Between FY20 and H1FY25, life insurers have seen their embedded value grow at a compound annual growth rate (CAGR) of between 8% to 23%. At the same time, market capitalisation has also expanded, particularly over the past 1.5 years, with LIC leading the surge at 53% CAGR. Despite the robust growth in both embedded value and market capitalisation, the price-to-embedded value (P/EV) multiples have declined across all listed life insurers, except LIC.
