IGI Life Insurance Limited ("IGI Life" or the "Company") is a publicly listed company on the Pakistan Stock Exchange with the ticker "IGIL."

The Company was incorporated in 1994 and commenced operations in 1995. In July 2015, the Company launched window takaful operations following the wakala-waqf model, with an initial allocation of PKR 50.5mln for the fund. In May 2025, the Company launched the Mahaana IGI Islamic Retirement Fund (MIIRF), in partnership with Mahaana Wealth Management Limited under the Voluntary Pension System Rules, 2005. As at March 31, 2026, MIIRF is managing a portfolio of PKR 374mln across Equity, Debt, and Money Market sub-funds.

The Company operates in three divisions: I) South, II) Central, and III) North, with its headquarters in Karachi. The operational network consists of 14 branches dispersed over these regions. The Company offers a comprehensive suite of individual life, group life, group health, and bancassurance products, complemented by window takaful operations. The Vitality wellness programme remains a key product differentiator.

IGI Holdings, a Packages Group (the Group) company, holds the majority stake in the Company (~82.69%), with the remaining shareholding distributed among institutions, individuals, and directors & related parties.

The sound shareholding structure channeled through the Packages Group provides strong stability to the Company's ownership profile. The majority shareholder's long-term commitment to the insurance sector remains intact, with no changes in the controlling structure during the review period.

Under the umbrella of "IGI Financial Services", the Group has established a foothold across multiple financial sub-sectors: (i) IGI General Insurance, (ii) IGI Life, (iii) IGI Investments, and (iv) IGI Finex Securities, in addition to its core industrial and packaging businesses. This diversification underpins the Group's understanding of financial sector dynamics and supports IGI Life's strategic direction.

The Group holds a strong financial and strategic position, providing meaningful support to IGI Life Insurance Limited. The Group’s equity base increased to approximately PKR 70bln in CY25 (CY24: PKR 64bln), while total assets expanded to PKR 148.5bln (CY24: PKR 132.1bln), reflecting continued balance sheet strength and scale enhancement. Profitability also improved significantly, with net income rising to PKR 5.3bln in CY25 (CY24: PKR 0.7bln), demonstrating strong earnings generation capacity. This financial depth provides a credible backstop to IGI Life's capital requirements, including the obligation to meet the enhanced MCR of PKR 3bln.

IGI Life's Board consists of eight industry professionals, comprising 5 Non-Executive Directors, 2 Independent Directors, and the CEO serving as an Executive Director. The Board includes two Female Directors, showcasing a balanced representation. The composition meets regulatory requirements under the Companies Act and SECP Insurance Rules, supporting effective oversight of management.

The Chairman, Mr. Shamim Ahmad Khan, brings extensive experience from prominent roles at SECP and the Ministry of Finance. With a decade-long association with IGI Life, he provides invaluable leadership. Ms. Faresa Ahsan, a practicing corporate lawyer, serves as an Independent Director, contributing legal and regulatory expertise to Board deliberations. The overall Board profile reflects a blend of financial, regulatory, and corporate governance experience appropriate to the Company's scale and complexity.

The Board operates through three committees: Audit; Ethics, HR, Remuneration & Nomination; and Investment — ensuring structured governance across key functional domains. Oversight is maintained through quarterly Board meetings, with formal minutes documented. The Investment Committee's oversight of the Company's PKR 37bln portfolio is particularly relevant given the centrality of investment income to profitability. The Board's active engagement with management on product repricing and IFRS 17 transition reflects proactive governance.

The External Auditors of the Company, A.F. Ferguson & Co. Chartered Accountants, have issued an unqualified opinion on the annual financial statements for CY25. The Company is in advanced stages of transitioning to IFRS 17 "Insurance Contracts", which replaces IFRS 4, and is regularly monitoring compliance with SECP directives.

The Company maintains a lean organizational structure. The CEO manages operations through key individuals, including the CFO and GCIO. All functional heads report to the CEO, while the Head of HR and Head of Internal Audit report to their respective board committees and to the CEO administratively. The CEO reports to the Boards of both IGI Life and IGI Holdings.

Mr. Ali Nadim, the CEO, transitioned from his previous role as COO in 2018 and brings over two decades of industry experience. He provides strategic direction to the Company, supported by a team of seasoned professionals. Mr. Abdul Haseeb, the CFO, brings over 22 years of experience in accounting, auditing, and treasury management, providing financial discipline and oversight essential to the Company's growth phase.

Four management committees — Claim Settlement, Underwriting & Reinsurance, Risk Management & Compliance, and IT Committee — oversee key operational domains with Board participation. The CEO stays informed through regular MIS updates. Meetings are conducted efficiently with pre-shared agendas and formally documented minutes. Management's proactive stance on addressing acquisition cost pressures and repricing Group Health and corporate life products signals strategic responsiveness to emerging challenges.

A robust claims settlement system ensures efficient processing. Upon receipt of a claim, the department conducts a policy validity review. The case is then presented to the Head of Claims or the Claims Committee for approval, ensuring systematic and consistent processing. Outstanding claims days improved to 23 days in CY25 (CY24: 39 days), reflecting operational efficiency gains.

IGI Life follows a Board-approved Investment Policy Statement (IPS) for its investment activities. The IPS undergoes annual review, overseen by the Management Investment Committee (MIC) led by the CEO. The MIC ensures effective implementation and monitoring of the investment strategy. 

The Company maintains an updated underwriting manual and field guidelines distributed to branches and agents. A risk register is diligently maintained, identifying and assessing risks with defined severity levels, existing controls, and assigned responsibilities for mitigation. The IFRS 17 transition is being managed as a regulatory compliance risk with board-level monitoring.

The life insurance sector in Pakistan recorded Gross Premium Written (GPW) of PKR ~496.9bn in CY25, up ~13.8% YoY, driven by strong growth across both public and private segments. The public segment remained dominant with a ~58.6% share (PKR ~291.2bn, +8.8% YoY), while the private segment outpaced growth at ~21.7% YoY to PKR ~205.7bn, increasing its share to ~41.4%. Despite sustained expansion, the sector remains underpenetrated versus regional peers, though growth is supported by improving macroeconomic conditions, rising bancassurance penetration, and regulatory reforms including IFRS 17 and risk-based capital framework enhancements. The premium mix continued to shift toward quality, with individual regular premiums rising to ~52.8% (CY24: ~47.7%) amid lower inflation and improved purchasing power, while group business moderated to ~38.1% and single premiums declined to ~9.1%. On the claims side, gross claims increased ~7.3% to PKR ~412.7bn, with a decline in surrender claims to ~40.5% reflecting improved retention, while maturity and death claims increased with a growing in-force portfolio. The sector’s investment portfolio remains predominantly concentrated in government securities, mainly Treasury Bills, Pakistan Investment Bonds (PIBs), and Sukuks. This allocation reflects a regulatory-driven and risk-averse investment strategy focused on capital preservation, liquidity management, and stable long-term returns. Sector profitability remained broadly stable at PKR ~23.7bn (-0.8% YoY), as strong premium growth was offset by a ~13.5% decline in investment income due to monetary easing and a sharp reduction in policy rates.  (Source: PACRA Sector Study)

IGI Life is classified as a mid-sized private insurer. In CY25, the Company maintained a market share of ~2.8% in terms of GPW — broadly stable relative to CY24 (~3.1%), reflecting the heightened competitive activity among private insurers as the sector expands. The Company's strategic focus on quality growth, differentiated product offerings, and distribution channel deepening is expected to preserve its competitive positioning over the medium term.

During CY25, the Company demonstrated a notable improvement in persistency, reflecting stronger policyholder retention and an enhanced quality of its in-force business. The first-year persistency ratio increased to ~72% (CY24: ~63%), while the renewal persistency ratio improved to ~80% (CY24: ~74%). The improvement signifies higher customer retention and sustained renewal premium collections, supported by the Company's customer-centric approach, strengthened distribution capabilities, and continued focus on post-sales servicing. Strong persistency remains a key credit strength for life insurers as it enhances the stability of recurring premium inflows, supports embedded value generation, and contributes positively to long-term earnings visibility and profitability.

During CY25, IGI Life Insurance Limited recorded Gross Premium Written (GPW) of PKR 14.1bln (CY24: PKR 13.5bln), reflecting a moderate growth of ~4.5% YoY. The increase stemmed mainly from sustained contributions of bancassurance and agency channels, while overall growth remained contained amid the Company’s continued shift away from single premium business. Net premium increased to PKR 13.6bln (CY24: PKR 13.1bln), indicating stable underlying business volumes and steady inflows from regular premium products. The ongoing strategic tilt towards regular premium business is expected to support earnings quality and improve revenue sustainability, albeit with a moderation in headline growth going forward.

During CY25, IGI Life Insurance Limited reported underwriting profit of PKR 415mln (CY24: PKR 5,876mln), reflecting a sharp contraction driven by a significant increase in insurance benefits, which rose to PKR 11,6bln (CY24: PKR 5,6bln). Accordingly, the loss ratio increased substantially to 82.9% (CY24: 42.5%), indicating elevated claims and increased surrenders and maturity during the year. Despite underwriting stress, the Company posted PAT of PKR 423mln in CY25 (CY24: PKR 278mln), reflecting modest improvement in bottom-line performance, supported by non-underwriting income streams and overall operational stability.

During CY25, IGI Life Insurance Limited maintained an investment portfolio of PKR 38.4bln (CY24: PKR 34.6bln), reflecting overall portfolio growth supported by continued deployment in income-generating assets. Portfolio composition depicted a notable shift during the year, with mutual fund investments increasing significantly to PKR 23.4bln (CY24: PKR 10.9bln), indicating a stronger allocation towards managed investment avenues. In contrast, exposure to government securities reduced to PKR 14.7bln (CY24: PKR 23.3bln), reflecting active portfolio rebalancing amid changing yield dynamics. Debt securities remained largely stable at PKR 0.3bln (CY24: PKR 0.3bln). The evolving asset mix reflects a more diversified investment strategy, with increased reliance on mutual funds supporting liquidity and return optimisation, while reduced government securities exposure indicates active repositioning in response to interest rate movements.

The Company aims for high growth and profitability by emphasizing on increasing regular premiums. It focuses on its Vitality product and expects healthy revenue growth in the medium to long-term, supported by positive macro-economic trends and unique offerings. Strengthening human capital and expanding the agent network through the recruitment of professional personnel are also planned.

As of CY25, IGI Life Insurance Limited reported improvement in operational efficiency, with Claims Outstanding Days declining to 23 days (CY24: 39 days), reflecting stronger claims processing and settlement management. However, net claims expense increased materially to PKR 11.6bln (CY24: PKR 5.6bln), driven primarily by elevated policy surrenders, which rose to PKR 7.7bln (CY24: PKR 3.8bln). Overall, while operational efficiency improved, higher surrender-driven outflows exerted significant pressure on the claims profile and underwriting performance during the year.

The reinsurance portfolio of IGI Life comprises highly rated global reinsurers: Hannover Re (AA- by S&P), American Life (AA- by S&P), Zurich Insurance (AA by S&P), and Munchener Ruck (AA- by S&P). The reinsurance programme includes a mix of quota share, surplus, and Excess of Loss (XOL) treaties, providing layered protection across product lines.

As of CY25, IGI Life Insurance Limited maintained total investments of PKR 38,386mln, supported by cash and bank balances of PKR 1,526mln, resulting in total liquid assets of approximately PKR 39,912mln. The liquidity position reflects a sound asset base, underpinned by a sizeable investment portfolio and adequate cash buffers. The Company’s liquid asset coverage remained robust, with liquid investments providing strong coverage against outstanding claims, indicating comfortable capacity to meet policyholder obligations. However, liquidity movements during the year reflected active portfolio management and claim-related outflows.

As at CY25, IGI Life Insurance Limited maintained a paid-up capital of PKR 1,706mln, unchanged over the review period. Shareholders’ equity stood at PKR 2,698mln (CY24: PKR 2,279mln), reflecting growth driven by retained earnings accumulation on the back of consistent profitability and absence of dividend payouts. The equity base improved by ~18.4% during CY25, indicating steady internal capital generation and supporting gradual strengthening of the Company’s capital position. The Company remains required to meet the SECP-mandated enhanced Minimum Capital Requirement (MCR) of PKR 3.0bln, with management targeting compliance through continued profit retention—considered a viable path given ongoing earnings generation and backing of the Packages Group. The capital structure remains leveraged in line with life insurance industry dynamics, while internal capital build-up continues to support regulatory compliance and business growth requirements over the medium term.