India-based ICICI Prudential Life Insurance Company has reported a net loss of INR1.857 billion (SG$34 million) for April to June 2021, the first quarter of the Indian financial year.

This is a huge swing from the previous quarter, when the insurer brought in a profit of INR637.8 million, and one year prior, with a profit of INR2.87 billion, Moneycontrol reported.

In its investor presentation, ICICI Prudential said it received INR11.19 billion worth of COVID-related claims in the first quarter. Net of reinsurance, the claims were worth INR5 billion. The company added that net claims plus provisions for this quarter were five times larger than a year ago.

While claims skyrocketed, sales improved, with 78% year-on-year growth in value of new business (VNB) to INR3.58 billion. The insurer credited the improvement to its resilient business model, innovative product offerings and diversified distribution and product mix.

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According to N S Kannan, ICICI Prudential Life’s managing director and CEO, the company is on track to achieve its goal of doubling its 2019 VNB by 2023.

Annualised premium equivalent was at IDR12.19 billion, up 48% from last year. Assets under management also improved 31% year-on-year to INR2.23 trillion.