Leading insurer SBI Life Insurance on Monday posted a near three-fold jump in net profit at Rs 114 crore in the first quarter ended June 30, 2010, on the back of lower expense ratio.
The total premium of the company grew by 9.5 per cent to Rs 1,707 crore during the period while the new business premium stood at Rs 976 crore, said SBI Life Insurance CEO and Managing Director MN Rao.
The company continues to have the lowest expense to GWP (Gross Written Premium) ratio in industry of 9.18 per cent, he said.
The Assets Under Management (AUM) of the company grew by 65 per cent to Rs 30,082 crore at the end of June 30, 2010.
During the quarter, the company opened 118 branches, recruited 830 employees and added over 5,000 insurance advisors, he said.
The market share of the company, which is a 74:26 joint venture between State Bank of India and BNP Paribas Assurance of France, stood at 14.4 per cent among private life insurers at the end of first quarter.
"Holistically enhancing our performance that balances profitability and growth will remain a key business driver. Our unique multi-distribution model, coupled with SBI's strong brand equity, has been an enabler of sustained all-round business performance," he said.
SBI Life Insurance has an authorised capital of Rs 2,000 crore and a paid-up capital of Rs 1,000 crore.