Casparus JH Kromhout, director and CEO, Shriram Life Insurance | Photocredit: Bijoy Ghosh
Despite macro-economic and legal disruptions, the Indian market for life insurance, in particular the segment in the middle and lower income, offers a great chance of growth, said Shriram Life Insurance MD and CEO Casparus JH Kromhout. Growing companies in the last three years Sharp-24 percent in FY23, 39 percent in FY24 and 45 percent in FY25 the life insurance company expects growth to stabilize by around 25-30 percent for FY26. We are on schedule to reach our goal of 27 percent compared to FY22-FY30 and use the building blocks of capacity, innovation and technology, Kromhout added. Speaking of the GST rate, he regards it as good for customers, but says it will influence the margins of the very competitive insurance sector. We repeatedly stop and will try to do other mitigations, such as cost reductions, to manage the mismatch in input and output tax, he said. Edited fragments:
What are the most important growth engines that you see for the company?
The 45 percent growth in FY25 is phenomenal, but we see it stabilizing over time. With regard to the factors, we invest in the capacity of sales leadership, because life insurance is still something that you have to continue to reach and continue to sell. We have also invested in product and business model innovation in technology and analyzes. We have 30 machine learning models that run in different companies in the company. We see everything bearing fruit.
What is the persistent ratio and what do you do to grow it?
The 13-month persistence is just over 60 percent. It is something we are constantly working on and we focus on 70-75 percent. We see strong growth of this because more people are aware of the insurance. Our models for machine learning also help. These give us the acquisition fraud and fraud, which means that we can see the chance that a new proposal will expire or will become a fraud based on the model. On the sales side we can also understand the tendency to buy. So to be profitable, we trust people [trust] In the front and advanced technology in the back-end.
Is there with regard to the JV partnership, is there room for more capitalization?
In the entire industry we actually see that many foreign JV partners have really moved because partners often realize that it is very difficult. You must have the patience and the resilience to stay in it. But Sanlam as a partner is very dedicated and has actually increased the importance. It has not only invested in the life insurance company, but also in other companies in the group. So the scope [of further capitalisation] Is sure. In fact, we are a company with the lowest capital in the industry at £ 175 crore. On average, the capital of the private industry is more than £ 1,000 crore.
Which channel works best for you?
We see good growth in Bureau channel and also good success in the location of the location. So we have a strong location, where you invite people to come and you tell them about life insurance policy. We also have a good direct-to-customer channel and of course we get around 40 percent of our company from the Shriram group itself. By raising customers. We are not big on the Bancroverskanaal, but we have built up a great force in that space and we see more interest because the middle to low income is not treated properly to date.
What will your strategy be to reach the growth views?
We want to be the company that takes out insurance for everyone. We focus on families with low to middle income who earn £ 5-15 Lakh per year. Our premium size is now around £ 30,000, while for industry it is more than £ 1 lakh. We call it our goal to reach these families and get more and more of them in the safety net of Life Insurance.
Published on September 24, 2025
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