New Delhi, Dec 12 (NationPress) The life-insurance sector in India has shown a remarkable recovery in November, with new-business premiums rising by 23 percent year-on-year to Rs 31,119.6 crore, as highlighted in a recent report.

This sector has maintained its double-digit monthly growth for the third month in a row, driven by an increase in individual non-single policies and impressive performance in both individual and group segments.

A positive base effect and a smoother adjustment following the GST waiver for individual life policies have significantly contributed to this growth trend, helping to sustain the industry's momentum, according to the report by CareEdge Ratings.

LIC remains the market leader, buoyed by strong growth in individual and group segments, while private insurers also reported double-digit growth.

Individual non-single premiums saw substantial increases, reflecting robust recurring inflows, and the group business experienced a revival in institutional activities.

Despite a decline in the annual renewal rate for group policies due to an exceptionally strong previous-year base, the overall outlook for the sector remains optimistic.

The report indicates that for the year-to-date (YTD) FY26, cumulative first-year premiums have grown steadily, primarily driven by private players, signaling a return to normal growth after a temporary spike from recent regulatory adjustments.

In November, life insurers recorded a remarkable resurgence in single-premium business, surging by 29.4 percent year-on-year, following a 19.8 percent drop the previous year.

On the other hand, non-single premiums grew modestly by 14.3 percent, influenced by a decrease in group renewals, even as market preferences shifted towards individual non-single products following GST reductions. Private insurers notably strengthened their foothold in the individual non-single segment, while LIC continued to dominate the single-premium sector, backed by its strong group business.

Individual life insurance premiums jumped by 26.4 percent, marking a significant recovery from a mere 7.7 percent rise a year ago.

Sanjay Agarwal, Senior Director at CareEdge Ratings, noted that the life insurance sector in India has demonstrated a robust recovery in November.

The increase in policy issuance is accompanied by broad-based growth in customer engagement, suggesting that the industry has successfully navigated past agency-led distribution challenges following changes in surrender value norms introduced last year, he stated.