Strategic Role within HDFC Group
HDFC Life International complements HDFC Life’s domestic franchise by addressing needs that are better served from an offshore hub:
- Providing USD‑denominated life, health and savings products for globally mobile Indians.
- Allowing efficient capital and risk management through a dedicated international platform aligned with global solvency and accounting standards.
- Supporting HDFC Group’s broader international aspirations via GIFT City’s tax, regulatory and capital advantages.
The branch operates under the parent’s governance umbrella but with its own IFSC‑specific policy framework covering product oversight, investments, intermediation, reinsurance and customer protection, as required by IFSCA.
What is the Core Business Model and Operations of HDFC International GIFT City?
HDFC Life International operates as a fully functional overseas branch of its parent company, which is headquartered in the Dubai International Financial Centre (DIFC). While the DIFC office primarily focuses on reinsurance, the GIFT City branch is a key driver of direct life and health insurance.
- Currency Advantage: All products and solutions offered from GIFT City are US Dollar-denominated, providing a natural hedge against currency fluctuations for global clients.
- Market Leadership: It has emerged as a leading life insurer within GIFT City, contributing a substantial portion of the international insurance premium written from the IFSC.
- Target Audience: The branch caters to both Resident Indians looking for foreign currency-denominated assets and Non-Resident Indians (NRIs) seeking globally portable insurance solutions.
Products Under HDFC International GIFT City
In the 2024-25 financial year, HDFC Life International significantly broadened its offerings to meet the diverse needs of global Indians. The GIFT city investment options include:
- Protection: Term and protection‑led products, including solutions for NRIs looking to secure liabilities or family income in hard currency.
- Health: Health and critical‑illness-linked propositions, especially for globally mobile customers.
- Savings & Investment‑linked: Long‑term savings, endowment and investment‑linked (including unit‑linked) products that allow customers to create USD‑based wealth while benefiting from HDFC’s insurance platform.
Taxation Under HDFC International GIFT City
Under the UAE corporate tax regime, HDFC International Life & Re qualifies for a 0% corporate‑tax rate on its qualifying reinsurance activities in DIFC, subject to economic substance and de-minimis tests.
For the GIFT City branch, the company has opted for exemption under the India–UAE double taxation avoidance agreement (DTAA), as the IFSC income meets the conditions for a tax‑holiday style exemption, leading to no UAE corporate tax provision on that branch’s income in FY 2024–25.
This tax‑efficient structure, combined with regulatory clarity at GIFT City, enhances the attractiveness of HDFC Life International products for NRIs and globally mobile clients seeking efficient USD‑based solutions.
Conclusion
HDFC Life International at GIFT City is more than just an insurance office; it is a bridge connecting the Indian insurance sector to the global market. By offering USD-denominated products and maintaining rigorous international standards, it provides a unique value proposition for the global Indian diaspora, ensuring their financial aspirations are secured regardless of where they live.
Tax-Free Returns at Maturity
Smart Investing for Long-Term Wealth Creation
Seamless US Dollar Investments from India
