Star Health and Allied Insurance Company Limited , India's largest standalone retail health insurer, has outlined ambitious strategic targets focusing on retail penetration, digital-first distribution, and operational efficiency improvements. The company aims to achieve over 10% premium compound annual growth rate (CAGR), enhanced solvency ratios, and market-leading claims automation capabilities.

Strategic Initiatives

Star Health's strategic plan is designed to boost profitability over the FY26-28 period through:

1. Improved distribution channels
2. Automated processes
3. Enhanced retail penetration
4. Digital-first approach

Financial Performance

The company's recent financial results reflect progress towards these goals:

Key Highlights

• Fresh retail premiums increased by 24%
• Retail health renewal persistency at 98%
• Market share in retail health insurance segment maintained at 32%
• Claims NPS improved from 52 to 61
• Overall company NPS improved from 59 to 61

Digital Transformation

Star Health's digital initiatives are showing promising results:

• Implementation of an AI-enabled claims platform for faster settlements
• The Star Health app has crossed 12 million downloads

Management Commentary

Anand Roy, MD & CEO of Star Health, stated, "The first half of this year has been marked by steady, meaningful progress with a 21% growth in PAT as per IFRS. Along with a healthy investment yield of 8.3%, the profitability was contributed by an improved loss ratio and reduction in our expense ratio."

Roy also noted strong tailwinds following GST exemption on retail health insurance, with early trends indicating a clear uptick in demand, reflected in stronger lead generation, new policy issuances, and GWP growth in October.

Future Outlook

Star Health remains focused on:

1. Disciplined underwriting
2. Advanced digital and fraud analytics
3. Deeper partnerships with hospitals and distributors

The company is well-positioned to sustain its leadership by combining responsible growth with customer-centric innovation, aligned with the national vision of Insurance for All by 2047.

Star Health's strategic focus on digital transformation, operational efficiency, and customer-centric approach appears to be yielding positive results. The company's ability to maintain its market leadership while improving profitability metrics suggests a robust foundation for future growth in the competitive health insurance sector.

Star Health and Allied Insurance Co. , a leading health insurance provider in India, has reported significant growth in its profit for the half year ended September 30, despite challenges in the market environment.

Key Financial Highlights

Profit Growth and Premium Expansion

Star Health's Profit After Tax for the half year stood at ₹518.00 crores, marking a substantial 21.00% increase from the same period in the previous fiscal year. This growth in profitability comes alongside a 12.00% year-over-year increase in Gross Written Premium, which rose to ₹8,809.00 crores.

Revenue Growth and Market Share

The company's revenue growth indicates a continued expansion of its insurance business. Notably, retail Gross Written Premium increased by 17% to ₹8,332.00 crores, driven by a 24% growth in fresh retail premiums and a 98% renewal persistency in retail health. Star Health maintains a 32% market share in India's retail health insurance segment.

Operational Efficiency and Claims Management

Star Health has shown improvements in several key operational metrics:

1. Expense Ratio: Improved to 29.7% from 31.1% in the previous year.
2. Net Incurred Claims Ratio: Stood at 70.6%, a 30 basis points decrease from the same period last year.
3. Combined Ratio: Improved to 100.3% from 102.1% in the previous year.
4. Solvency Ratio: Remained at 2.15x.

Product Performance and Customer Satisfaction

The company's flagship product, Super Star, has surpassed the ₹1,250.00 crore premium milestone within its first year. Additionally, Star Health has seen improvements in customer satisfaction metrics:

• Claims NPS improved from 52 to 61
• Overall company NPS increased from 59 to 61

Looking Ahead

Star Health's performance in the first half positions it in the competitive health insurance market. The company's ability to grow its premium income while improving operational efficiency and customer satisfaction is noteworthy. Key focus areas for the management in the coming quarters may include maintaining this growth trajectory and further enhancing profitability.

About Star Health and Allied Insurance Co.

Star Health and Allied Insurance Co. continues to be a prominent player in the Indian health insurance market. The company's focus on innovation, customer service, and operational efficiency has contributed to its performance in the health insurance sector.