The Directors are pleased to present the 25^th Annual Report of SBI Life Insurance Company Limited (“SBI Life" or “the
Company") along with the audited financial statements for the financial year ended March 31, 2025.

This year marks momentous milestone in the journey of SBI Life Insurance, as we celebrate 25 years of excellence, resilience,
and growth. We have witnessed significant transformation—not just within our organization, but across the insurance
industry itself. From introducing life insurance to a relatively untapped market to becoming a household name with a
comprehensive suite of products, SBI Life has consistently evolved into a trusted brand. Our ability to adapt, innovate, and
respond to the changing needs of our customers has been key to this journey. This milestone stands as a testament to the
enduring trust of our customers and the dedication of our people, who deliver on our promise of protection and peace of
mind every day.

The Company have once again delivered enduring performance in this year as well and we continue to be market leader
across individual and total business. The Company remains committed to delivering long-term value to its stakeholders
while upholding highest standard of governance and customer service.

1. Financial Performance and State of Company's Affairs

The Company witnessed a growth and consistent performance in FY 2025. The key parameters of the Company
are as follows:

The Company has maintained its private market leadership in New Business Premium (NBP) and Individual NBP with
private market share of 20.8% and 25.3% respectively.

Individual Rated premium (IRP) has increased by 12% to ' 193.54 billion and APE has increased by 9% to ' 214.17 billion.

59,815 Certified Insurance Facilitators (CIFs)
across the country.

• Distribution Mix

During the year, the Company has collected
NBP of ' 355.77 billion, comprising of ' 193.37
billion from 'Bancassurance' which represents
company's largest distribution network, ' 75.66
billion from Retail Agency and ' 86.74 billion
from other distribution channel which includes
direct sales, sales by corporate agents, brokers,
micro agents, common service centres (CSC),
insurance marketing firms (IMFs), Point of Sale
Person (POSPs) and Web aggregators.

The Company's direct sales primarily comprise
sale of group products, as well as standardised
individual products sold through online offerings.

2. Industry and Company Outlook

At global level, Persistent inflation remains the top
risk for insurers. As of FY 2025, the global insurance
industry is projected to experience moderate growth,
with total premiums (both life and non-life) expected
to increase by approximately 2.6% annually in real
terms. However, it was expected insurers to prove
resilient against any further financial instability like
that experienced earlier this year, given very strong
solvency ratios and balance sheets. Life insurers
should benefit from a rise in pension, annuity and
savings product sales. High interest rates will support
industry profits via improved investment returns.

The insurance industry is currently navigating a
complex landscape, marked by economic challenges
such as prolonged inflation, rising interest rates, and
rapidly evolving consumer preferences regarding
products and purchasing channels. Nevertheless,
emerging economies are still optimally placed for
long term growth. With their expanding middle-class
population, improving financial awareness, and
relatively low insurance penetration, these markets
present significant opportunities for insurers to
expand their footprint, diversify offerings, and support

long-term industry growth. As per recent Swiss Re
report, India is one of the fastest growing insurance
markets in the world. It is forecasted that India will
grow at an average annual real GDP growth of 6.7%
between 2024 to 2028. This growth is driven by
increasing demand for term life coverage among the
middle class and the country's young population,
alongside the adoption of Insurtech solutions. In
terms of total life insurance premium volumes, it was
the 9^th largest globally in 2021. It is forecasted tthat
premiums will grow by an average 9% per annum (in
real terms) over the next decade.

Further, India is one of the fastest growing insurance
markets in the world. It is the 9^th largest country globally
in terms of life premium volume and is expected to be
5^th largest by 2032 as per latest Swiss Re report. So, we
can expect life insurance industry to perform well and
with strong geographical reach, distribution network
and well diversified product basket we are expecting
to grow at better than the industry rates.

Key Areas on which Insurers needs focus as they
prepare to future-ready

1. Technological Transformation: Insurers are
increasingly adopting advanced technologies like
generative AI, cloud computing, and data analytics
to enhance their customer-centric approaches
and operational efficiency. This transformation
aims to break down silos, improve collaboration,
and deliver more personalized services to
customers. The integration of these technologies
is crucial for staying competitive and meeting
evolving customer expectations.

2. Cyber Security and Data Privacy: With increased
digitalization, insurers face rising cyber threats
targeting sensitive customer and financial data.
We need robust cybersecurity frameworks
to protect against breaches and ransomware
attacks. Insurers must build resilience through
continuous monitoring, employee training, and
secure technology investments to maintain trust
and regulatory compliance.

3. Sustainability and Climate Change: The industry
is placing a stronger emphasis on sustainability
and climate resilience. Insurers should not only
be focusing on providing financial safety nets
but also on preventing and mitigating risks
associated with climate change. This includes
developing products and services that promote
environmental sustainability and working with
clients to implement climate solutions.

4. Customer-Centric Business Models: There is
a significant shift towards customer-centric
business models. Insurers must focus on
enhancing customer experiences and
building trust by providing more holistic,

relationship-based services rather than purely
transactional interactions. This involves
using technology to better understand and
anticipate customer needs, thus improving
satisfaction and loyalty.

Overall, the insurance industry is poised for
significant transformation, driven by technological
advancements, a focus on sustainability and a
shift towards more customer-focused business
models. These changes aim to enhance
resilience, growth, and societal impact in the face
of evolving global risks.

Thus, the future of life insurance seems
promising, and as a Company, we are prepared
to seize the opportunities that lie ahead.
Our vision encompasses leveraging innovative
technologies, expanding our digital capabilities,
and offering tailored solutions to meet the
evolving needs of our customers.

Regulatory update:

Master Circular on Life Insurance Products

- Key highlights

• Policy to acquire surrender value after
completion of first policy year, provided 1 full
year premium is received.

• Methodology of calculating special surrender
value factor has been prescribed.

• Non-linked savings products offering surrender
shall have the facility of providing loan, basis the
eligible surrender value.

• Customer Information Sheet (CIS) to be provided
with every insurance policy and be made available
in local language, if the policyholder so desires.

• Board approved Advertisement Policy to be put
in place and Advertisement committee shall
be constituted.

• Accidental death benefit rider sum assured
is limited to a maximum of three times of
base sum assured.

• Partial withdrawal allowed in case of pension
products during deferment period, post
completion of 3 years from the date of
commencement of policy.

Bima-ASBA

• Insurers can offer one-time mandate facility
for blocking certain amount through Unified
Payment Interface (UPI) in the bank account of
the concerned prospect called "Bima Application
Supported by Blocked Amount (Bima - ASBA)"

for transfer of money from the prospect to the
Insurer, only when Insurance policy is issued.

• Amount towards insurance premium will be debited
only after Insurer decided to accept the proposal.

• Amount shall be unblocked automatically after
expiry of 14 days from the date of initial blocking
or within one working day from the date of
non-acceptance of proposal.

• I nsurer shall release the blocked amount within
one day from the day of request received for
cancellation of the proposal form submitted
by the prospect.

• Risk shall commence from the date of
acceptance of the proposal irrespective of the
debit from the account of the prospect, in case
Bima-ASBA is utilised.

• Bima-ASBA mechanism to be used for blocking of
premium upto the limit specified by NPCI.

• ThisfacilityisextendedtotheIndividualPolicyholder.

Guidelines on Hedging Through Equity
Derivatives

• Insurer permitted to use equity derivatives for
hedging their existing equity exposures.

• Allowed to take below positions to the extent
of existing holding of underlying equities in the
respective funds:

- Short position in Stock and Index Futures

- Buy only put options of stocks and indices

• Following funds permitted to use equity derivatives:

- Unit Linked funds: for the new funds

- Life Fund

- Pension, Annuity and Group Fund;

- Investment Assets of General or
Health Insurers

• IRDAI had specified the exposure & position limits.

• Corporate Governance measures have
been prescribed.

• Disclosure requirements for sales brochures and
Financial Statements has been prescribed.

Exposure to Forward Contracts in Government
Securities

Permitted insurers to undertake transactions in Bond
Forwards as users for hedging purpose, subject to the
following conditions:

• Undertake only long positions in Bond Forwards.
Bond Forwards are not permitted for ULIP business.

• Insurers shall comply with provisions pertaining to
regulatory exposure and prudential norms, etc.

• I nsurers shall report the transactions in the bond
forwards on quarterly basis.

• I nsurers shall comply with RBI directions issued
for bond forwards and operational guidelines
issued by Fixed Income Money Market and Dealers
Associdation of India (FIMMDA).

3. Dividend and Reserves

The Board of Directors of the Company at its meeting
held on February 28, 2025 has declared an interim
dividend of ' 2.70 per equity share with face value of
' 10 each (previous year ended March 31, 2024, interim
dividend of ' 2.70 per equity share with face value of
' 10 each). The total interim dividend pay-out amounts
to ' 2.70 billion. No final dividend is recommended for
the year ended March 31, 2025 and the said interim
dividend declared is to be confirmed as final dividend.

In terms of Regulation 43A of Securities and Exchange
Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015 (“Listing Regulations”)
the Dividend Distribution Policy of the Company is
disclosed on the website https:// www.sbilife.co.in/en/
about-us/investor-relations

The Company has uploaded the details of unpaid and
unclaimed dividend on the Company's website: https://
www.sbilife.co.in/en/about-us/investor-relations

4. Capital and Shareholding

During the year there was no fresh capital infusion by
the promoters in the Company. The authorized share
capital and paid up share capital of the Company
stands at ' 20.00 billion and ' 10.02 billion respectively.
The shareholding pattern during the year under review
is in compliance with the statutory requirement.
The shareholding pattern is provided as a part of
Form No. MGT-9 which is annexed to this Report
and under Schedule - 5A which forms part of the
Financial Statement.

During the year, the Company has allotted 669,618
Equity shares on exercise of certain stock options
granted under SBI Life Employees Stock Option
Scheme 2018 ('the Scheme' or 'ESOS 2018').

5. Deposits

During the year under review, the Company has not
accepted any deposits from the public as per Section 73
of the Companies Act, 2013 read with the Companies
(Acceptance of Deposits) Rules, 2014 (as amended).

6. Awards & Recognitions

The Company has received various awards during
the year across brand management, technology, CSR

initiatives etc. Brief highlight of some of the major
awards are mentioned below:

• Won the “Best Al-Powered Conversational
Analytics Platform" at the 2^nd Edition of Data
Analytics and Al Show 2025

• Won the “Best Life Insurance Company - India" at
the ICC Emerging Asia Conclave & Awards 2025

• SBI Life has been recognised among India's
Top 500 Value Creators 2024, organised by
Dun & Bradstreet

• Won India CSR Leadership Awards 2024- Large
Impact' for a project - 'Holistic Development
of Children & Employability Enhancement of
Young Adults Affected by Leprosy or Belonging
to Leprosy Affected Families in West Bengal'.

The awards demonstrate the Company's commitment
to achieve excellence, across all spheres of its activities
and operations.

7. Products

SBI Life has a wide range of products/riders catering
to various customer needs in the life, health, pension
& micro-insurance segments. These products/riders
are customer centric, simple to understand and have
competitive features.

During the last financial year, all Linked and Non-linked
savings insurance products, including TROP (term
with return of premium) were modified to comply
with IRDAI (Insurance Products) Regulations, 2024
and Master Circular issued by the Authority.

The Company has successfully relaunched 20
products as on October 1, 2024, in the process of
implementation of the new product regulation.

In addition, 13 new products were also launched to
strengthen the product offerings by the company

1) SBI Life - eShield Insta

2) SBI Life - Smart Fortune Builder

3) SBI Life - Smart Privilege Plus

4) SBI Life - Smart Scholar Plus

5) SBI Life - Smart Shield Premier

6) SBI Life - Smart Elite Plus

7) SBI Life - eWealth Plus

8) SBI Life - Smart Swadhan Neo

9) SBI Life - Smart Annuity Income

10) SBI Life - Smart Bachat Plus

11) SBI Life - Smart Platina Supreme

12) SBI Life - Smart Future Star

13) SBI Life - Smart Platina Young Achiever

SBI Life eShield Insta, is a customized product exclusive
for YONO platform and SBI Life Smart Shield Premier
is a pure term insurance product specially designed
for High-Net-worth individuals. With introduction
of these two products, a good growth is seen in
protection segment.

The Company has launched two new child
products, SBI Life Smart Platina Young Achiever
(Non-participating) and SBI Life Smart Future star
(Participating), exclusively for the child segment.

Further, a new immediate annuity product, SBI Life
Smart Annuity Income has been launched, which is
an exclusive product designed for NPS subscribers.
Interest rate movements are being are continuously
monitored and interest rate sensitive products including
annuity products are being re-priced, if required.

Further the following two new riders were also
launched during this Financial Year.

1) SBI Life -Accident Benefit Rider

2) SBI Life -Accident Benefit Rider - Linked

Also, a new Bluechip fund, to be offered as fund option
under Unit-Linked Products, was launched.

The attachment rate for both the riders and the new
fund is quite encouraging.

8. Processes refinement and optimization

At SBI Life, we view excellence as a continuous journey
rather than a final destination. Our unwavering focus
on improvement drives our passion for innovation,
enabling us to adapt swiftly and thoughtfully to the
ever-changing business environment. As we advance,
we recognize the vital role of technology and digital
tools in boosting efficiency, enhancing performance,
and creating outstanding customer experiences.
In today's interconnected world, digital empowerment
of our organization, customers, and stakeholders
is not merely a choice—it is a strategic necessity for
long-term success.

SBI Life's approach to business transformation
revolves around building resilient and agile work
systems through a combination of continuous
process refinement, digitization, and automation.
With the integration of cutting-edge technologies
such as Robotic Process Automation (RPA) and
Artificial Intelligence (AI), we have significantly
enhanced operational efficiencies, reduced costs,
and maximized value creation for our customers
and stakeholders.

Our commitment extends beyond business growth.
We recognize the importance of preserving the
environment for future generations. In line with our
sustainability goals, we have adopted various initiatives
to minimize our carbon footprint. The digital-first
approach not only streamlines operations but also

contributes to a greener, more sustainable future,
showcasing our dedication to optimizing both our
business processes and environmental impact.

a) Enhancing Operational Capabilities &
Process Efficiency

FY 2025 witnessed highest transaction volumes
across New Business, Renewals, Policy Servicing
& Living Benefits handled with utmost efficiency.

• More than 22 Lakhs Individual Policies
issued and more than 2.3 Lakh Group new
lives added in FY 2025.

• Benefits paid (net) of more than
' 48,000 Cr was paid to more than 36 lakhs
policyholders/claimants in FY 2025.

• Over 15.70 Lakh Inbound calls were handled
on the Customer Care Toll free number in
FY 25 with 7.85% increase in calls received
over the last year.

• Renewal Premium collection of more than
' 49,000 Cr with 14% growth over the last
year. Further, 13M Persistency has increased
from 86.78% in FY 2024 to 87.41% in FY 2025
and 61M Persistency has increased from
57.41% in FY 2024 to 62.69% in FY 2025.

• Individual policy issuance Non-Medical TAT
(days) has reduced from 2.42 days in FY 2023
to 1.68 days in FY 2025 Whereas medical
TAT for individual policies has reduced from
9.89 days in FY 2023 to 8.24 days in FY 2025.

• Death Claim Settlement ratio (individual
and group) has increased from 98.39% in FY
2023 to 99.40% in FY 2025.

• Mis-selling ratio has reduced from 0.08% in
FY 2023 to 0.02% in FY 2025.

• Net Promoter Score (NPS) has improved
significantly from 59 in FY 2023
to 82 in FY 2025.

b) Customer Engagement, Retention &
Persistency Management

Customer retention and renewals is crucial
for long-term profitability of the Company.
The same is measured through persistency
ratios which refers to the percentage of policies
that remain active and in force over a specific
period. High persistency indicates customer
satisfaction and trust, while low persistency can
signal issues with product design, servicing, or
customer engagement. The Company employs
various strategies to improve customer retention,

including product innovation, personalized
service, and proactive communication.

All 3 key facets which help improve
customer stickiness, loyalty and persistency
are focused upon:

1. Customer Engagement

2. Renewal premium collections and
persistency

3. Controlling exits through surrender and
lapse control

Customer Engagement

The Company has undertaken various initiatives
to ensure a long-term engagement with our
esteemed customers. Multiple new mechanisms
are also devised to enhance the overall customer
experience such as Customer Communication
Dashboard, Personalized Product Videos
containing policy details, ongoing engagement
call around key policy milestone, Customer
Awareness Campaigns through a mix of
communication channels such as emailers,
SMS, IVR, Social Media, branch outreach, video
content etc. The customer awareness initiatives
are undertaken to educate policyholders on
key policy-related aspects and servicing norms,
encourage self-service adoption and build
customer confidence and trust.

Renewal collections & Persistency Management

In FY 2025, the renewal premium collection
under individual policies stands at ' 471.92 billion
with a growth of 14%. The growth in renewal
premium collection has led to increase the 13^th
Month persistency (regular Premium) by 63
bps to 87.41% and the 61^st Month persistency
(regular premium) by 528 bps to 62.69% for
individual policies thus establishing the efficacy
of our customer engagement and retention
interventions during the policy journey.

In order to improve renewal collection and
persistency management, auto debit instructions
for payment of renewal premium payment
have registered in upto 65% of the new policies
issued during the year. Over 97% of the premium
collections were made through a bouquet of
collection modes and digital payment methods.
The various measures undertaken to ensure high
renewal collection and persistency management
includes SMS with auto debit mandate registration
link, Aadhar based and UPI based mandate
registration, mandate registration through our
smart care app etc.

The retention of policies is tracked continuously
with an aim to prevent exits at any stage during
the policy term by follow-up through call

centres, revival campaign, communication to
policyholders with respect to losing benefits
in case of policy surrender or lapsation,
Personalized Communications sent to customers
with calls-to-action highlighting policy benefits
expected returns, and losses from non-payment
of premiums, Intermediary Assisted Servicing
through enhanced Smart Advisor app etc.
These initiatives reflect a robust strategy to
increase renewal premium collection efficiency,
improve customer retention, and leverage
technology to streamline processes.

Controlling exits through surrender and lapse
control

The Surrender Retention activity has been
augmented in order to reduce surrenders.
The surrender prevention tool is used to provides
information on key aspects influencing the
decision to surrender such as comparison of
returns realized, projected returns over different
periods and expected benefits to assist in a
well-informed decision. The surrender retention
has improved to 33% in FY 25 as compared to
31% in last year.

c) Customer Support & Service Delivery

Our servicing touch-points such as inbound
contact centre, self-service channel and
intermediary assisted servicing have been
optimized to cater to the increasing call volumes.
List of few initiatives are as below:

• A new service desk for Senior Citizen
at contact centre

• The Voice Bot replacing the traditional
key-press IVR system.

• Self-service option such as Missed Call
Services, 'Smart Care' Customer Servicing
Application, WhatsApp services, Chatbot (RIA)
for our customers

d) Process Quality Excellence & Risk
Mitigation

Robust Quality assurance framework has
been put in place to monitor the quality of
data and processes across the spectrum of
functions and transactional systems to ensure
accuracy alongside mitigating operational
risks. The process quality includes monitoring
key financial transactions, operational and
automated processes, data quality, development
of automated and tech tools to improve the
efficiency, effectiveness and scalability of the
quality monitoring processes. The key initiatives
involves automated system for realtime validation
of benefit payments independent check on the
quality and accuracy of the payouts made to

customers to mitigate risk, prevent financial
loss & improve compliance and automated
UAT for faster product launches and improved
operational efficiency.

e) Grievance Redressal

Grievance handling is not just about resolving
complaints; it is about building trust, reinforcing
our brand promise, and demonstrating
our commitment to every policyholder.
Each interaction is an opportunity to turn a
dissatisfied customer into a brand advocate
provided we respond with empathy, efficiency,
and accountability.

We have taken multiple steps to enhance
our systems and empower the employees to
improve the quality of resolutions of customer's
grievances. The key initiatives undertaken includes
robust Customer Relationship Management
(CRM) system, designed to streamline the entire
grievance lifecycle, integration of CRM with
the 'Bima Bharosa' Portal (IRDAI) on real time
basis. Through these initiatives, we continue
to strengthen our service delivery with a
focus on responsiveness, compliance, and
customer-centricity.

The Net Promoter Score (NPS) is one of our key
measures of customer satisfaction and improving
the overall response rates and effective looping
of the feedbacks to address the process gaps
is our key focus area. We have improved our
overall NPS Score to “82" in FY 25 as compared
to “72" in FY 24.

The ratio of customer grievances to new policies
issued has remained constant at 0.13% from FY24
to FY25. Additionally, the mis-selling complaints
ratio has improved to 0.02% in FY25, compared
to 0.03% in FY24.

f) Continual Process Improvement

Many process improvements and simplifications
were rolled out to improve their efficiency and
effectiveness as well as to mitigate risks and
costs over the year as part of our continual
improvement cycle of constantly looking outside
our boundaries & at the external competition
and continuously benchmark ourselves to
improve and innovate.

Some important changes made during the
financial year are highlighted below:

i. Underwriting

Revision in the authority limits for Regional
Underwriting Units (RUU) with and aim to
empower the underwriters for decision
making authority and ensure faster
processing of proposals, Updation of CPC

surrogate Underwriting guidelines and
enhancement for auto-underwriting, as well
as for RUU and CPC underwriters.

Intelligent Document Processing solution
has been deployed and integrated with Vahan
API for Insured Declared Value calculation.

ii. New Business & On boarding

The key initiatives in new business and
on-boarding process are as below:

• Introduction to Video Call Process
in PIWC:

• Dashboard for Peer group on Insta PIV

• Tracking mechanism of Life cycle of
Insta PIV journey (through Dynatrace
tool Speed Post - National Account
Facility (NAF) services availed

• Integration with New Partners for
smoother on-boarding

• Utilisation of RPA in NB processes

iii. Renewal Collection Management
Process enhancements in payment/
premium accounting from Alternate
mode has resulted in high efficiency and
considerable reduction in man hours, faster
accounting coupled with all the risk control
measures put in place.

Personalized videos with revival quote
and payment link are being sent to the
policyholders targeted in revival campaign
explaining the policy benefits, revival process
and providing the revival quote as well as
embedded links to submit online revival
request. This has helped improve the revival
campaign conversion rates significantly.

iv. Customer Grievance

To enhance process efficiency and improve
customer satisfaction, several recent
advancements have been introduced
to our CRM grievance handling system.
These changes are aimed at streamlining
processes, ensuring seamless coordination,
and delivering a superior customer
experience. The enhancements in
CRM are as below:

• Customer Grievance Dashboard for
Insights which includes features such
as Grievance Tracking, Geographical
Analysis and Performance Trends.

• Additional Fields such as reason for
Grievance Acceptance or Rejection,
User Category and Subcategory

and Source in CRM for Enhanced
Grievance Analysis.

• Mandatory Fields Pop-Ups, Sync
Button, and Escalation Remarks in
Service Request Layout.

• Auto Service Request (SR) Creation
via Email Syndication which results
in elimination of manual data entry,
instant logging, historical data tracking
and trend analysis.

v. Group operations

The following initiatives were undertaken to
focus on Digitization, support continuous
Process improvements & Enhanced
Customer Experience.

• Enhancement in Smart Group
Care to view and download Master
Policy Document, Premium Receipt,
Endorsements & Credit notes.

• RPA process implemented under GTI to
enhance process efficiency, accuracy &
Customer servicing

• Group Product integrated with CRM Next

vi. Robotic Process Automation

We are leveraging the power of Robotic

process automation (RPA) to build

capacity, reduce errors and processing
times by automating high-volume and
repetitive tasks.

• 345 Processes have been automated
using RPA freeing up critical manpower
for engaged in more productive work.

• During the year, RPA Bots did a total
of 15,000 man-hours of work and
handled over 440 Million transactions

• The automation using RPA has

been performed in various business
processes such as new business,
underwriting, renewals, policy

servicing, group operations claims etc.

9. Information Technology

SBI Life is continuously implementing the latest
technologies which are relevant for Life Insurance
Industry, in addition to various requirements of
Regulators from time to time. Cyber Security is the top
most priority for the company. Also, the footprints in
the area of AI (Artificial Intelligence) for the customer
service and distributors use cases are being expanded.

Some of the improvements implemented during the
year under review are listed below:

Security Initiatives

Protection against spam, virus and other sophisticated
threats for inbound and outbound emails.
DMARC (Domain-based Message Authentication,
Reporting, and Conformance) in reject mode to avoid
spoofing and protect brand reputation.

Expansion of Virtualisation environment

90% of the servers are virtualised for energy efficiency
resulting in power and space saving with optimum use
of compute and storage.

Capacity augmentation of application
infrastructure

Added over 3.5 Petabytes space to storage to augment
storage capacity

Added more than 410 Servers for new application
and to boost existing application performance and to
build redundancy.

Process Area - The key initiatives in process
area are as below:

- Transitioned from current Human Resource
Management System (HRMS) to Darwin box's
cloud-based Software as a Service (SaaS)
platform with advance functionalities

- Introduction of AI based Voice IVR in
regional language

- Implementation of Computer Telephony

Integration

- Complete digitisation of distributors on-boarding
journey

- Introduction of Omni Channel Support Desk for
the distributors

- Cloud Based 'SaaS' solution for Human

Resource Management

- Enhancements in Customer Relationship

Management (CRM)

- Enhancements in Channel Management

System (CMS)

- Introduction of Priority Services for Sr. Citizens,
NRI and HNIs

The list of digital enhancements are as below:

- Face match AI functionality in Revival Workflow

- eKYC using Facial Authentication

- Online Death Claim intimation process on

Corporate Website

- Express issuance for Insta policies

- Suitability Assessment in Online selling

- ESG Microsite

- Robotic Process Automation

10. Investments

Indian Equity markets delivered marginal returns in FY
25. Nifty ended FY2025 with gains of 5.3%. The Mid
and the small cap indices also ended with returns of
7.5% and 5.40% respectively.

Yield on 10-year Government of India Bond fell by 48
bps in the year from 7.06% to 6.58%. Markets reacted
to the monetary policy easing assumptions amidst
falling inflation and steady growth. The US like many
other economies started cutting interest rates in a
hurry with easing inflation being the common theme.
Consolidation of fiscal deficit, softer inflation and
moderation of domestic growth became ingredients
for a rally in bonds.

The Assets under Management (AuM) of the Company
has increased by 15% from ' 3,889.23 billion as on
March 31, 2024 to ' 4,480.39 billion as on March 31,
2025. The debt equity mix of the AuM as on March 31,
2025 is 61:39. The AuM was made up of ' 2,004.03
billion of traditional funds (including shareholders')
and ' 2,476.36 billion of unit linked funds. The unit
linked portfolio majorly comprises of equity funds,
bond funds and NAV guaranteed funds.

11. Persistency

Persistency is a critical indicator of business viability
and brand success. During the FY 2025, the Company
has witnessed 14% growth in Renewal Premium
collection at ' 494.08 billion, which contributed to
58% of Gross Written Premium. The Company has
continued to focus on renewals and has undertaken
initiatives to improve persistency of its existing
policies. The collection efficiency has helped improve
the 13^th month regular premium persistency by
63 bps to 87.41% and improvement in 61^st month
regular premium persistency by 528 bps to 62.69% for
Individual policies thus establishing the efficacy of our
customer engagement and retention interventions.
The independent Renewal Vertical is focusing on
collection of renewal premiums and servicing
policyholders. We shall continue to accord prime
importance to this area.

12. Particulars of Employees

SBI Life, one of the most trusted private Life insurance
brands has completed 24 years of Operations and
has entered into the 'Silver Jubilee Year'. At SBI Life,
we strongly believe that our employees are our
most invaluable resources. In order to maintain
our competitive advantage in the industry, we take
proactive steps to align ourselves with the creation of a
progressive work environment marked by adaptability,
collaboration, and inclusivity. We are committed to
consistently enhance our workplace, cultivating a
robust and enduring work culture to attract, engage,
upskill and retain top talent.

Our commitment to providing an outstanding
working environment remains pivotal in retaining and
engaging our key talent. We have undertaken various
initiatives aimed at boosting employee satisfaction.
Our dedicated endeavours include enhancing
employee well-being, providing opportunities for
upskilling and reskilling, and recognizing the valuable
contribution of our employees.

The employee strength of the company has increased
by 10.3% i.e. from 23893 as on 31^st March 2024 to
26355 as on 31^st March 2025. The average age of
employees at SBI Life is around 36 years and 4 months
and the average tenure is 5 years. The dynamic mix of
youthful energy and seasoned expertise empowers us
to excel through effective guidance and mentorship
from our experienced team members.

In terms of Section 136(1) of Companies Act, 2013
the Report and the Accounts are sent to the Members
excluding the statement containing particulars of
employees as required under Section 197(12) of
the Companies Act, 2013 read with Rule 5(2) of the
Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014. The statement
containing aforesaid details may be obtained by the
Members by writing to the Company Secretary at the
Registered Office of the Company.

13. Employees Stock Option Scheme

The SBI Life Employee Stock Option Plan 2018
('ESOP 2018') and SBI Life Employees Stock Option
Scheme 2018 ('the Scheme' or 'ESOS 2018') has been
approved by the shareholders of the Company in the
Annual General Meeting (AGM) held on September 27,
2018 based on the recommendation of the Board
Nomination & Remuneration Committee ('NRC') and
Board of Directors ('Board') in their meetings held on
August 31, 2018.

The maximum number of stock options granted to
eligible employees in accordance with ESOP 2018
shall not exceed 30,000,000 shares. During any one
year, no Employee shall be granted Options equal
to or exceeding 1% of the issued share capital of the
Company at the time of Grant of Options unless an
approval from the Shareholders is taken by way of
special resolution in a General Meeting. Further, the
maximum number of Options in aggregate granted
to an employee under this Plan shall not exceed
1,00,00,000 Options. The Exercise Price shall be
determined by the Board Nomination & Remuneration
Committee in concurrence with the Board of Directors
of the Company on the date the Options are granted
and provided in the letter of grant.

During the year ended March 31, 2025 the NRC has
approved the grant of 6,75,400 Employee Stock
Options ('Options or ESOPs') to the eligible employees
under ESOS 2018.

No employee was granted options during one year
amounting to five percent or more of options granted
during that year. Similarly, no employee was granted
options during any one year, equal to or exceeding
one percent of the issued capital of the Company at
the time of grant.

During the year ended March 31, 2025, the Company
has not granted any loan to its employees for
purchasing shares of the Company.

The Scheme is in compliance with Securities and
Exchange Board of India (Share Based Employee
Benefits and Sweat Equity) Regulations, 2021.
Further, there are no changes in the scheme.
The disclosures pursuant to the SEBI SBEB
Regulations have been placed on website of the
Company at https://www.sbilife.co.in/en/about-us/
investor-relations.

The disclosures pursuant to SEBI SBEB Regulations,
Guidance Note on accounting for employee share
based payments, disclosure of diluted EPS in
accordance with 'Accounting Standard 20 - Earnings
Per Share' issued by ICAI or any other relevant
accounting standard have been disclosed in the Notes
to Accounts which form part of financial statements in
the Annual Report.

14. Prevention of Sexual Harassment of Women at
the Workplace

The Company has an Internal Complaints Committee
to investigate and inquire into sexual harassment
complaints in line with The Sexual Harassment of
Women at Workplace (Prevention, Prohibition &
Redressal) Act, 2013. The Company has in place a
policy for Prevention of Sexual Harassment, which
purports the Company's zero-tolerance towards any
form of prejudice, gender bias and sexual harassment
at the workplace.

For FY 2025, the Company had undertaken training
on e-Shiksha empowered, our digital platform, on
awareness and sensitization with respect to sexual
harassment at workplace. The Company organized
workshop and awareness program for the members
of ICC to equip them for effectively dealing with
investigation, inquiry and disciplinary proceedings
in connection with sexual harassment complaints
as per policy and also to develop skills necessary
for enquiries and documentation procedures while
dealing with such cases. Further, the Company's
Policy on Prevention of Sexual Harassment of Women
at Workplace along with the details of Internal
Complaints Committee at each Region is accessible
to all employees on the Company's intranet,
e-bandhan. During the year FY 2025 under review,
24 sexual harassment cases were filed. 20 cases
were disposed-off during the year including 3 cases

of previous year and appropriate actions were taken
within timelines in FY 2025, remaining 7 cases are in
review with the ICC. Having an adept POSH policy
has enabled us in employer branding by creating
employee value proposition, permeating a sense of
safety amongst employees, retaining vital talent and
promoting inclusively.

The details are mentioned in the Business Responsibility
and Sustainability Report, which is hosted on the
Company's web-link: https://www.sbilife.co.in/en/
about-us/investor-relations.

15. Risk Management

SBI Life has implemented robust Corporate
Governance structure and has a strong risk aware
culture by which the company is directed and
controlled in the interest of shareholders and other
stakeholders to sustain and enhance the value.
Risk Management at SBI Life is an integral part of
the responsibilities of management and covers all
aspects, including strategic planning. Risk Strategy
and Risk Vision of the Company is outlined in the Risk
Management Policy. The Risk Management policy
specifies the process for identification, assessment,
and analysis of the Company's risk exposures; develop
risk mitigation strategies and its monitoring.

Risk appetite statements at the corporate level are
reviewed and monitored by the Risk Management
Committee of the Board. Further assessment
of Key Risks of the Company is conducted
annually and submitted to the Risk Management
Committee of the Board.

SBI Life has robust enterprise risk management
framework which includes Operational Risk
Management, Fraud Monitoring, Data Governance,
Information Security, Business Continuity and
Regional Risk Unit to drive the enhanced risk culture
across the organisation.

The Company also carries out an ICAAP (Internal
Capital Adequacy Assessment Process) activity, which
details the assessment of material risks, estimation
of capital requirement and adequacy for maintaining
solvency requirements.

Risk Management at SBI Life is certified / aligned
with the following ISO Standards:

1. Enterprise Risk Management - ISO 31000:2018
(Statement of Compliance)

2. Business Continuity Management System (BCMS)

- ISO 22301:2019 (Certified)

3. Information Security Management System (ISMS)

- ISO 27001:2022 (Certified)

Sound risk management practices and business
continuity management practises followed by the
Company enables it to continue core business
operations at an acceptable level in case of any crisis.

SBI Life Risk Management has won the following
accolades and awards:

1. 'SBI Life recognised as " Best Risk Management
Strategy of India " by ICC in 5^th Emerging Asia
Insurance Awards 2025

2. SBI Life Insurance Best Risk Management Strategy
of the Year' (2^nd Runner) by the Indian Chambers
of Commerce (ICC), 2023

3. 'Recognition' under the category of “Risk
Management Team of the Year” at 4^th CRO
Leadership Summit and Awards, 2022

4. “CRO of the Year” award at 4^th CRO Leadership
Summit and Awards, 2022.

5. 'Most Innovative Risk Management Strategy of
the Year” award at 4^th CRO Leadership Summit
and Awards, 2022

6. 'Golden Peacock Award for Risk Management
for the year 2021.' This is the third time that the
Company has won this prestigious award.

More information on the risk management practices
adopted by the Company is available in the 'Enterprise
Risk Management' section appended to this report and
'Management Report' section of the Annual report.

16. Internal Audit and Compliance Framework
Internal Audit:

The Company has in place a robust internal
audit framework. The Internal Audit Department
(IAD) undertakes risk based audit approach and it
commensurate with the nature of the business and
the size of its operations. The internal audit plan
covers Information System Audit, Third Party Vendor
audits, different process audit as well as transaction
based audits at the Head office and Regional Offices,
administrative aspects across various branches
of the Company.

The audits are carried out by the internal audit team of
the Company and also by the outsourced audit firms.
The approach of the audit is to verify compliance
with the regulatory, operational and system related
controls. Key audit observation and recommendations
are reported to the Board Audit Committee of the
Company. Implementation of the recommendations
is actively monitored.

IAD has designed offsite monitoring system (OMS)
with an objective to identify deviations at an early stage

and sharing the same with concerned process owners
for immediate corrective action. Exception reports are
developed and operational for around 100 scenarios.
The frequency to extract and analyse a particular set
of data through these exception reports is based on
the criticality of the process. Frequency is defined as
Quarterly, half yearly and yearly for various processes.
The OMS review enables the process owners to
identify gaps, if any, at an early stage, ensuring timely
resolution of the issues. The utility is also shared with
the users on need basis for a proactive and real time
assessment at user level, itself.

The branch inspection checklist was rationalized to
match with the scope of current roles of Branches.
The policy transactions with critical functions such
as New Business Quality is reviewed at quarterly
frequency, underwriting process and policy service
transactions are reviewed at half yearly frequency,
through offsite data analytics.

Concurrent Audit:

In accordance with Insurance Regulatory and
Development Authority of India (Investment)
Regulations, the Company has also engaged
professional chartered accountants firm to carry out
concurrent audit of investment operation as per IRDAI
investment regulations / guidelines and guidance note
on Internal / Concurrent Audit of Investment functions
of Insurance Companies, issued by the Institute of
Chartered Accountants of India (ICAI). Any significant
findings in the concurrent audit are presented to the
Audit Committee and reviewed by Board Investment
Sub-Committee and Board Investment Committee.

Compliance:

The Board Audit Committee of the Company has laid
down governing principles to oversee the compliance
framework of the Company. The Committee
discusses the level of compliance in the Company
and any associated risks and reports the same to the
Board. The Company has also formulated various
internal policies and procedures to define framework
for the working of various functions to ensure
compliance. The Compliance function identifies and
communicates regulatory requirements to relevant
functions in a timely manner and monitors critical
compliance risks based on suitable monitoring
mechanism. The Compliance function works in
liaison with the regulators and provides clarifications
to various functions on applicable laws, regulations
and circulars issued by the regulatory authorities.
A compliance certificate signed by the Managing
Director & CEO is placed at the Board Audit Committee
on a quarterly basis.

The Company has also formulated various internal
policies and procedures relating to working of various
functions to ensure compliance.

17. Internal Financial Controls

The Companies Act, 2013 requires the Board of
Directors, to lay down adequate and effective
internal financial controls with reference to the
Financial Statements and include it in the Board
report. Further, regulation 17 (8) of the Securities and
Exchange Board of India (SEBI) (Listing Obligations and
Disclosure Requirements) Regulations, 2015 requires,
the chief executive officer and the chief financial
officer to provide the compliance certificate to the
board of directors with respect to internal control
over financial reporting.

The Company has aligned its internal financial control
system with the requirements of the Companies
Act 2013, on lines of globally accepted risk based
framework as issued by Committee of Sponsoring
Organizations (COSO). The internal control
framework is intended to increase transparency
and accountability in an organization's process of
designing and implementing a system of internal
control. The framework requires the Company to
identify and analyse risks and manage appropriate
responses. The key components of the internal
financial control framework include:

Entity level controls:

Entity Level Controls (ELCs) operates at an organisation
level. The Company has defined a set of entity level
policies and controls. The ELCs set up by the Company
includes various policies and procedure in place such
as Anti Money Laundering and Counter-Financing of
Terrorism policy, Business Continuity Management
policy, IT and Information Security policy, Risk
Management Policy, Whistle blower Policy etc.

Process level controls:

The Company has defined a set of process level
controls across its business and support functions
such as premium, reinsurance, claims management,
agency management, fixed assets etc. The control
type covers key operating controls, financial reporting
controls & IT controls have been done to ensure
compliance with COSO framework.

Review controls:

The Company's internal financial control framework is
based on 'three lines of defence model'. The Company
has laid down standard operation procedures
and policies to guide the business operations.
The Company has a well-defined delegation of power
with authority limits for approving revenue and capital
expenditure. Statutory, Concurrent and Internal
Auditors including internal audit department of the
Company undertake rigorous testing of the control
environment of the Company.

The Company has a Chief Audit Officer with a
dedicated internal audit team which is commensurate
with the size, nature & complexity of operations
of the Company.

The Company also undergoes an independent
internal /concurrent audit by specialised third party
professional consultants to review function specific
regulatory compliances as well as internal controls.

The Audit Committee reviews reports submitted
by the Management and audit reports submitted
by the internal auditors and statutory auditors.
Suggestions for improvements are considered and
the Audit Committee follows up on corrective actions.
The Audit Committee also meets the Company's
Statutory Auditors to ascertain their views on the
adequacy of internal control systems and keeps the
board of directors informed of its major observations,
if any periodically.

The Company has complied with internal financial
controls (IFC) as per section 134(5) of Companies
Act, 2013 and regulation 17(8) of the Securities and
Exchange Board of India (SEBI) (Listing Obligations
and Disclosure Requirements) Regulations, 2015 in
terms of internal controls over financial reporting.

Auditor's Report

There were no qualifications, reservations, adverse,
remarks or disclaimers on Internal Financial Controls
made by the Statutory Auditors in their report for the
financial year ended March 31, 2025.

18. Related Party Transactions

The Company has Policy on Materiality of Related
Party Transactions and on dealing with Related
Party Transactions to regulate the transactions with
its related parties. As per the policy, all related party
transactions require approval of the Board Audit
Committee. Further, as per Rule 6A of the Companies
(Meeting of Boards and its Powers) Rules 2014, the
Audit Committee may grant omnibus approval for
related party transaction proposed to be entered into
by the Company subject to terms and conditions
mentioned in the said Rule.

All the Related Party Transactions entered during
the financial year were on arm's length basis and
in ordinary course of business. All related party
transactions are placed before the Audit Committee of
the Board for its approval. During the year, there were
no material contracts or arrangements or transactions
with related parties that need to be disclosed as per
Section 188(1) of the Companies Act, 2013.

M/s. A. John Moris & Co., Chartered Accountants,
reviewed the related party transactions for the year
ended March 31, 2025 and their certificate is placed
at the meeting of the Board Audit Committee, along
with details of such transactions.

All Related Party Transactions as required under
Accounting Standards AS-18 are reported in Note
44 of Schedule 16(C) - Notes to Accounts of the
Financial Statements of the Company.

The policy on materiality of Related Party Transactions
and on dealing with Related Party Transactions, has
been hosted on the website of the Company can be
viewed at https://www.sbilife.co.in/en/about-us/
investor-relations

19. Ind AS Implementation

International Accounting Standard Board ('IASB')
has notified the amended IFRS 17, with global date
of implementation starting from January 1, 2023.
The Institute of Chartered Accountants of India
('ICAI') has issued exposure draft of amendments
in Ind AS 117 on 8^th February, 2022. The Ministry
of Corporate Affairs (MCA) has notified the Ind AS
117 on Insurance Contracts on August 12, 2024.
The IRDAI (the Authority) vide its communication
dated July 14, 2022 on Ind AS implementation in
Insurance Sector has conveyed its broad approach
on Ind AS implementation and necessary steps to
be initiated by the insurers. The authority advised
insurers to set up steering committee for Ind
AS implementation. The Authority has issued an
approach note along with format for submission of
Proforma Ind AS financial statement for FY 2023-24
and FY 2024-25 by June 30, 2025 and December 31,
2025 respectively.

As per the directions of Authority, the Company
has constituted Steering Committee headed by
President & CFO and members from cross-functional
areas such as actuarial, investment, information
technology. The Company has engaged knowledge
partner for Ind AS implementation. The Ind AS Gap
and impact assessment is completed. The Company
is in the process of finalisation of position paper,
IT system etc.

The Company has prepared and submitted to the
Authority Ind AS proforma Financial Statements for
the year ended March 31, 2024 within the stipulated
timelines. The Audit Committee and Board of
Directors have been updated regularly with respect to
the progress of Ind AS implementation.

Key Managerial Personnel's

Mr. Amit Jhingran, Managing Director & Chief
Executive Officer; Mr. Sangramjit Sarangi, President
& Chief Financial Officer and Mr. Girish Manik,
Company Secretary are designated as “Key Managerial
Personnel" of the Company, under the provisions of
Section 203 of the Companies Act, 2013.

Further, in accordance with IRDAI (Corporate
Governance for Insurers) Regulations, 2024 read
with Master Circular on Corporate Governance
for Insurers, 2024 (“IRDAI Corporate Governance
Regulations") issued by IRDAI, the Company has
Fourteen (14) Key Management Persons including
above mentioned Key Managerial Personnel.

Declaration by Directors

All Independent Directors have submitted declarations
that they meet the criteria of independence as
laid down under Section 149(6) of the Companies
Act, 2013 along with Rules framed thereunder
and Regulation 16 of the Listing Regulations.
The Company has also received declarations from all
its Directors as per Section 164 of the Companies Act,
2013, confirming they are not disqualified from being
appointed as Directors of the Company. There has
been no change in the circumstances affecting their
status as Independent Directors of the Company.

The Independent Directors have confirmed that their
names have been added in the data bank maintained
by the Indian Institute of Corporate Affairs for
Independent Directors, in accordance with rule 6
of the Companies (Appointment and Qualification
of Directors) Rules, 2014. Pursuant to Rule 6 of the
said Rules, every Independent Director whose name
is included in the data bank shall pass an online
proficiency self-assessment test. However, the
Director who has fulfilled the criteria prescribed in
Rule 6(4) of the said Rules, is exempted from passing
the online proficiency self-assessment test. In view
of the same, none of the Independent Directors were
required to take the proficiency self-assessment test.

The said declarations along with annual disclosures
were noted by the Board of Directors at its Meeting

held on April 24, 2025. Further, based on these
disclosures and confirmations, the Board is of the
opinion that the Directors of the Company are
distinguished persons with integrity and have necessary
expertise and experience to continue to discharge
their responsibilities as the Director of the Company.

'Fit and Proper' criteria

In accordance with IRDAI (Corporate Governance
for Insurers) Regulations, 2024 issued by IRDAI, the
Directors of insurers have to meet the 'Fit and Proper'
criteria. Accordingly, all the Directors of the Company
have confirmed compliance with the 'Fit and Proper'
criteria, prescribed by IRDAI

Directors & Officers Liability Insurance

Regulation 25 (10) of the SEBI (Listing Obligations &
Disclosures Requirement) Regulations 2015 requires
the Companies to take Directors & Officers Liability
Insurance (D & O Insurance) for all its Independent
Directors. The Company has taken D & O Insurance
for all its Board of Directors and Members of the Senior
Management Team for such quantum and risks as
determined by the Board.

Common Directorships

Pursuant to Section 48A of the Insurance Act, 1938,
the Company has obtained the necessary approval
from IRDAI for Directors having common directorship
with State Bank of India (being corporate agent of the
Company). The provision of section 48A is exempt in
case of director appointed as a nominee of a promoter
of the Insurer.

Meetings

During the year, ten Board Meetings were convened
and held, the details of which are given in the report on
Corporate Governance, which is forming a part of this
Board Report. The intervening gap between the said
Board Meetings was within the period prescribed under
the Companies Act, 2013. The details of the Board and
Committee Meetings, and the attendance of Directors
thereat, forms part of the Corporate Governance
Report, which is annexed to this Directors' Report.

Secretarial Standards

During the FY 2025, the Company has complied with
all the applicable Secretarial Standards issued by the
Institute of Company Secretaries of India.

Remuneration Policy

The Company has adopted a Remuneration Policy for the
Directors, KMPs and employees in Senior Management,
pursuant to the provisions of Section 178 of the
Companies Act, 2013, IRDAI Corporate Governance
Regulations on remuneration of Directors and Key
Managerial Persons of Insurer and the SEBI (Listing
Obligations and Disclosure Requirements) Regulations,
2015, the Remuneration Policy was approved by
the Board of Directors on the recommendations of
the Board Nomination & Remuneration Committee.
The detail of the said policy is annexed as Annexure I
which forms part of this Report.

21. Corporate Governance

The Corporate Governance philosophy of the
Company is to comply with not only the statutory
requirements but also to voluntarily formulate and
adhere to a strong set of Corporate Governance
practices which includes code of business conduct,
corporate ethics, values, risk management, etc.

Through governance mechanism, the Board
along with its Committee discharge its fiduciary
responsibilities towards all its stakeholders by
ensuring transparency, accountability, fairness and
independence in its decision making.

The Report on Corporate Governance is annexed and
forms part of this Annual Report.

22. Corporate Social Responsibility

The Company constituted the Corporate Social
Responsibility Committee (CSR) of the Board of
Directors in accordance with the provisions of
Section 135 of the Companies Act 2013 read with the
Companies (Corporate Social Responsibility) Rules
2014, which drives the CSR program of the Company.

The CSR Committee of the Board confirms that,
the implementation and monitoring of CSR policy,
is in compliance with CSR objectives and Policy
of the Company.

The brief outline of CSR Policy, including overview
of the program proposed to be undertaken, the
composition of the CSR Committee, average net
profits of the Company for the past three financial
years, prescribed CSR expenditure and details of
amount spent on CSR activities during the financial
year have been disclosed in Annexure II to this
report, as mandated under the said Rules. Further, the
Corporate Social Responsibility Policy of the Company
as approved by the Board has been hosted on the
website of the Company at https://www.sbilife.co.in/
en/about-us/corporate-social-responsibility

23. Particulars of Loans, Guarantees or Investment

In line with the clarification given by the Ministry of
Corporate Affairs under the Removal of Difficulty
Order dated 13 February 2015, the provisions of
Section 186 of the Companies Act 2013 relating
to loans, guarantees and investments do not apply
to the Company.

24. Subsidiary, Joint Ventures and Associate
Companies

The Company does not have any Subsidiary, Joint
Ventures or Associate Company.

25. Rural and Social Sector Obligations

The Company has issued 29.62% policies in the
rural sector which affirms the Company's approach
towards life insurance inclusion. Further, 39,27,225
new lives covered (10.35% of total new lives covered
in preceding year) by the Company are from the
underprivileged social sector. Further, the Company
has been allotted 2,529 Gram Panchayats (GPs) for
covering rural population. The Company has covered
10,13,843 lives in these GPs.

26. Management Report

Pursuant to the Regulation 10 of Schedule II, Part I of
the Insurance Regulatory and Development Authority
(Actuarial, Finance and Investment Functions of
Insurers) Regulations, 2024, the Management Report is
placed separately and forms part of the Annual Report.

27. Statutory Auditors

In view of the applicability of Section 139 of the
Companies Act 2013, Comptroller and Auditor
General of India (C&AG) appoints Statutory Auditors
of the Company. Accordingly, C&AG appointed
M/s. K.S.Aiyar & Co. Chartered Accountants and
M/s. A. John Moris & Co., Chartered Accountants, as
joint statutory auditors of the Company for FY 2025.

Statutory Audit and other fees paid to Joint Statutory
Auditors for FY 2025 as below:

28. Statutory Auditors' Report

The Statutory Auditors' Report (including annexure
thereof) to the Members does not contain any
qualification, reservation, adverse remark, or disclaimer
hence do not call for any further comments u/s 134
(3) (f) of the Companies Act 2013. There were no
reportable frauds identified by the statutory auditors
during the FY2025.

29. Comments of the Comptroller and Auditor
General of India on the accounts of the
Company

The Comptroller & Auditor General of India (C&AG) have
conducted a supplementary audit u/s 143(6)(b) of the
Companies Act, 2013 of the accounts of the Company
for the year ended March 31, 2025. The C&AG vide their
report no. GA/ CA-I /Accounts /SBI Life Insurance Co.
Ltd./ 2024-25 / 61 dated July 18, 2025 have stated that
there is nothing significant which would give rise to any
comment upon or supplement to Statutory Auditors'
Report. The Report of C&AG is being placed with the
report of Statutory Auditors of the Company.

30. Secretarial Auditors' Report

In terms of Section 204 of the Companies Act, 2013
read with Rule 9 of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014,
the Company has with the recommendations of Board
Audit Committee and approval of Board of Directors
appointed M/s Aashish K. Bhatt & Associates, Practicing
Company Secretaries as the Secretarial Auditor of the
Company for the FY 2025.

The Auditor has not made any qualification, reservation
or adverse remark or disclaimer in his report for FY
2025. The Report of the Secretarial Auditor for the FY
2025 is enclosed as Annexure III to the Board Report.

31. Cost records and cost audit

Maintenance of cost records and requirement of cost
audit as prescribed under the provisions of section
148(1) of the Companies Act, 2013 are not applicable
for the business activities carried out by the Company
as the Central Government has not prescribed the
maintenance of cost records under Section 148 of
the Act for the services rendered by the Company.

32. Annual Return

Pursuant to Section 134(3)(a) and Section 92(3) of the
Companies Act 2013 (as amended by the Companies
(Amendment) Act, 2017), read with Rule 12 of the
Companies (Management and Administration) Rules,
2014, the draft of the Annual Return of the Company
for Financial Year ended on 31^st March, 2025 is
hosted on the website of the Company and can be
viewed at https://www.sbilife.co.in/en/about-us/
investor-relations with the information available up to
the date of this report, and shall be further updated as
soon as possible but no later than sixty days from the
date of the Annual General Meeting.

33. Material Events, Changes and Commitment
affecting Financial Position of the Company

No material events, changes and commitments
affecting the financial position of the Company
occurred between the end of the financial year to

which the financial statements relate and the date
of this report.

34. Other Events

Insurance Regulatory and Development Authority
of India ('IRDAI') vide its order dated June 2, 2023
('IRDAI order') passed in terms of section 52B (2)
of the Insurance Act, 1938 has directed to transfer
the life insurance business of Sahara India Life
Insurance Company Limited ('SILIC') involving policy
liabilities and policyholders' investment/ assets to
SBI Life Insurance Company Limited ('SBI Life' or 'the
Company'). On appeal filed by SILIC against the said
IRDAI order, the Securities Appellate Tribunal ('SAT'
or 'Tribunal') vide its order dated June 13, 2023 has
granted stay on the effect and operation of the said
IRDAI order. Subsequently, the IRDAI has filed an
appeal with Hon'ble Supreme Court against the stay
order passed by SAT. The Hon'ble Supreme Court in its
hearing held on July 17, 2023 has set aside Securities
Appellate Tribunal's (SAT) stay and directed the SAT
to hear the case and decide it afresh. Subsequently,
SAT has initiated the hearing of the case which is yet
to be adjudicated upon.

35. Significant and Material Orders Passed by
Regulators or Courts or Tribunals impacting
the Going Concern Status and Operations of
the Company

In FY 2025, no significant or material orders were
passed by the Regulators or Courts or Tribunals which
impact the going concern status and Company's
operation in future.

36. Director's Responsibility Statement

In terms of Section 134(3) (c) read with 134(5) of the
Companies Act, 2013 and the Corporate Governance
Guidelines, your Directors confirm that;

a) in the preparation of the annual accounts for
the year ended March 31, 2025, the applicable
Accounting Standards have been followed
along with proper explanation relating to
material departures;

b) they have selected such accounting policies and
applied them consistently and made judgments
and estimates that are reasonable and prudent
so as to give a true and fair view of the state of
affairs of the Company as on March 31, 2025
and of the profit of the Company for the year
ended on that date;

c) they have taken proper and sufficient care for the
maintenance of adequate accounting records in
accordance with the provisions of the Companies
Act, 2013 for safeguarding the assets of the
Company and for preventing and detecting fraud
and other irregularities;

C. Foreign Exchange Earnings and Outgo

Details of foreign exchange earnings and outgo
required under above Rules are as under:

38. Investor relations

The Company has always valued its customer
relationships and it is the Company's belief that
all stakeholders should have access to complete
information regarding its position to enable them to
accurately assess its future potential. The Company
disseminates information on its operations and
initiatives on a regular basis. The Company's website
(www.sbilife.co.in) serves as a key awareness facility for
all its stakeholders, allowing them to access information
at their convenience. It provides comprehensive
information on the Company's strategy, financial
performance, operational performance and the latest
press releases.

The Company publishes financials results on a
quarterly basis. The financial results of the Company
are prepared and posted on the website of the
Company for the current as well as previous years.
Further, the quarterly results and earnings update
are also posted on the website of the Company.
Every quarter, the Managing Director & CEO along
with the senior management officials of the Company
participate on a call with the analysts / shareholders.
The Company's investor relations personnel respond
to specific queries and play a proactive role in
disseminating information to both analysts and
investors. All information which could have a material
bearing on the Company's share price is released
through as per regulatory requirements.

39. Business Responsibility and Sustainability
Report

Business Responsibility & Sustainability Report
as stipulated under Regulation 34 of the Listing
Regulations form part of the Annual Report
and has been hosted on the website of the
Company https://www.sbilife.co.in/en/about-us/
investor-relations/annual-reports

40. Proceeding under Insolvency and Bankruptcy
Code, 2016

The Company has not filed any application or
no proceeding is pending against the Company
under the Insolvency and Bankruptcy Code, 2016,
during FY 2024-25.

41. Details of difference between amount of
the valuation done at the time of one-time
settlement and the valuation done while
taking loan from the banks or financial
institutions along with the reasons thereof.

The Company has not made any one-time settlement
with the banks or financial institutions, therefore, the
same is not applicable.

42. Integrated Reporting

The Company has prepared Integrated Report for
FY 2025 which forms part of this Annual Report. The said
report encompasses both financial and non-financial
information to enable various stakeholders to have
a more holistic understanding of the Company's
long-term perspective.

43. IRDAI License

The Insurance Regulatory and Development Authority
of India (IRDAI) have renewed the annual license of
the Company to continue the Life Insurance Business.
The license is in force as on March 31, 2025.

44. Other Information

A. Economic Capital:

The annual assessment of Economic Capital of
SBI Life was carried out as on March 31, 2025.
As part of this exercise, we have quantified the
capital requirements relating to various risks such
as Insurance Risks (Mortality risk, Morbidity Risk,
Longevity Risk, Persistency Risk, Expense Risk,
Catastrophe Risk) and Non- Insurance Risks
(Market Risk, Operational Risk, Default Risk).
As at March 31, 2025, Solvency ratio on Economic
Basis is 3.16. The Solvency Ratio on Economic
Basis has been estimated as, the ratio of excess of
economic assets over economic liability to Total
Economic Capital Requirement.

B. Solvency Margin:

The Directors are pleased to report that the assets
of the Company are higher than the liabilities
of the Company and the assets are more than
sufficient to meet the minimum solvency margin
level of 1.50 times, as specified in section 64 VA
of the Insurance Act, 1938 read with the IRDAI
(Actuarial, Finance and Investment Functions of
Insurers) Regulations, 2024. The Company has
a strong solvency ratio of 1.96 as on March 31,
2025 (Previous year ended March 31, 2024: 1.96)
as against the Regulatory requirement of 1.50.

C. IRDAI Directions and Orders

a) The IRDAI directions issued under section
34 (1) of the Insurance Act, 1938 to refund
allegedly excess commission paid to

corporate agents to the members or the
beneficiaries amounting to ' 27,529 Lakh
(previous year ended March 31, 2024:
' 27,529 Lakh) vide order no. IRDA/Life/ORD/
Misc/083/03/2014 dated March 11, 2014
has been set aside by Securities Appellate
Tribunal (SAT) vide its order dated 29
January 2020. The SAT has remitted the
matter to IRDAI to recalculate the interest
earned on advance premium collected.
The IRDAI recalculation, if any, has not been
received by the Company. The IRDAI and
SBI Life both, have challenged SAT order
dated 29 January 2020 before the Hon'ble
Supreme Court of India in Civil Appeal
Nos. 254-255 of 2021 and Civil Appeal No.
2497-2498 of 2021 respectively, which is yet
to be adjudicated upon.

b) IRDAI has issued directions under section
34(1) of the Insurance Act, 1938 to distribute
the administrative charges paid to master
policyholders amounting to ' 8,432 Lakh
vide its order no. IRDA/Life/ORD/
MISC/228/10/2012 dated October 5, 2012
and subsequent order no. IRDA/Life/ORD/
MISC/009/01/2017 dated January 11, 2017.
The Securities Appellate Tribunal (SAT) vide
its order dated April 7, 2021 has dismissed
the appeal filed by the Company against
the IRDAI order. Subsequently, the
Hon'ble Supreme Court vide its order
dated September 22, 2021 has dismissed
petition filed by the Company against the
SAT order. Accordingly, in FY 2022, the
Company has made provision in the Profit
and Loss Account (Shareholders' Account)
for refund of administrative charges paid to
group master policy holders amounting to
' 8,432 Lakh plus applicable interest as per
IRDAI order dated January 11, 2017. As at
March 31, 2025, out of the total provision
amount, the Company has refunded
administrative fees of ' 5,665 Lakh along
with interest of ' 2,299 Lakh (As at March 31,
2024 administrative fees of ' 5,587 Lakh and
interest of ' 2,249 Lakh) to the members of
group insurance policy.

c) IRDAI vide its order dated September 06, 2024
had issued an advisory and levied a penalty
amounting to Rs. One crore on violation of
certain provisions of IRDAI (Insurance Web
Aggregators) Regulation, 2017 and IRDAI
(Outsourcing of Activities by Indian Insurers)
Regulations, 2017.

D. Appointed Actuary's Certificate

The certificate of the Appointed Actuary on
valuation and actuarial assumptions is enclosed
in the financial statements.

E. Certificate from Compliance Officer
(under the IRDAI Corporate Governance
Guidelines)

A Compliance Certificate, for complying with
IRDAI (Corporate Governance for Insurers)
Regulations, 2024 and circular issued thereunder
by Compliance Officer, is enclosed and forms
part of the Corporate Governance Report.

45. Acknowledgements

The Board of Directors would like to express its sincere
thanks for the co-operation, support and advice
received from Insurance Regulatory and Development
Authority of India (IRDAI), Reserve Bank of India (RBI),
Comptroller and Auditor General of India (C&AG),
Securities and Exchange Board of India (SEBI) and
Government of India (GOI). The Directors also take
this opportunity to express their gratitude for timely
and valuable assistance and support received from
State Bank of India (SBI) & to the valued customers
and shareholders for their trust and patronage.

The Directors also express their gratitude for the
advice, guidance and support received from time
to time, from the auditors, and statutory authorities.
The Directors expresses their deep sense of
appreciation to all the employees, insurance advisors,
corporate agents and brokers, distributors, re-insurers,
bankers and the Registrars who continue to display
outstanding professionalism and commitment,
enabling the organization to retain market leadership
in its business operations. The Directors also wish to
express their gratitude to all stakeholders for their
continued support and trust.

For and on behalf of the Board of Directors

Challa Sreenivasulu Setty

Chairman
DIN: 08335249

Place: Mumbai
Date: July 24, 2025

1

Assets under Management grew by 15% ' 4.48 trillion with debt-equity mix of 61:39.

• The Company's profit after tax has increased by 27% to ' 24.13 billion.

• Indian Embedded Value stands at ' 702.50 billion with growth of 21%.

• Value of New Business grew by 7% to ' 59.54 billion and Value of New Business Margin is at 27.8%.