Star Health and Allied Insurance Company Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Star Health and Allied Insurance Company Ltd filed with BSE on 05 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Star Health reported Q1 FY27 gross written premium growth of 19% year-on-year on both a 1/N and N basis, with fresh retail health GWP up 37% YoY on 1/N basis. Profit after tax rose 25% YoY to Rs 550 crore, while normalised PAT increased 44% YoY to Rs 386 crore with annualised ROE rising to 15.6%. Management also reported a fourth consecutive quarter of improvement in underwriting profitability, with the combined insurance service ratio improving to 97% from 98.7% a year earlier.
Numbers mentioned
Gross written premium (1/N basis): Rs. 4,287 crore (Q1 FY27)
p. 4
“On a 1/N basis, the gross return premium increased 19% YoY to Rs. 4,287 crore.”
Anand Roy, page 4 of the filed PDF · View the filing
Gross written premium (N basis): Rs. 4,672 crore (Q1 FY27)
p. 4
“On N basis, the gross return premium was Rs. 4,672 crore, an increase of 19% YoY.”
Anand Roy, page 4 of the filed PDF · View the filing
Fresh Retail Health GWP (1/N basis): Rs. 730 crore, up 37% YoY (Q1 FY27)
p. 4
“Fresh Retail Health GWP increased 37% YoY to Rs. 730 crore.”
Anand Roy, page 4 of the filed PDF · View the filing
Underwriting Result: Rs. 111 crore (Q1 FY27)
p. 4
“The Underwriting Result of the company for Q1 was Rs. 111 crore compared to Rs. 16 crore in Q1 FY26.”
Anand Roy, page 4 of the filed PDF · View the filing
Combined Insurance Service Ratio: 97% (Q1 FY27)
p. 4
“Combined Insurance Service Ratio, CISR, improved by 1.7% from 98.7% in Q1 FY26 to 97% in current quarter Q1 FY27.”
Anand Roy, page 4 of the filed PDF · View the filing
Investment income: Rs. 644 crore, up 10% YoY (Q1 FY27)
p. 4
“The investment income for the quarter increased 10% YoY to Rs. 644 crore.”
Anand Roy, page 4 of the filed PDF · View the filing
Profit after tax: Rs. 550 crore, up 25% YoY (Q1 FY27)
p. 4
“The profit after tax for the quarter increased 25% YoY to Rs. 550 crore.”
Anand Roy, page 4 of the filed PDF · View the filing
Normalised PAT: Rs. 386 crore, up 44% YoY (Q1 FY27)
p. 4
“Under Page 4 of 16 the normalised framework, our profit after tax increased 44% year-on-year to Rs. 386 crore with an annualised ROE increasing from 12.2% in Q1 FY26 to 15.6% in Q1 FY27.”
Anand Roy, page 4 of the filed PDF · View the filing
Retail market share: 29% (Q1 FY27)
p. 5
“Our retail market share was 29% in Q1 FY27 compared to 31% in Q1 of last fiscal.”
Anand Roy, page 5 of the filed PDF · View the filing
Agency network size: 8.5 lakh agents (Q1 FY27)
p. 5
“We continue to scale our industry-leading agency network, adding around 20,000 new agents during this quarter to take the overall count to 8.5 lakh agents along with 19% YoY improvement in agent productivity.”
Anand Roy, page 5 of the filed PDF · View the filing
D2C fresh business growth: 142% YoY (Q1 FY27)
p. 5
“D2C fresh business grew 142% year-on-year with 98% of customers being new to insurance.”
Anand Roy, page 5 of the filed PDF · View the filing
Retail claim settlement ratio: 91% (Q1 FY27)
p. 5
“Our retail claim settlement ratio increased by 1% over Q1 FY26, which now stands at 91% for Q1 FY27.”
Anand Roy, page 5 of the filed PDF · View the filing
Renewal ratio: 102% (Q1 FY27)
p. 5
“Our renewal Page 5 of 16 ratio increased by 3% YoY to 102% for Q1 FY27.”
Anand Roy, page 5 of the filed PDF · View the filing
Company NPS: 65 points (June 2026)
p. 6
“Our company level NPS improved by 12 points to 65 points at June 2026.”
Anand Roy, page 6 of the filed PDF · View the filing
Share of long-term business in fresh retail: about 40% (Q1 FY27)
p. 15
“as far as the long-term business is concerned, on the retail side, that's closer to about 40% of fresh.”
Himanshu Walia, page 15 of the filed PDF · View the filing
Senior citizen share of book: under 5% (Q1 FY27)
p. 16
“Senior citizens is hardly under 5% now of the overall book.”
Himanshu Walia, page 16 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Insurance revenue growth — 15-16% · through the coming quarters
stated conditionally by Nilesh Kambli
p. 8
“We believe it should start touching 15-16% as we keep on moving ahead through the quarters.”
Nilesh Kambli, page 8 of the filed PDF · View the filing
Expense ratio — 30-40 basis points improvement · over the years
stated as an aspiration by Nilesh Kambli
p. 8
“the investment that we are doing in tech and digitization, the focus on efficiency and productivity, will ensure that 30-40 basis points improvement in the expense ratio is something which we'll get consistently over the years and that is what we work towards.”
Nilesh Kambli, page 8 of the filed PDF · View the filing
ROE — mid- to high-teen ROE · steady-state / over next few quarters
stated as an aspiration by Anand Roy
p. 11
“On a steady-state basis we have articulated clearly that all the efforts that the organisation is taking is to deliver a mid- to high-teen ROE and structurally you can see us moving in that direction over the last three to four quarters.”
Anand Roy, page 11 of the filed PDF · View the filing
Reinsurance cost as % of business — 0.5%-0.6% · FY27-28
stated conditionally by Nilesh Kambli
p. 15
“Very difficult to comment at this moment, but it should be in the range of 0.5%, 0.6%.”
Nilesh Kambli, page 15 of the filed PDF · View the filing
Loss ratio, Q2 seasonality — Q2
stated firmly by Anand Roy
p. 9
“Q2 generally is a higher loss ratio for health insurance business as you are aware. So, we expect the same trends to continue this year as well.”
Anand Roy, page 9 of the filed PDF · View the filing
Reinsurance cost trend — during the year
stated conditionally by Nilesh Kambli
p. 11
“On the obligatory side also we are trying to negotiate with GICRE and we believe there should be some benefits coming out of it during the year as well.”
Nilesh Kambli, page 11 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said insurance revenue growth should gradually rise toward 15-16% as long-term policy impacts flow through.
Answered by Nilesh Kambli
Asked by Supratim Dutta: How will GWP growth translate into insurance revenue growth over time?
p. 8
“We believe it should gradually increase because the growth has an element of long-term policies as well.”
Nilesh Kambli, page 8 of the filed PDF · View the filing
Management pointed to a combined approach of portfolio quality, pricing and claims initiatives including teleconsultation.
Answered by Amitabh Jain
Asked by Supratim Dutta: What are the levers for loss ratio improvement?
p. 8
“It's a combined 360-degree approach that we've taken of improving the portfolio quality, the pricing, and all the initiatives on claims starting from network management to wellness and like you put it, the teleconsultation piece.”
Amitabh Jain, page 8 of the filed PDF · View the filing
Management expects some moderation in growth rates industry-wide including for Star Health.
Answered by Anand Roy
Asked by Avinash Singh: How will fresh premium growth trend in H2 as GST base effect kicks in?
p. 9
“So, some moderation in growth rates which will happen. But I think our strategy of focusing on acquiring business with certain set objectives in certain markets will continue.”
Anand Roy, page 9 of the filed PDF · View the filing
Management clarified the 30-40bps comment was about expense ratio, not loss ratio, and declined to give loss ratio guidance.
Answered by Anand Roy
Asked by Swarnabha Mukherjee: What is driving continued loss ratio improvement and what levers remain?
p. 10
“We are not giving any guidance for loss ratio improvement.”
Anand Roy, page 10 of the filed PDF · View the filing
Management said retail loss ratio also improved, not just the group mix shift.
Answered by Amitabh Jain
Asked by Sanketh Godha: Does the drop in group business share explain overall loss ratio improvement?
p. 13
“Yes, so there is some component of that, but we've seen an improvement in the retail loss ratio also.”
Amitabh Jain, page 13 of the filed PDF · View the filing
Management attributed the increase to loss of GST input tax credit this year versus last year, plus annual rate hikes.
Answered by Nilesh Kambli
Asked by Samant Singh: What is driving the 23% YoY rise in other expenses?
p. 15
“last year GST input credit was available on the operating expenses, especially the technology, admin and all those things. This year the input tax credit is not available and hence you see a 20% year-on increase in this segment.”
Nilesh Kambli, page 15 of the filed PDF · View the filing
Management declined to comment on proposed regulations but noted the company's high proprietary distribution share positions it well.
Answered by Anand Roy
Asked by Ansuman: How might upcoming commission and claim regulatory reforms affect Star Health?
p. 15
“we believe that we would be at an advantageous position in case of the reforms which comes in.”
Anand Roy, page 15 of the filed PDF · View the filing
Management said performance versus the legacy book has been reasonable and improvement remains a continuing effort.
Answered by Anand Roy
Asked by Prayesh Jain: Is loss ratio on the back book increasing given strong fresh growth and digital mix should have driven bigger improvement?
p. 16
“we have done, quite well as compared to the legacy book that we have and the strategies that we have implemented over the last two years.”
Anand Roy, page 16 of the filed PDF · View the filing
Management agreed that framing was the right way to think about the growth trajectory.
Answered by Anand Roy
Asked by Prayesh Jain: Could the high base from last year's GST tailwind restrict growth in H2 and into H1 FY28?
p. 17
“Yes, I think that's the right way to put it.”
Anand Roy, page 17 of the filed PDF · View the filing
Risks flagged
Seasonal rise in vector-borne and infectious diseases increasing claims in Q2
p. 5
“As we enter Quarter 2, we remain watchful of dengue, malaria, fever and infectious disease outbreaks with our telemedicine services on hand to support the customers at a call.”
Anand Roy, page 5 of the filed PDF · View the filing
Retail market share decline partly due to long-term policy reporting effects
p. 5
“Our retail market share was 29% in Q1 FY27 compared to 31% in Q1 of last fiscal.”
Anand Roy, page 5 of the filed PDF · View the filing
Higher loss ratio expected in Q2 due to seasonality
p. 9
“Q2 generally is a higher loss ratio for health insurance business as you are aware.”
Anand Roy, page 9 of the filed PDF · View the filing
Uncertainty from pending regulatory changes on commissions and claims
p. 15
“we will not like to comment on what is the proposed regulation. We'll have to wait and see.”
Anand Roy, page 15 of the filed PDF · View the filing
Loss of GST input tax credit increasing operating expenses
p. 15
“This year the input tax credit is not available and hence you see a 20% year-on increase in this segment.”
Nilesh Kambli, page 15 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.