Fiscal Nepal
First Business News Portal in English from Nepal
KATHMANDU: Nepal’s life insurance companies have reported a robust performance in the first ten months (up to mid-May) of the fiscal year 2024/25, collectively earning a business of over NPR 139.36 billion. According to data released by the Nepal Insurance Authority on Monday, the 14 operational life insurance companies sold 13,728,342 policies by mid-May, marking a 14.84% growth compared to the same period last year, when the sector collected NPR 121.35 billion in premiums.
In the month of April alone, these companies issued 1,234,887 policies, generating NPR 13.31 billion in total premium collections. The growth reflects the sector’s resilience and increasing penetration in Nepal’s financial market.
Nepal Life Leads the Market
Nepal Life Insurance Company topped the list, earning NPR 36.59 billion in premiums by mid-May, a 13% increase from NPR 32.38 billion in the same period of the previous fiscal year. National Life Insurance Company secured the second spot, with a business of NPR 17.20 billion, reflecting a 20.03% growth from NPR 14.33 billion last year.
Life Insurance Corporation (LIC Nepal) ranked third, collecting NPR 15.57 billion in premiums, a 9.40% rise from NPR 14.23 billion in the prior year. Himalayan Life followed with NPR 13.79 billion, up by 2.10%, while Suryajyoti Life earned NPR 8.53 billion, marking a 17.27% growth. Asian Life recorded NPR 7.14 billion (11.80% growth), Citizens Life earned NPR 5.68 billion (20.83% growth), and Sanima Reliance Life collected NPR 5.33 billion (13.71% growth). Met Life reported NPR 4.98 billion, with a 9% increase.
Other notable performers include IME Life with NPR 4.19 billion (14.80% growth), Reliable Nepal Life at NPR 13.79 billion (23.91% growth), Prabhu Mahalaxmi Life with NPR 4.10 billion (20.09% growth), and Sun Nepal Life at NPR 3.41 billion (10.73% growth).
Highest Growth Rate
Rastriya Jeevan Beema Company led in terms of growth rate, achieving a remarkable 50.36% increase in business. The company earned NPR 8.67 billion in premiums this year, up from NPR 5.76 billion in the same period last year.
Sector Insights
The life insurance sector’s growth highlights its increasing role in Nepal’s economy, driven by rising awareness and demand for financial security. However, the disparity in growth rates among companies indicates varying levels of market penetration and operational efficiency. Rastriya Jeevan Beema’s 50.36% growth underscores its aggressive expansion, while established players like Nepal Life continue to dominate in absolute terms. The sector’s overall performance bodes well for financial inclusion, though challenges like regulatory compliance and customer trust remain critical for sustained growth.
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