CLSA ON LIFE INSURANCE : 18.02.2022
• Maintain BUY on SBI Life, Max Financial & ICICI Pru
• Strong risk-reward skewed on insurance
• Sensitivity analysis suggests just 6-7% growth factored-in now
• Believe part of the correction has been driven by headwinds
• Term life growth slowed since Nov 2020 due to reinsurer-led pressure
• Target for SBI Life at Rs 1600/share
• Target for Max Financial at Rs 1150/share
• Target for ICICI Pru at Rs 660/share
CLSA ON INSURANCE : 08.06.2021
* May was a tough month for Insurance cos as.
* Individual APE dropped 29% Vs May 2019. Max Life & HDFC life had relatively low contractions while SBI Life had maximum drop of 49% YoY due to rural impact. CLSA has Max Fin & SBI Life as preferred insurance picks
* May Was A Tough Month; Individual APE Dropped 29% Vs May 2019
* Given COVID & Mortality Spike, May Was Expected To Be Difficult
* Max Life & HDFC Life Had Relatively Low Contractions Of 10/22% Vs May 2019
* ICICI Pru Grew YoY But Fell 40% Vs May 2019
* SBI Life Had A Maximum Drop Of 49% YoY Due To Rural Impact
* Max Fin & SBI Life Remain Preferred Insurance Picks
