NIRAJ SHAH, EXECUTIVE DIRECTOR & CFO, HDFC LIFE ‘Will rework distribution commission in H2’

HDFC Life Insurance is working on revising its commission structures to offset the impact of input tax credit (ITC) loss. Niraj Shah, executive director and CFO, tells Narayanan V about the company's growth prospects after GST rate cut and the demand for ULIPs. Excerpts:

- 

Q2 net profit grew by only 3%.

The GST rate rationalisation has its impact on the profit after tax (PAT) growth. Excluding that, our PAT growth would have been 15%. I think it's a fairly-strong quarter across all parameters. Our top line grew 9%, overall market share grew by 90 bps to 11.9% and 30 bps within the private sector to 16.6%. New business margin was similar to last year at 24.5% in H1FY26.We have quantified GST rate-cut impact across four elements: Embedded value will have an impact of 50 bps, value of new business will be impacted by 90 bps, ₹50-crore impact on PAT and 1.5% on the solvency ratio.