India’s life insurance industry recorded strong double-digit growth in February 2026, with total premiums rising more than 20% year-on-year, driven by higher sales of traditional policies and steady demand across both public and private insurers, according to a report by Motilal Oswal Financial Services.

The report said the industry’s individual weighted received premium (WRP) grew about 21% year-on-year in February, marking a sharp improvement from the single-digit growth seen in the previous month. The rebound was supported by strong performance from both Life Insurance Corporation of India (LIC) and private sector insurers.

LIC continued to outpace the private sector, reporting around 23% growth, compared with roughly 20% growth for private insurers, extending its lead for the third consecutive month. Despite the strong growth, the market share of private players in individual WRP slipped slightly to 73% from 73.4% a year ago, reflecting LIC’s recent momentum.

New business premiums across the industry also remained healthy, rising about 18% year-on-year, with LIC reporting stronger growth than private companies. Among private insurers, Canara HSBC Life Insurance was the fastest-growing player with over 60% growth, followed by Max Life, while SBI Life, HDFC Life, ICICI Prudential and Bajaj Life Insurance reported moderate increases.

The report noted that policy volumes remained strong, with the total number of policies rising about 23% year-on-year in February, indicating sustained demand for protection and savings products across both LIC and private insurers.
Within the private sector, SBI Life retained the largest market share in individual WRP at about 12.1%, followed closely by HDFC Life at 11.9%, while Max Life and Tata AIA continued to gain traction with steady growth in new business premiums. On an unweighted premium basis, HDFC Life remained the largest private insurer, followed by SBI Life and ICICI Prudential.

The report also highlighted a gradual increase in average ticket size for private insurers, suggesting that customers are opting for higher-value policies, especially in the individual regular premium segment. In contrast, LIC continues to dominate in policy volumes but with lower average ticket size compared to private players.

Motilal Oswal expects the growth trend to remain stable in the coming months, supported by continued focus on traditional products, improved affordability following GST exemptions on certain policies, and expansion into new geographies by private insurers.
The brokerage said the sector’s outlook remains positive as insurers strengthen distribution networks, push protection products, and benefit from rising awareness about long-term savings and insurance coverage in India.