Canara HSBC Life Insurance Company Limited — Q2 FY26
Canara HSBC Life Insurance reported a steady H1 FY26 with individual weighted premium income (WPI) growing 14% YoY, outperforming the private industry growth of 8%.
bullish
high
Financial stats pending filing verification
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
60%Questions answered2Evaded / deflected10Questions audited
Partial answer
High priority
Impact of GST on new business and renewal premium, annual impact.
Asked by Mohit Mangal, Sentum
Management gave full-year impact but did not split between new business and renewal as asked.
did not bifurcate new business vs renewalno annual impact percentage given
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Question
my first question is basically the impact of GS you said that it's 5%. So if you can just bifocate between you know what was the new business premium impact that is basically the business procured after 22nd September and the renewal premium and how do you see the impact on overall I mean on annual basis will it be 0.5% or how do you kind of foresee this
Anid (CFO)
for the full year and this is without taking any management action it will be about 2.25% but we have we have taken couple of measures and through that we are confident that we will be able to kind of retain our current new business margins going forward
Evasive
High priority
Will ULIP product mix decline to 30% or stay elevated?
Asked by Mohit Mangal, Sentum
Did not answer whether ULIP share will decline or stay elevated; focused on margins.
no forward guidance on mixdeflected to margin protection
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Question
my second question is in on the product mix so Julip is you know still 50 odd% uh so do you think that we go to around 30 cent % which was there in financial 24 or should we see ULIP at elevated levels?
Anid (CFO)
it's basically the customer demand which is quite evident in the market... there's no problem with the unit link business as long as you can protect your margins and we have taken number of measures uh to kind of protect our VNB margins.
Partial answer
High priority
Impact of agency setup on cost ratios and margins, with guidance.
Asked by Sarnab Mukharji, BNK Securities
Stated no significant impact but provided no quantification or glide path.
no specific numbers on cost impactno margin guidance given
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Question
I wanted to understand sir that as we set up the our agency business what will be the impact of on the cost ratios and subsequently on the margins because of that and if you could give us some uh guidance related to the margins going forward
Anid (CFO) and Tarun (Appointed Actuary)
as we are ramping up agency this year in a phase manner so we don't expect any impact uh uh significant impact uh on u the various parameter one is the cost second one is uh you know your uh BNB margin and other financial parameters
Answered
High priority
Steps to mitigate GST impact on margins, including distributor negotiations.
Asked by Sarnab Mukharji, BNK Securities
Provided three specific levers and confirmed agreements with most distributors.
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Question
in terms of sir uh uh basically mitigating the impact of uh GST on our margins. So just wanted to understand what all steps we are taking and if there is any negotiation going on with our distributors
Tarun (Appointed Actuary) and Anid (CFO)
there are three uh things which we are doing... rationalization of our operating expenses... product mix shift... commission rationalization... we have already agreed to the agreement with most of the distributors that uh uh the impact will be neutralized uh on the commission side.
Partial answer
Medium priority
Protection mix split between individual and credit life, and persistency drop.
Asked by Sarnab Mukharji, BNK Securities
Gave protection mix split but persistency explanation lacked specific quarter-on-quarter numbers.
persistency drop not fully explained with numbersblamed GST deferment
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Question
on your uh protection mix. So if you could split that up between uh individual uh products and credit life... And secondly, if I look at your persistency disclosure... there seems to be a drop in the number.
Tarun (Appointed Actuary) and Anid (CFO)
out of uh 8% uh the protection majority of the businesses uh contribution is done by uh the group create life... almost uh you know 75% is coming from um group protection... on persistency... this change which happened in GST many customers actually decided to kind of the clarification also came there was deferment of uh premium payment by customers.
Answered
Medium priority
Drivers of high annuity share, product structure, and channel.
Asked by Nidesh, Investec
Provided split (80-90% regular deferred) and explained channel (HSBC segment).
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Question
The share of nut is pretty high for us versus our listed peers. Uh so what is driving it and if you can share uh share some details about the product structure within nut? how much is regular pay nut and how much is single premote and uh which specific channel is driving that
Nitin (Appointed Actuary) and Anid (CFO)
on the anity side so we have seen uh good uh we've seen a potential of anity in terms of the market and there is good margin... most of our about 80 to 90% of the anity portfolio comes from actually the regular fee deferred annity
Answered
Medium priority
Distribution mix on AP basis for H1.
Asked by Nidesh, Investec
Provided specific percentages for each channel.
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Question
on distribution mix if you can share data on the distribution mix for H1 how much is KRA bank how much is HSBC and how much is other channels
Anid (CFO)
broadly 70% of the business comes from camera and another 14 to 15% comes from HSBC and remaining is alternate channels
Evasive
High priority
VNB margin guidance for full year despite GST impact.
Asked by Nidesh, Investec
Did not confirm 20% margin; used non-committal language.
vague phrase 'inching towards'no firm guidance
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Question
are you guiding for 20 around 20% VNB margin for the full year? Is that the guidance despite GST impact?
Anid (CFO)
inching towards that we can say that.
Partial answer
Medium priority
Details on agency rollout and rider attachment ratio.
Asked by Vinod Rajani, Nirmal Bank
Provided rider attachment ratio but agency details lacked quantification.
no specific numbers on agency size or timelinerider ratio given only for recent business
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Question
just wanted uh some more details on this agency roll out... how many policies currently have a rider attached and uh what is the aspiration in terms of the rider attachment ratio
Anid (CFO) and Nitin (Appointed Actuary)
we are going to ramp up in a phased manner... we will not like to see any VNB compression on account of agency... on the rider attachments... in the recent business that we are selling this year it's about 65 to 70% already and we are only looking to increase this further.
Answered
Low priority
Long-term changes in building trust and relevance with digital adoption.
Asked by Sukrit Patil, Eyesight Fint Trade Private Limited
Answered with specific digital metrics and strategy.
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Question
as customer uh expectations shift and digital adoption deepens uh what long-term changes do you foresee in how Canada HLBC life insurance builds trust and relevance across different customer segments.
Anid (CFO)
our focus will continue to be on the bank insurance business along with ramping up the agency... we have achieved very high level of digitization roughly 99% of our business we acquire digitally... 85% of customer service requests are on DIY journeys.
Answered
Low priority
Internal levers for balancing growth with risk and capital efficiency.
Asked by Sukrit Patil, Eyesight Fint Trade Private Limited
Provided three specific levers with explanation.
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Question
what kind of internal levers or uh any strategic choices do you see as uh most important for balancing growth with disciplined risk and say capital efficiency.
Tarun (Appointed Actuary)
product mix play a very important role... cost management is another lever... consistency which is basically a right sale need-based sale... these three things are very very critical.
Answered
Medium priority
Interest rate sensitivity reduction and hedging percentage of non-par book.
Asked by Pen
Provided specific percentage (70%) and target (80%).
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Question
I'm just looking at the interest rate sensitivity... the sensitivities have gone down and so what's what's kind of driven that and do we see further improvement there... What percentage of nonpar uh uh book will be hedged.
Nitin (Appointed Actuary) and Tarun (Appointed Actuary)
we have been constantly working on this... increased hedging... working on the duration of our assets... What percentage of nonpar is about about 70%... intention to go upwards up to 80%.