The payout is the highest declared by the insurer so far and is 18% higher than the ₹1,842 crore bonus announced in the previous year.
According to the company, more than 8.74 lakh policies will benefit from the FY26 bonus declaration. The payout applies to eligible participating insurance plans, where policyholders share in the profits of the insurer’s participating fund through annual bonus declarations, subject to performance.
The company said the bonus reflects the performance of its participating fund and long-term management of its investment portfolio. It also noted that its assets under management (AUM) rose 18% year-on-year to ₹1,45,617 crore as of March 31, 2026.
Participating or “par” plans are insurance products where bonuses are not guaranteed and depend on the insurer’s investment performance, expenses, and other experience factors. These bonuses are typically declared annually and added to eligible policies based on plan terms.
Kshitij Sharma, Appointed Actuary at Tata AIA Life Insurance, said the latest bonus reflects the company’s investment approach and focus on long-term policyholder value.
Participating plans remain a segment of life insurance products that combine life cover with potential bonus-linked returns, depending on fund performance and policy conditions.
Last week, Canara HSBC Life Insurance Company also announced a bonus of ₹271 crore for FY 2025–26 for policyholders holding participating (par) policies.
The bonus will benefit around 2.33 lakh eligible policyholders whose participating policies were in force as of March 31 The payout represents an 8.31% increase compared to the previous financial year.
