New York-based MetLife is keen on acquiring a majority stake and operational control over its Indian insurance joint venture with Punjab National Bank, a strategy that the company has been pursuing since it entered the Indian market 25 years ago.
“Today we're just under 50%, and we're looking for a path to get above 50%. We'll continue to pursue, wherever it makes sense, getting to majority control,” Lyndon Oliver, regional president of MetLife Asia, and non-executive chairman of PNB MetLife, said in an interview.
With the opening up of foreign investment limits, MetLife has steadily increased its stake from 26% to 49.73%. State-owned PNB is the other promoter, holding a 30% stake in PNB MetLife India Insurance Co Ltd. Other notable shareholders include Jammu & Kashmir Bank and M. Pallonji and Company.
“Our strategy of getting to majority ownership in this state is unchanged from day one. Back when they were letting [foreign investors] in, if [the allowed investment] was at 100%, we would have started at 100%,” Oliver said. As of February 2026, India allows 100% foreign control in the insurance sector.
Oliver said MetLife was pleased with the joint venture but would have preferred fewer partners. “Of course (we would prefer to have just one partner). It is harder to manage more partners. But it's fine. There are no major differences of opinion about where we're going and things like that. PNB and MetLife are 80% of the company, the promoters of the company, and have the biggest say in its strategic direction. The others weigh in,” he said.
India ambition
Oliver also said Metlife wants India to start becoming a major contributor to its business. “Our objective is these four countries (Mexico, Brazil, China and India) becoming a material contributor to MetLife’s overall story over the next 10 years.”
In a note in November, rating agency Icra highlighted the strong parentage of PNB Metlife and how MetLife has been raising its stake in the company. However, it said PNB MetLife’s operations remain moderate, with a market share of 2% in FY25 based on individual annual premium equivalent.
While India remains relatively small for MetLife, it is one of the company’s fastest-growing markets, with Oliver noting that the country is in a “very favorable position” for future expansion. He added that the local regulatory landscape has become significantly more active over the past two to three years. “Overall, the changes are well-intended. Every time they come out, we talk to the regulators, so we're well aware of what is coming down the pike.”
Regulatory changes
Oliver is an advocate of the shift to a risk-based capital regime—different capital requirements based on the insurer's risk profile—which the Insurance Regulatory and Development Authority of India (Irdai) approved in December 2025. He said while there are obviously some differences from country to country, the new framework brings India much closer to global standards.
“The capital requirements will change. And so some things will go up, some things will go down. Because it's a very different framework,” he said. Recent regulatory updates also include a new mandate that links the remuneration of insurance executives directly to customer outcomes.
The insurer is also closely tracking discussions around introducing a composite license, which would allow companies to sell both life and non-life products. Oliver said while a composite license would allow MetLife to venture deeper into the health segment, it would also demand additional capital and operational support.
“We really feel we have a lot of opportunity in our current space. But health is growing, and it's a very rapidly growing space. But right now we are very focused, and health would be a diversion,” he said.
Having two banks in its list of shareholders has served the company well in terms of distribution and reach. Of the new business premiums received in FY25, 57% were through PNB, and another 9% through other bank partners such as J&K Bank and Karnataka Bank. Direct sales comprised 17% of distribution and the agency network another 10%, according to the insurer’s annual report for FY25.
“We have a great partnership with PNB. That, we believe, has really given us access to a very large segment of the population,” Oliver said. Now, however, the focus is on building the agency network as it seeks “diversified distribution”, he added.
