Shares of Star Health and Allied Insurance Company surged nearly 12% at the opening bell on April 29 after the company reported a strong improvement in its March quarter (Q4 FY26) performance, led by better underwriting metrics and operational efficiency. The stock opened at ₹543.25 and climbed to an intraday high of ₹586.25 against its previous close of ₹517.30 on the NSE.
For the March quarter, the company reported a notable improvement in its combined ratio, which stood at 95.7% compared to 98.4% in the same quarter last year. The improvement reflects a decline in claims ratio and better cost control, indicating strengthening underwriting profitability. The loss ratio also improved sequentially, marking the third consecutive quarter of improvement, while the retail loss ratio saw a sharp expansion in efficiency.
The company continued to witness steady business momentum in Q4, with gross written premium (GWP) rising 17% year-on-year to ₹6,529 crore. The quarter also saw strong traction in claims servicing and digital adoption, with a higher share of claims being settled through cashless modes, improving customer experience and operational turnaround times.
On a full-year basis, Star Health reported a 16% rise in profit after tax (PAT) to ₹911 crore for FY26, supported by premium growth, better customer retention, and improved underwriting discipline. The company also reported a turnaround in underwriting performance, posting an underwriting profit of ₹206 crore compared to a loss of ₹165 crore in FY25.
Gross written premium for FY26 stood at ₹20,369 crore, up 16% year-on-year, with retail health premium growing 20% to ₹19,340 crore. The company retained its leadership position in India’s retail health insurance segment with a market share of around 31%.
Operationally, the combined ratio for FY26 improved to 98.8% from 101.1% in the previous year, reflecting sustained gains in profitability. Loss ratio improved to 68.7%, while expense ratio remained broadly stable, highlighting disciplined cost management.
Commenting on the performance, CEO Anand Roy said FY26 marked a year of disciplined execution, with a strong focus on underwriting quality, operating efficiency, and digital adoption. He added that the company remains committed to sustainable growth while strengthening its leadership in the retail health insurance space.
About the company:
Star Health and Allied Insurance is India’s largest standalone health insurer, focused on retail health, group health, and personal accident insurance. The company operates through a wide distribution network of over 900 offices and a strong hospital network, and has been a key beneficiary of rising health insurance penetration in India.