venture between Housing Development Finance Corporation Ltd (HDFC), one of India's leading housing finance institutions and Abrdn, a global investment company. [5] As of 31 March 2020, the promoters; HDFC Ltd. and Standard Life (Mauritius Holdings) 2006 Ltd. hold a 51.69% and 34.75% stake in HDFC Life respectively. [5] The remaining equity is held by public shareholders. [5]

HDFC Life obtained the certificate of commencement of business on 12 October 2000 and a certificate of registration from Insurance Regulatory and Development Authority of India (IRDAI) to undertake the life insurance business on 23 October 2000. [6] HDFC Life has 467 branches [5] and is present in 980+ cities, villages, and towns in India and supported by 16,544 employees. [5] The company has also established a liaison office in Dubai. [7]

HDFC Life distributes its products through a multi-channel network consisting of Insurance agents, Bancassurance partners (HDFC Bank, Saraswat Bank, RBL Bank), a Direct channel, Insurance Brokers, MFIs (Micro Finance Institutions), SFBs (Small Finance Banks), etc. and 39 partnerships within non-traditional ecosystems [8] and an Online Insurance Platform and currently one of the leading financial service providers in India offering finance in varied sectors like housing, banking, life insurance and general insurance, asset management and education loans and many other products. [5]

In Feb 2023, HDFC Life launched a mini web series, "The Missing Dhula," educating on the importance of life insurance and creating awareness. [9]

Corporate history

The Insurance Regulatory and Development Authority (IRDA) was constituted in 1999 as an autonomous body to regulate and develop the insurance industry. The IRDA opened up the market in August 2000 with the invitation for application for registrations. HDFC Life was established in 2000 becoming the first private sector life insurance company in India. [10]

By 2001, the company had its 100th customer, strengthened its employee force to 100, and had settled its first claim. HDFC Life launched its first TV advertising campaign 'Sar Utha Ke Jiyo' in 2005. In 2006, a study conducted by the Brand Equity – Economic Times had put HDFC Life at 29th rank in the most trusted Indian Brands amongst the Top 50 Service Brands of 2010. [11]

The Insurance Regulatory and Development Authority (IRDA) gave accreditation to HDFC Life for 149 training centres housed in its branches to cater to the mandatory training required to be given as well as for other sales training requirements in 2009.

In 2012, it is the first private life insurance company to bring back pension plans under the new regulatory regime, with the launch of two pension plans – HDFC Life Pension Super Plus and HDFC Life Single Premium Pension Super, operating the pension fund business under the National Pension System and is the second largest private pension fund management company in India in terms of assets under management and subscribers in Fiscal 2017. [6] [12] The company became profitable in fiscal 2012, posting annual profit of Rs 271 crore. In December 2013 it declared a maiden dividend for its shareholders and in 2014 the company's assets under management (AUM) crossed Rs 50000 crore mark. [6]

In the year 2016, Standard Life Mauritius increases its stake in the HDFC Life from 26% to 35% and in Fiscal 2016 the latter establishes the first international subsidiary in the UAE, HDFC International to operate the reinsurance business which signs reinsurance treaties for two distinct lines of individual life business and enters into arrangements to offer reinsurance services for group and credit life schemes and expects the pension and reinsurance business to help them diversify its sources of revenue and profitability in future years. [6]

By 2017, it was the country's third-largest private sector life insurance company [6] with a 16.5 percent share of total private-sector premiums for the Financial Year 2017 and fourth largest in the life insurance industry based on premium earned and had 66,372 individual agents across India, comprising 6.8 percent of total private agents in the Indian life insurance industry and entered into 125 banking tie-ups including HDFC Bank giving it access to a huge branch network. [13]

Till 2019, the insurance firm had insured 21.6 million lives in both individual and group segments, and has one of the highest margins in the business, with 24.3 percent in first half of the financial year 2019, and is regarded as one of the most consistent life insurance firms delivering efficient returns on operating Earning Value(EV) of 20 per cent for the last three consecutive financial years. [14]

Associated companies

HDFC Life's associated companies include HDFC Bank, HDFC International Life and Re Company Limited, HDFC Pension, [8] HDFC MF, HDFC Sales, HDFC Ergo, HDB Financial Services (HDBFS), HDFC Securities, HDFC RED, [15] HDFC Ventures Trustee Company, GRUH Finance, HDFC Trustee Company, HDFC Developers, HDFC Property Ventures, HDFC Investments, Credit Information Bureau (India) Ltd.

Related Research Articles

Housing Development Finance Corporation was an Indian private sector mortgage lender based in Mumbai. It was the biggest housing finance company in India. It also had a presence in banking, life and general insurance, asset management, venture capital and deposits through its associate and subsidiary companies.

<span class="mw-page-title-main">National Insurance Academy</span> Educational institute in India

The National Insurance Academy is situated in Pune, India. Founded in 1980 by the Finance Department of the Indian government with capital patronage from LIC and the public sector general insurance industry, NIA started MBA education as a lateral diversification in 2004 with Dr K C Mishra as the founder director and Dr R K Parchure a leading economist as an MBA Coordinator, who was replaced by Dr S D Totade. After the tenure of Dr K C Mishra, the academy had Dr. Prathap Oburai from IIM Ahmedabad as the new Director. During his stint here, Dr. Oburai had promised the students to elevate the academy to the top 10 B-Schools of India with strong international collaborations. NIA runs a PGDM course. It provides a dual specialization.

Insurance in India covers both public and private sector organisations. It is listed in the Seventh Schedule of India's Constitution as a Union List subject, meaning it can only be legislated by the Central government.

<span class="mw-page-title-main">Dhanlaxmi Bank</span> Private bank in Kerala, India

Dhanlaxmi Bank Ltd is an Indian private sector bank headquartered in Thrissur, Kerala.

HDFC Bank Limited is an Indian banking and financial services company, headquartered in Mumbai. It is India's largest private sector bank by assets and the world's tenth-largest bank by market capitalization as of May 2024.

ICICI Lombard General Insurance Company Limited is a general insurance company located in India. ICICI is engaged with general insurance, reinsurance, insurance claims management and investment management.

Axis Bank Limited, formerly known as UTI Bank (1993–2007), is an Indian multinational banking and financial services company headquartered in Mumbai, Maharashtra. It is India's third largest private sector bank by assets and fourth largest by market capitalisation. It sells financial services to large and mid-size companies, SMEs and retail businesses.

<span class="mw-page-title-main">General Insurance Corporation of India</span> Indian public sector Insurance company

General Insurance Corporation of India Limited,, is an Indian public sector reinsurance company, headquarters in Mumbai, India. It was incorporated on 22 November 1972 under Companies Act, 1956. It was the sole nationalised reinsurance company in the Indian insurance market until the insurance market was open to foreign reinsurance players by late 2016 including companies from Germany, Switzerland and France. GIC Re's shares are listed on BSE Limited and National Stock Exchange of India Ltd.

<span class="mw-page-title-main">Exide Life Insurance</span> Indian life insurance company

Exide Life Insurance Company Limited was an Indian life insurance company. Exide Life Insurance distributed its products through multiple channels, including an agency channel with over 40,000 advisors and more than 200 company offices across the country. The company had over 1.5 million customers and managed assets exceeding INR 18,000 crores. Established in 2001 and headquartered in Bangalore, the company provided long-term protection and savings options. Exide Life merged with HDFC Life in late 2022.

SBI Life Insurance Company Limited is an Indian life insurance company which was started as a joint venture between State Bank of India (SBI) and French financial institution BNP Paribas Cardif. SBI has a 55.50% stake in the company and BNP Paribas Cardif owns a 0.22% stake. Other investors are Value Line Pte. Ltd. and MacRitchie Investments Pte. Ltd., holding a 1.95% stake each while the remaining 12% is free float stake with public investors. It has Assets under management(AuM) worth ₹352,422 crore (US$42 billion) and a Gross Written Premium(GWP) of ₹67,320 crore (US$8.1 billion) as of March 2023. SBI Life has an authorized capital of ₹20 billion (US$240 million) and a paid up capital of ₹10 billion (US$120 million).

<span class="mw-page-title-main">National Insurance Company</span> Central Public Sector Undertaking

National Insurance Company Limited (NICL) is an Indian public sector insurance company owned by the Government of India and administered by the Ministry of Finance. It is headquartered at Kolkata and was established in 1906 by Gordhandas Dutia and Jeevan Das Dutia. National Insurance company and Asian Insurance company was nationalised in 1972. Its portfolio consists of a multitude of general insurance policies, offered to a wide arena of clients encompassing different sectors of the economy. Apart from being a leading insurance provider in India, NICL also serves in Nepal.

<span class="mw-page-title-main">Niva Bupa</span> Indian health insurance company

Niva Bupa Health Insurance Company Limited is an Indian health insurance company, founded in 2008. It is headquartered in New Delhi, India.

<span class="mw-page-title-main">HDFC ERGO General Insurance Company</span> HDFC ERGO

HDFC ERGO General Insurance Company Limited is a 51:49 joint venture firm between HDFC and ERGO International AG. It is one of the insurance entities of the Munich Re Group in Germany operating in the insurance field under the BFSI sector. The retail sector includes various products like health insurance, vehicle insurance, travel insurance, home insurance, personal accident insurance, and cyber insurance. The Corporate sector includes products like liability, marine, and property insurance. Rural sector products include rainfall index insurance, Pradhan Mantri Fasal Bima Yojana, and cattle insurance policy.

The Insurance Regulatory and Development Authority of India (IRDAI) is an autonomous and statutory body under the jurisdiction of Ministry of Finance, Government of India. It is tasked with regulating and licensing the insurance and re-insurance industries in India. It was constituted by the Insurance Regulatory and Development Authority Act, 1999, an Act of Parliament passed by the Government of India. The agency's headquarters are in Hyderabad, Telangana, where it moved from Delhi in 2001.

<span class="mw-page-title-main">Liberty General Insurance</span> Indian Insurance Company

Liberty General Insurance Limited is a private general insurance company headquartered in Mumbai, India. It is a joint venture among US property casualty insurer Liberty Mutual Insurance Group, Indian private investment fund Enam Securities, and Indian industrial conglomerate DP Jindal Group.

<span class="mw-page-title-main">Bajaj Finserv</span> Indian financial services company

Bajaj Finserv Limited is an Indian non-banking financial services company headquartered in Pune. It is focused on lending, asset management, wealth management and insurance.

Sadharan Bima Corporation is the one and only state-owned non-life insurer and reinsurer in Bangladesh under the Ministry of Finance, Government of the People's Republic of Bangladesh. Both Sadharan Bima Corporation, the non-life insurer, and Jiban Bima Corporation, the life insurer, were created under the Insurance Corporation Act of 1973 of Bangladesh.

HDFC International Life and Re Company Limited is a first life reinsurance company based in the Dubai International Financial Centre (DIFC), UAE.

ICICI Prudential Life Insurance Company Limited is an Indian life insurance company in India. Established as a joint venture between ICICI Bank Limited and Prudential Corporation Holdings Limited, ICICI Prudential Life is engaged in life insurance and asset management business. In 2016, the company became the first insurance company in India to be listed in the domestic stock exchanges.

Home First Finance Company India Limited is an Indian housing finance company in the affordable housing segment based in Mumbai and founded in 2010. It provides home loans, mortgage loans and home construction loans. Its equity shares are listed on Bombay Stock Exchange and National Stock Exchange.

References

  1. 1 2 3 "HDFC Life Insurance Company Limited Consolidated Profit & Loss account, HDFC Life Insurance Company Limited Financial Statement & Accounts". www.moneycontrol.com. Retrieved 3 August 2020.
  2. 1 2 "HDFC Life Insurance Company Limited Consolidated Balance Sheet, HDFC Life Insurance Company Limited Financial Statement & Accounts". www.moneycontrol.com. Retrieved 3 August 2020.
  3. ↑ "HDFC Life – One of the Best Life Insurance Companies in India". www.hdfclife.com. Archived from the original on 17 May 2021. Retrieved 9 December 2020.
  4. ↑ "HDFC Standard Life Insurance is now HDFC Life Insurance". thehindubusinessline. Retrieved 25 January 2019.
  5. 1 2 3 4 5 6 7 "HDFC Life IPO opens today; 9 key things to know about HDFC group's first public offer in 22 years before you subscribe". The Financial Express. 6 November 2017. Retrieved 23 April 2021.
  6. 1 2 3 4 5 6 "HDFC Life Insurance Company Ltd". Business Standard India. Retrieved 23 April 2021.
  7. ↑ "HDFC Life launches first international operations in Dubai". Economic Times. 26 January 2012. Archived from the original on 5 December 2013. Retrieved 4 December 2013.
  8. 1 2 "HDFC Standard Life Insurance Company | IBEF". www.ibef.org. Retrieved 22 April 2021.
  9. ↑ "HDFC Life Teaches Importance Of Life Insurance With New Web Show 'The Missing Dhula'". IndiaTimes. 28 February 2023. Retrieved 21 March 2023.
  10. ↑ "History of IRDA". IRDA. Retrieved 4 December 2013.
  11. ↑ "Top 50 Service Brands". Economic Times. 31 August 2010. Archived from the original on 7 July 2012. Retrieved 4 December 2013.
  12. ↑ "HDFC Life launches two pension plans in June". Money Control. 5 July 2013. Retrieved 4 December 2013.
  13. ↑ "HDFC Standard Life IPO: Here's All You Need To Know". BloombergQuint. 6 November 2017. Retrieved 23 April 2021.
  14. ↑ Unnikrishnan, C. H. (4 January 2019). "HDFC Life: From Strength To Strength". BW Businessworld. Retrieved 14 May 2021.
  15. ↑ "Official Website of HDFC RED".
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.