Star Health & Allied Insurance Co. Ltd. · NSE:STARHEALTH
Star Health & Allied Insurance — H1 FY2025 Earnings Presentation
18 slides from Star Health & Allied Insurance's earnings presentation, Oct 30, 2024
Slide 1: Exchange filing cover letter: Earnings Call Presentation Q2 & H1 FY2025
Date: October 30, 2024 Place: Chennai Ref: SHAI/B & S/SE/140/2024-25 To, To, The Manager, The Manager, Listing Department, Listing Department, BSE Limited, National Stock Exchange of India Limited, Phiroze Jeejeebhoy Tower, Exchange Plaza, 5th Floor, Plot C/1, Dalal Street, G Block, Bandra-Kurla Com
Slide 2: Investor Presentation H1FY25
Investor Presentation H1FY25 Oct 2024 1
Slide 3: Key Pillars of our Strategy
Key Pillars of our Strategy 32% 55% 1 Leadership in Retail Health Retail Health Insurance Market Share Retail Health Market Share among SAHIs 742k Agents; 42% 2 Well Spread Distribution Network 902 Branches Fresh Business from Non-agency 71% INR 5.79 bn 3 Investment in Technology Digital Premium Col
Slide 4: Key Performance Indicators (1/2)
Key Performance Indicators (1/2) Particulars Fiscal Year Ended March 31 6 Months Ended September 30 (INR Crore, unless otherwise stated) 2023 2024 2023 2024 GWP 12,952 15,254 6,680 7,847** Period-on-period growth of GWP 13% 18% 18% 17.5% Retail Health Renewal Premium Ratio 95% 98% 99% 94% Number of
Slide 5: Key Performance Indicators (2/2)
Key Performance Indicators (2/2) Claims*, Expense and Combined Ratio Profit After Tax (PAT) (INR billion) 98.4% 101.1% 95.3% 96.7% +37% 8.5 Claims Ratio 65.0% 66.5% 67.1% 70.2% 6.2 +4% 4.1 4.3 Expense Ratio 30.3% 30.2% 31.4% 30.8% FY23 FY24 H1FY24 H1FY25 FY23 FY24 H1FY24 H1FY25 Note: All numbers are
Slide 6: Agenda
Agenda Our Strategy Performance Update
Slide 7: Leadership in Attractive Retail Segment
Leadership in Attractive Retail Segment Retail Health Market Share Gross Written Premium (INR billion) +18% 307 354 188 222 153 34% 130 33% 33% 32% +17.5% 142 78 67 121 71 62 8 11 7 0.34 5 FY23 FY24 H1FY24 H1FY25 FY23 FY24 H1FY24 H1FY25 Retail Health Industry Size in INR billion Retail Health, Trave
Slide 8: Largest & Well Spread Distribution Network
Largest & Well Spread Distribution Network Total Agency Force Sponsored Health Agency Force In 000’s +6% +4% 701 742 111 115 550 626 92 79 FY22 FY23 FY24 H1FY25 FY22 FY23 FY24 H1FY25 Channel wise mix, H1FY25* Extensive Branch Network Digital, Corporate, +2% 7.4% 4.3% Banca, 7.9% 807 835 881 902 Indi
Slide 9: Extensive Footprint in Alternate Distribution Channels
Extensive Footprint in Alternate Distribution Channels Partner Integration 25% Fresh Banca Growth 63 Banca + NBFC tie-ups
Slide 10: Continued Focus on Digital Growth
Continued Focus on Digital Growth 41% 71% 81k Fresh Digital Digital premium Wellness Growth * collection Enrollments 7.4M+ 987k Play store rating 4.4 Customer App Monthly Active App store rating downloads User (Sep-24) 4.6 * Note: Digital includes web-sales, tele-sales, web aggregators and online br
Slide 11: Diversified & Specialized Product Suite
Diversified & Specialized Product Suite Star Cancer Care Policy Star Senior Citizens Red Carpet Health Insurance Policy Star Cardiac Care Policy Young Star Policy Star Diabetes Safe Policy Women Care Policy Retail Premium Mix for Specialized Products 15.5% 14.2% 15.1% 14.6% FY23 FY24 H1FY24 H1FY25
Slide 12: Strong Domain Expertise Driving Superior Claims Ratio
Strong Domain Expertise Driving Superior Claims Ratio Net Incurred Claims Ratio(1) Increasing Sum Assured Growth of Average Sum Assured in Retail Health policies 70.2% 11% 65.0% 66.5% 67.1% 10% 9% 6% FY24 H1FY25 New Overall FY23 FY24 H1FY24 H1FY25 (1) Net incurred claims ratio is defined as net incu
Slide 13: Extensive Claims Processing and Network Negotiation
Extensive Claims Processing and Network Negotiation ANH(2) Share… 11.6m Proportion of total cashless claims 87% No of Claims Settled since Cashless Inception(1) processing < 2 hr 74% 77% 67% 70% 515bn 14k+ Amount of Claims settled since Network Inception(1) FY23 FY24 H1FY24 H1FY25 Hospitals Note: (1
Slide 14: Agenda
Agenda Our Strategy Performance Update
Slide 15: Financial Performance
Financial Performance Combined Ratio Opex/GWP Ratio 96.7% 98.4% 101.1% 95.3% Claims Ratio 65.0% 66.5% 67.1% 70.2% 15.9% 15.7% 17.0% 15.6% Expense Ratio 30.3% 30.2% 31.4% 30.8% FY23 FY24 H1FY24 H1FY25 FY23 FY24 H1FY24 H1FY25 Profit Before Tax (PBT) Profit After Tax (PAT) (INR billion) (INR billion) +
Slide 16: Robust Investment Performance
Robust Investment Performance Total Investments Assets Investment Income INR billion Investment Leverage INR billion 2.4x 2.4x 2.4x +30% 200 2.3x 2.5 2.0 150 +29% 1.5 100 10.8 155 164 1.0 8.3 134 140 50 6.5 0.5 5.1 0 0.0 FY23 FY24 H1FY24 H1FY25 FY23 FY24 H1FY24 H1FY25 Steady Returns... …with fixed i
Slide 17: Thank You
THANK YOU 16
Slide 18: Glossary
Glossary Particulars FY Financial Year GWP Gross Written Premium GEP Gross Earned Premium CAGR Cumulative Annual Growth Rate Y-o-Y Year-on-Year URR Unexpired Risk Reserve ANH Agreed Network Hospitals PA Personal Accident SME Small and Medium Enterprises TAT Turn Around Time 17
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