Kathmandu – Nepal’s life insurance industry has experienced a 10.33% growth in business during the first eight months of the current fiscal year. According to the latest data released by the Nepal Insurance Authority, the total insurance premium collected by 14 life insurance companies reached Rs 108.711 billion, compared to Rs 98.531 billion during the same period last year.
Industry-Wide Growth Overview
The report highlights that 13 out of the 14 life insurers saw positive business growth, while one company reported a decline. The industry has collectively sold 13.446 million insurance policies till Falgun, showcasing increasing consumer confidence in life insurance.
Top Performers in the Industry
Nepal Life Insurance
Nepal Life Insurance remains the largest business earner in the sector, generating Rs 29.39 billion 89 million in total insurance premiums as of Falgun. This marks an 11.78% increase compared to Rs 26.30 billion earned in the same period last year.
National Life Insurance
National Life Insurance follows as the second-largest earner, collecting Rs 13.62 billion 84 million in total insurance premiums, reflecting a significant 17.87% growth from last year’s Rs 11.56 billion 18 million.
Life Insurance Corporation (LIC) Nepal
LIC Nepal secured the third position with an insurance premium collection of Rs 12.565 billion, an 8.49% rise from Rs 11.5779 billion in the previous year.
Performance Breakdown by Company
Companies with Positive Growth
- Himalayan Life Insurance: Rs 11.222 billion (0.38% growth)
- Suryajyoti Life Insurance: Rs 6.695 billion (17.29% growth)
- Asian Life Insurance: Rs 5.6982 billion (10.46% growth)
- Citizen Life Insurance: Rs 4.49 billion (20.43% growth)
- Sanima Reliance Life Insurance: Rs 4.29 billion 26 million (12.86% growth)
- MetLife Insurance: Rs 3.88 billion 9 million (6.80% growth)
- IME Life Insurance: Rs 3.28 billion 78 million (16.32% growth)
- Pramu Mahalaxmi Life Insurance: Rs 3.19 billion 76 million (17.63% growth)
- Reliable Nepal Life Insurance: Rs 3.17 billion 59 million (20.66% growth)
- Sun Nepal Life Insurance: Rs 2.70 billion 29 million (9.38% growth)
Company with a Decline
Despite overall growth in the sector, National Life Insurance Company saw a 14.37% decline in business compared to the previous year.
Industry Implications and Future Outlook
The consistent rise in life insurance business indicates an increasing awareness and demand for financial security among Nepalese citizens. Companies experiencing substantial growth, such as Citizen Life and Reliable Nepal Life, suggest that newer or aggressively expanding insurers are capturing a larger market share.
Industry experts predict that if the current trend continues, the total life insurance premium collection could surpass last year’s figures significantly by the end of the fiscal year.
