Star Health and Allied Insurance Company Limited, India's largest standalone health insurer, reported a strong financial performance for the first quarter ended June 30, 2026, posting a 25 per cent year-on-year increase in Profit After Tax (PAT) to ₹550 crore, driven by healthy premium growth, improved underwriting and operational efficiencies.
The company recorded a Gross Written Premium (GWP) of ₹4,287 crore during Q1 FY27, registering a 19 per cent year-on-year growth on a reported 1/N basis. Fresh Retail Health GWP surged 37 per cent to ₹730 crore, reflecting continued demand for retail health insurance products.
Under the Indian Accounting Standards (Ind AS), the company's underwriting profit increased sharply to ₹111 crore, compared with ₹16 crore in the corresponding quarter of the previous financial year. The Combined Insurance Service Ratio (CISR) improved to 97.0 per cent from 98.7 per cent a year ago, indicating stronger underwriting discipline.
Star Health's Normalised PAT, calculated at an annualised investment yield of 8 per cent to eliminate short-term market volatility, rose 44 per cent to ₹386 crore from ₹267 crore in Q1 FY26.
The insurer settled 9.6 lakh claims during the quarter, while its Retail Claims Settlement Ratio improved by one percentage point to 91 per cent. Persistency increased by three per cent to 102 per cent, and the company's Net Promoter Score (NPS) improved by 12 points to 65, reflecting higher customer satisfaction.
Digital initiatives continued to support growth, with the company's direct-to-consumer digital channel contributing 16 per cent of fresh retail sales after recording 142 per cent year-on-year growth. Nearly 97 per cent of fresh policies were sourced digitally. The company also expanded the use of its AI-enabled ATOM PRO platform and strengthened AI and Generative AI capabilities across claims and customer servicing.
Commenting on the results, Anand Roy, Chief Executive Officer and Managing Director of Star Health, said the company's strong first-quarter performance reflected disciplined execution, sustainable growth, improved underwriting profitability and continued investments in digital technology, artificial intelligence and distribution capabilities to deliver better customer experience and long-term value.