Star Health and Allied Insurance Company Limited, India’s largest standalone health insurer, has reported a 16% year-on-year increase in Profit After Tax (PAT) for the financial year 2025-26, reaching ₹911 Crores. This growth was driven by premium growth, improved customer renewal persistency, a moderation in loss ratio, and enhanced operating efficiency. The company emphasised its commitment to transparent reporting practices in line with IndAS principles.
Star Health registered a Gross Written Premium (GWP) of ₹20,369 crores for the year ended March 31, 2026, marking a 16% year-on-year growth. The retail health premium stood at ₹19,341 crores, a 20% increase year-on-year. The company maintained its leadership position in India’s retail health insurance segment with a 31% market share for FY26.
The company’s combined ratio improved to 98.8% in FY26 from 101.1% in FY25, with further improvement in Q4 FY26 to 95.7% from 98.4% in Q4 FY25. This reflects a moderation in loss ratio and improved operating efficiency.
Performance highlights for FY26 include a GWP increase of 16% year-on-year to ₹20,369 Crores, a PAT of ₹911 Crores (16% year-on-year growth from ₹787 Crores in FY25), and an underwriting profit of ₹206 Crores compared to a loss of ₹165 Crores in FY25. The IndAS combined ratio improved by 236 basis points to 98.8%, with a loss ratio improvement of 194 basis points to 68.7% and an expense ratio improvement of 31 basis points to 30.1%.
In Q4 FY26, GWP increased by 17% year-on-year to ₹6,529 Crores, and the IndAS combined ratio improved by 266 basis points to 95.7%. The loss ratio improved by 399 basis points to 65.2%, with the retail loss ratio improving by 294 basis points to 64.8%.
Star Health settled approximately 30 lakh claims amounting to over ₹11,900 Crores during FY26, with robust renewal trends and a 99% persistency rate. The company’s Net Promoter Score (NPS) improved from 54 in March 2025 to 62 in March 2026.
The company’s digital initiatives contributed significantly to its growth, with the digital channel accounting for around 20% of fresh retail sales. The distribution app “Atom” saw increasing adoption among frontline partners, and the AI-enabled claims processing engine improved productivity with approximately 84% of claims settled under cashless mode. The customer app also saw strong traction with over 14 million downloads and 1.5 million monthly active users.
Star Health’s distribution network continued to support its growth, with over 900 offices, 8.3 lakh agents, 15,000+ network hospitals, and 18,500+ employees as of March 31, 2026.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).
This article is written by Yash Agarwal and reviewed by Markets Desk before publication.