Star Health And Allied Insurance Company Limited has informed the Exchange about Investor Presentation
Date: April 30, 2025 Place: Chennai Ref: SHAI/B & S/SE/22/2025-26
To, The Manager, Listing Department, BSE Limited, Phiroze Jeejeebhoy Tower, Dalal Street, Mumbai – 400051, Mumbai – 400001, Maharashtra, India. Maharashtra, India. Scrip Code: 543412
To, The Manager, Listing Department, National Stock Exchange of India Limited, Exchange Plaza, 5th Floor, Plot C/1, G Block, Bandra-Kurla Complex,
Symbol: STARHEALTH
Dear Sir/ Madam,
Sub: Earnings Call Presentation- Q4 & FY2025
Further to our letter SHAI/B & S/SE/19/2025-26 dated April 29, 2025 regarding Earnings Call Presentation Q4 & FY2025, the color-coding used to represent the Retail and Group Claims Ratio (%) for FY 24 and FY 25, has been inadvertently interchanged and shall be read as below:
Retail and Group Claims Ratio
FY 24
Retail ICR
Group ICR
65.8%
77.3%
FY 25
68.8%
89.8%
The revised presentation is enclosed for your information and records.
The above information is also being hosted on the Company's website at www.starhealth.in.
For Star Health and Allied Insurance Company Limited
Jayashree Sethuraman Company Secretary & Compliance Officer
Encl.: As above
INVESTOR PRESENTATION FY25
1
Executive Summary : FY25
Levers of Growth
Financial Performance
Customer Centricity
Agency
Banca
Corporate
Fresh Growth
Contribution to Fresh GWP
Fresh Growth
Contribution to Fresh GWP
Fresh Growth
Contribution to Fresh GWP
16%
61%
13%
15%
21%
7%
GWP (Cr) (without 1/n)
PAT (Cr) (IFRS)
Expense Ratio (IFRS)
Digital
Fresh Growth
Contribution to Fresh GWP
71%
17%
Combined Ratio (IFRS)
FY25
FY24
FY25
FY24
FY25
FY24
FY25
FY24
17553
15254
787
1103
30.4%
30.7%
101.1%
97.3%
Lives covered (Cr)
Renewal Ratio
NPS
Grievances/ 10k Policies
FY25
FY24
FY25
FY24
FY25
FY24
FY25
FY24
Above IFRS results are not mandated by sectoral regulator. IFRS financials are special purpose financial statements prepared with support from independent consultant (Big 4) GWP & Growth Numbers - without 1/n
2.3
2.1
97%
98.4%
54
42
18
18
2
Agenda
Our Strategy
Financial Performance
3
Key Pillars of Our Strategy
1
3
5
Retail Indemnity Expert
25%
Retail Fresh Growth
93%
GWP Contribution from Retail Policies
Digital First
70%
Digital Premium Collection
10Mn
App Downloads
Best-in- Class Claims Management
2
4
6
Unparallel Distribution Network
775k Agents 913 Branches
71 Banca Partners
Strong Operational Efficiency
2.21x
Solvency Ratio
15.1%
Opex/GWP
Customer Centricity
~1% GWP
Cost Efficient Processing
96%
Cashless < 3 Hours
54
18
Net Promoter Score
Grievances/10k Policies
GWP Numbers mentioned are on without 1/n basis Solvency & Opex/GWP - based on IGAAP
4
Key Performance Indicators
Particulars
Fiscal Year Ended March 31
(INR Crore, unless otherwise stated)
GWP (without 1/n)
Period-on-period growth of GWP (without 1/n)
Retail Health Renewal Premium Ratio (without 1/n on GWP)
Combined Ratio (without 1/n)
GWP (Reported basis)
Period-on-period growth of GWP (Reported basis)
Combined Ratio (Reported basis)
Investment Income
Investment Yield (Annualized)
Underwriting Profit/(Loss)
Profit/(Loss) after tax
Return on equity
Profit/(Loss) after tax - IFRS
Return on equity - IFRS
2023
12,952
13%
95%
95.3%
12,952
13%
95.3%
835
6.9%
205
619
12.4%
-
-
2024
15,254
18%
98.4%
96.7%
15,254
18%
96.7%
1083
7.7%
89
845
14.4%
1,103
15.2%
2025
17,553
15%
97%
100.2%
16,781
10%
101.1%
1279
7.8%
-378
646
9.7%
787
9.5%
Figures for the previous year / quarters and year to date have been re-grouped / re-arranged to conform to current year / current quarter and year to date presentation and regulatory requirements | Above IFRS results are not mandated by sectoral regulator. IFRS financials are special purpose financial statements prepared with support from independent consultant (Big 4)| Return on Equity = Profit After Tax/Average Net Worth. Numbers are basis 1/365 URR method.| With effect from Oct 01,2024, Long Term Products are accounted on 1/n basis, as mandated by IRDAI | GWP incl. 65Cr RI Inward.
5
Key Performance Indicators
Claims, Expense and Combined Ratios
Profit After Tax (PAT) - IFRS
(INR Crore)
95.3%
96.7%
101.1%
100.2%
101.1%
Expense Ratio
30.3%
30.2%
30.8%
29.9%
30.4%
Claims Ratio
65.0%
66.5%
70.3%
70.3%
70.7%
1,103
787
FY23 - IGAAP
FY24 - IGAAP
FY25 -IGAAP (with 1/n)
FY25 - IGAAP (without 1/n)
FY25 (IFRS)
FY24
FY25
Above IFRS results are not mandated by sectoral regulator. IFRS financials are special purpose financial statements prepared with support from independent consultant (Big 4) Note: All numbers are basis 1/365 URR method | 0.5% of PHC, telemedicine, OPD and wellness initiative included in FY25 Claims ratio
6
Leadership in Attractive Retail Segment
Retail Health Market Share
Gross Written Premium - Retail
Average Sum Insured – Retail Health
(INR Crore)
+17%
+15%
INR (Lacs)
34%
33%
33%
12114
14131
16255
+10%
10
11
+10%
14
16
FY23
FY24
FY25
FY23
FY24
FY25
Overall
Fresh
Market Share as per data published by GI Council GWP Numbers mentioned are on without 1/n basis
FY24
FY25
7
Ever- growing, Efficient Agency Network
Agency Force
In 000’s
Total Agency Force
Sponsored Agency Force
626
701
GWP Productivity / Agent
In Lacs INR
775
+7%
+8%
92
111
124
FY23
FY24
FY25
FY23
FY24
FY25
3.0
3.2
3.5
13% Overall GWP
Growth
GWP Numbers mentioned are on without 1/n basis
8% Agency Activation Fresh
Growth
7% Fresh NOP
Growth
8
Growth driven Banca & Alternate Partnerships
No. of Partnerships
Fresh GWP from Banca & Alternate Channels
In Cr INR
+13%
+24%
71
58
43
533
600
429
FY23
FY24
FY25
FY23
FY24
FY25
18% Overall GWP
Growth
22% RM Productivity
Growth
69% Benefit Contribution to
Fresh GWP - Banca
GWP Numbers mentioned are on without 1/n basis
9
Accelerating Digital Channel
No. of Tele callers
Retail Fresh GWP from D2C & Digital Partnerships
+40%
+36%
In Cr INR
+71%
+30%
2,033
687
1,449
1,062
309
401
FY23
FY24
FY25
FY23
FY24
FY25
51% Organic Traffic
Growth
55% Fresh NOP
Growth
97% Fresh NOPs
New to Insurance
GWP Numbers mentioned are on without 1/n basis
10
Digital-First
70% Digital premium collection
37% Claims auto- adjudicated
89% Policies Sourced Digitally
63% Policies Renewed w/o Human Intervention
10M Customer App downloads
1.2Mn+ Monthly Active User (Mar-25)
4.6 App Store Rating 4.4 Play Store Rating
400k+ Face Scans
11
Best in Class Claims Processing Capabilities
Claims Paid (Amount in Cr)
Cashless %
(Count)
ANH Share(%) Cashless Claims (Count)
7,781
8,914
58k Cr
10,353
73%
79%
83%
74%
78%
64%
14k+ Network Hospitals
FY23
FY24
FY25
FY23
FY24
FY25
FY23
FY24
FY25
Note: ANH refers to Agreed Network Hospitals with better negotiated package-based pricing. % Cashless includes Claims & wellness services
12
Customer Centric Wellness Initiatives
Preventive Health Checkups
Post Discharge Care
(in ‘000s)
+48%
Condition Management Programs – Diabetes, Hypertension, Cholesterol, Weight Management
(in ‘000s)
+430%
Condition Management Programs – Diabetes, Hypertension, Cholesterol, Weight Management
• Personalized services at the comfort of home
• Doctors and medical professionals right at doorstep.
260 58k Cr
385
Consultation with specialist doctors through The STAR Health App
58k Cr
FY24
FY25
59
FY24
310
FY25
6x Growth Wellness Enrolments from Q4FY24 to Q4FY25
156 Cities Home Health Care
+3% Increased NOP Retention
Customers who opted for PHC services
-17%
Lesser readmissions After Post-Discharge Care
13
Improving Customer Experience
Net Promoter Score
Grievances/10k policies
54
55
47
42
30
18
Overall NPS
Claims NPS
FY24
FY25
SAHI Industry
*
STAR
Based on 8L+ responses from 1.14 Cr triggers for NPS Survey - FY25 *Benchmarked 9MFY25 Data based on disclosures
14
Retail & Group Claims Ratio
Retail ICR(%)
Group ICR(%)
65.8%
69.2% 68.8%
89.8%
77.3%
FY24
FY25
FY24
FY25
Net incurred Loss ratio is defined as net incurred claims divided by net earned premium. All numbers are basis 1/365 URR method. 0.5% of PHC, telemedicine, OPD and wellness initiative included.
15
Agenda
Our Strategy
Financial Performance
16
Financial Performance
(As per IGAAP)
Claims, Expense and Combined Ratios
Opex / GWP Ratio
95.3%
Expense Ratio
30.3%
96.7%
30.2%
101.1%
30.8%
100.2%
29.9%
Claims Ratio
65.0%
66.5%
70.3%
70.3%
15.9%
15.7%
15.1%
FY23
FY24
FY25 (with 1/n)
FY25 (without 1/n)
FY23
FY24
FY25
Profit Before Tax INR Cr
Profit After Tax INR Cr
1,129
826
861
845
619
646
FY23
FY24
FY25
FY23
FY24
FY25
Figures for the previous year / quarters and year to date have been re-grouped / re-arranged to conform to current year / current quarter and year to date presentation and regulatory requirements.
17
Robust Investment Performance
(As per IGAAP)
Total Investments Assets
2.4x
INR billion
2.4x
2.5x
13,392
15,491
17,898
20,000
19,000
18,000
17,000
16,000
15,000
14,000
13,000
12,000
11,000
10,000
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
2.5
2.4
2.3
2.2
2.1
2.0
1.9
1.8
1.7
1.6
1.5
1.4
1.3
1.2
1.1
1.0
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0
Investment Income
INR Cr
835
1,083
1,279
FY23
FY24
FY25
FY23
FY24
FY25
Investment Leverage
Total AUM
Steady Returns...
(Annualized)
6.9%
7.7%
7.8%
FY23
FY24
FY25
76% G.Sec SDL, AAA, TREPs
Long-Term Funds
Short-Term Funds
Government Securities, State Development Loans, Corporate Bonds, Fixed Deposits, REITs, InvITs and ETFs
Bank FDs, Overnight Mutual Funds, CPs, CDs, T-Bills, CMBs, Short Maturity Bonds and Tri-Party REPOs (TREPs)
Figures for the previous year / quarters and year to date have been re-grouped / re-arranged to conform to current year / current quarter and year to date presentation and regulatory requirements.
18
IFRS to IGAAP Reconciliation
Above IFRS results are not mandated by sectoral regulator. IFRS financials are special purpose financial statements prepared with support from independent consultant (Big 4)
19
ParticularsFY24FY25Profit as per IGAAP845646Lease and Security Deposit-4-3Claims Risk Adjustment-8-57Share based Payments-17-14Deferred Acquisition Cost525370RI Long Term Commission-232-84Unrealised Gain / (Loss) on Investments & Provision - Expected Credit Loss (ECL)87-19Provision for Tax-93-52IFRS Impact258141Profit as per IFRS1103787 ESG
53
S&P Global CSA Score FY24
STAR Health Insurance becomes India's most sustainable Insurance company 2024 in the S&P Global Corporate Sustainability Assessment (CSA).
Environment
Social
Governance
•
•
•
•
• •
Achieved IGBC interiors platinum rating for the Corporate Office Procurement of appliances with a BEE rating of 3 & above Certificates provided by IT hardware vendors to verify carbon offsetting due to the purchase of energy-efficient devices E-waste being disposed through authorized third party Transitioned to e-claims for claim renewals Smart energy management systems & Energy audits
•
•
•
Launched 9 programs for chronic conditions and HER Health for women’s wellness, Mind and Body programs. Telemedicine: 45% growth, 1L+ consultations in 9+ languages, available 24/7 Home Healthcare: Expanded to 156 cities with trusted partners like Care24, Portea, and Athulya - 910 branches and 2,000+ customer touchpoints
• •
•
Achieved ISO 9001:2015 certification Policies updated - code of conduct, whistle blower ,anti fraud, anti-money laundering & Financial Inclusion policy Ensuring robust compliance and integrity practices
20
Disclaimer
The information contained in this presentation is provided by Star Health and Allied Insurance Company Limited (“SHAI or the Company”). The content of this presentation is for internal purposes only. Neither this presentation nor any part thereof shall be (i) used or relied upon by any other party or for any other purpose; (ii) copied, photocopied, duplicated or otherwise reproduced in any form or by any means; or (iii) re-circulated, redistributed, passed on, published in any media, website or otherwise disseminated, to any other person, in any form or manner, in part or as a whole, without the prior written consent of the Company.. This presentation does not allege to be a complete description of the market conditions or developments and is subject to change, without disclosure. Neither the Company nor any of its directors, officers, employees nor any other person assume any responsibility or liability for, the accuracy or completeness of, or any errors or omissions in, any information or opinions contained herein, and none of them accept any liability (in negligence, or otherwise) whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith. Any unauthorised use, disclosure or public dissemination of information contained herein is prohibited.
The statements contained in the presentation relates only as at the date of which they are made and it, should be understood that subsequent developments may affect the information contained herein.
By preparing this presentation, neither the Company nor its management undertakes any obligation to provide the recipient with access to any additional information or to update this presentation or to correct any inaccuracies in any such information which may become apparent. This document is for informational purposes and private circulation only and does not constitute or form part of a prospectus, a statement in lieu of a prospectus, an offering circular, offering memorandum, an advertisement, and should not be construed as an offer to sell or issue or the solicitation of an offer or an offer document to buy or acquire or sell securities of the Company or any of its subsidiaries or affiliates under the Companies Act, 2013, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, each as amended, or any applicable laws in India or as an inducement to enter into investment activity. No part of this document should be considered as a recommendation that any investor should subscribe to or purchase securities of the Company or any of its subsidiaries or affiliates and should not form the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. This document is not financial, legal, tax, investment or other product advice
This presentation contains statements of future expectations and other forward-looking statements to enable investors to comprehend and take informed investment decisions. These statements include descriptions regarding the intent, belief or current expectations of the Company or its officers with respect to the consolidated results of operations and financial condition, and future events and plans of the Company.. These statements can be recognised by the use of words such as ‘anticipates’, ‘estimates’, ‘expects’, ‘projects’, ‘intends’, ‘plans’, ‘believes’ and words of similar substance in connection with any discussion of future performance. Such forward looking statements are not guarantees of future performance and involve risks and uncertainties and actual results, performances or events may differ from those in the forward-looking statements as a result of various factors, uncertainties and assumptions including but not limited to price fluctuations, actual demand, exchange rate fluctuations, competition, environmental risks, any change in legal, financial and regulatory frameworks, political risks and factors beyond the Company’s control
You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of the management of the Company on future events. No assurance can be given that future events will occur, or that assumptions are correct. The Company does not assume any responsibility to amend, modify or revise any forward-looking statements, on the basis of any subsequent developments, information or events, or otherwise
21
Glossary
Particulars
FY
GWP
GEP
CAGR
Y-o-Y
URR
ANH
PA
SME
CoR
TAT
Financial Year
Gross Written Premium
Gross Earned Premium
Cumulative Annual Growth Rate
Year-on-Year
Unexpired Risk Reserve
Agreed Network Hospitals
Personal Accident
Small and Medium Enterprises
Combined Ratio
Turn Around Time
22
T H A N K Y O U
23