Shriram Life Insurance Sets Sights on 20% Growth Amid Regulatory Challenges

Shriram Life Insurance aims for a 20% growth by 2025-26 despite challenges from regulatory changes. The company plans to strengthen bank partnerships for distribution while maintaining its proprietary channels. The insurer also collaborates with Shriram Wealth to offer bundled solutions, with no immediate plans for an IPO.

Shriram Life Insurance has outlined its objective to achieve a 20% growth by 2025-26, even as the industry grapples with regulatory shifts. The company is focusing on forging more partnerships with banks to enhance its distribution network, as articulated by Managing Director and CEO Casparus Kromhout.

'This year we are taking a cautious approach due to various regulatory impacts,' Kromhout stated, referencing changes like special surrender values, GST, and labor code effects on the insurance sector. Despite slower growth this year, the company expects to continue its upward trajectory, building on a three-year trend where it tripled its business size.

Kromhout emphasized the importance of maintaining proprietary distribution channels for stability, though the company is now more open to bank alliances, especially in rural and low-income markets. Additionally, Shriram Life is collaborating with Shriram Wealth to create bundled wealth and insurance products, with IPO decisions to be left to shareholders.

(With inputs from agencies.)