Star Health and Allied Insurance Company Limited (STARHEALTH) share price
₹553.85 on NSE as of 2026-10-07. +0.60% on the day. market cap ₹32,598 Cr. P/E 38.6. 52-week range ₹425.15 to ₹610.40. Financial Services.
What the company does
Star commenced its operations in 2006. The business interests span health insurance, overseas mediclaim policy and personal accident policy. It has a pan-India presence, with 807 branch offices, a network of 549,501 agents, with cashless and reimbursement facilities, and over 12,820 network hospitals across India. The key promoters are Safecorp Investments India LLP (Westbridge Capital) with 41% stake and Rakesh Jhunjhunwala & family (17.5%), while Madison group (7.4%) remains as the shareholder. Nearly 39% of the company’s revenues was derived from south India, 23% from west India, 30% from north India and 8% from east India at FYE22.
Filed by India Ratings, page 5.
Star Health Q1 FY27: A ₹749 Cr Operating Quarter, and a Promoter Register Losing 97 Names
At a glance
Star Health sells one thing, health insurance, to a country that keeps needing more of it. The four-year run of quarterly numbers has swung about like an unstable fever chart.
Revenue for the three months to June 2026 was ₹5,522 crore. Operating profit was ₹749 crore, at a margin of 14 per cent. Profit after tax was ₹550 crore. The same quarter a year earlier brought ₹4,880 crore of revenue and ₹438 crore of profit. That is 13 per cent more revenue and 25 per cent more profit. Operating profit in the three months to March 2026 was ₹148 crore.
Management notes in its own filing that quarterly results are not indicative of the full year. The filing says the monsoon brings claims, while March brings premiums bought for tax saving.
The presentation numbers stack up the same way. The underwriting result, which is what premiums leave behind after claims and expenses, was ₹111 crore. A year earlier it was ₹16 crore. Management calls this the fourth successive quarter of improvement in core underwriting profitability. The company reports CISR at 97.0 per cent, against 98.7 per cent. Investment income was ₹644 crore, up 10 per cent. Of that, ₹296 crore was mark-to-market gain, meaning paper gains on holdings that have risen but not been sold.
In a room in Chennai on 29 July, the board approved the removal of 97 names from the promoter group register. The paperwork behind it took four years. It closes one of Indian investing's most-watched shareholdings.
Introduction
Star Health and Allied Insurance Company Limited is India's first standalone health insurance provider. IRDAI, the insurance regulator, licensed it in 2006, and the company is headquartered in Chennai. It is the largest private health insurer in India. That position rests on retail health, the segment where individuals rather than employers buy the cover.
The last twelve months have been busy at the top of the house. In February 2026, IRDAI approved Himanshu Walia and Amitabh Jain as whole-time directors for five-year terms. Both were also approved as key managerial personnel, the senior officers a company must name to the regulator.
In April 2026, IRDAI approved the transmission of 8,28,82,958 equity shares held by the late Rakesh Jhunjhunwala. The Bombay High Court had granted probate, which is a court's confirmation of a will, in December 2023. The transmission completed on 25 June 2026. Utpal Sheth resigned the next day as nominee director of the late Mr Jhunjhunwala. He was appointed the same day as an additional director in the non-executive category, representing Sitara Partners LLP. Two independent directors, Rajeev Krishnamuralilal Agarwal and Rajni Sekhri Sibal, retired on 15 July 2026 at the end of five-year terms.
The accounting changed underneath all of it. Following an IRDAI notification of 30 March 2026, the company adopted Ind AS from the year to March 2027. The transition date is 1 April 2025. It applies the Premium Allocation Approach under Ind AS 117 and fair valuation under Ind AS 109. Prior-period comparatives were restated. Net profit for the three months to June 2025 was ₹262.52 crore under the previous accounting rules, and ₹438.18 crore under Ind AS.
Elsewhere on the record sits an IRDAI penalty of ₹3.39 crore in July 2025, relating to data safeguarding and cyber security. Two GST penalty orders followed in December 2025, of ₹75.28 lakh and ₹10.71 lakh. The company said it would appeal both. In April 2025 the Madras High Court set aside an earlier GST order against the company.
Business model
Star collects money from people who are well and pays it to hospitals when they are not. The gap between those two numbers is the whole enterprise. Claims took ₹3,318 crore out of the quarter's ₹4,917 crore of insurance revenue. That is roughly 68 paise in every rupee. Everything else is decoration on an actuarial coin flip repeated about nine and a half lakh times a quarter.
The product shelf reads like a medical index. It includes Star Cancer Care, Star Cardiac Care, Star Diabetes Safe and Young Star. Star Senior Citizens Red Carpet and Women Care sit beside them. In the year to March 2025, retail health was 92 per cent of revenue and group health 7 per cent. Personal accident and overseas policies made up the remaining 1 per cent. This is a company selling to households rather than to HR departments.
By segment this quarter, health insurance revenue was ₹4,868 crore. Personal accident brought ₹47.7 crore and travel ₹1.6 crore. Travel contributed ₹0.28 crore of segment profit. Somewhere a spreadsheet keeps it, faithfully, in its own row.
Distribution is a people business here rather than a code business. The company had 8.5 lakh agents on 30 June 2026, up from 8.3 lakh in March. About 20,000 were added in the quarter. Agency accounts for 85 per cent of gross written premium, the total value of policies signed. Direct-to-customer is 5.5 per cent, partnerships 7 per cent and group 2.5 per cent. Management describes more than 90 per cent of that premium as emerging from proprietary channels. Agent productivity rose 19 per cent on the year.
The hospital network runs to more than 16,000 facilities. Some 82 per cent of cashless claims flow through Agreed Network Hospitals, where prices are settled in advance. The retail claim settlement ratio is 91.2 per cent.
The digital layer is being scaled hard. There have been 15.9 million app downloads, with 1.5 million monthly active users. The quarter carried 33,000 telemedicine consultations, 2.8 lakh face scans and 50,000 home healthcare instances. The insurer would like a look at the policyholder's face, which is at least a rational curiosity for the party paying the hospital bill. Home healthcare and telemedicine both sit inside the same app.
Quarterly results, balance sheet, cash flow, ratios, shareholding and the filings themselves are on the full page for Star Health and Allied Insurance Company Limited.
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