Private Insurance companies expecting 30-40 per cent growth
Private life insurance companies in India are expecting a growth 30-40 per cent in the current year with Kerala accounting for 10 per cent of this growth, N S Kannan, Executive Director, ICICI said.
By PTI |
KOCHI: Private life insurance companies in India are expecting a growth 30-40 per cent in the current year with Kerala accounting for 10 per cent of this growth, N S Kannan, Executive Director, ICICI Prudential Life Insurance company ltd, said.
The growth potential and opportunties for the Indian life insurance industry is very strong and it is among the fastest growing industries in India, Kannan told reporters here. In the first quarter of 2008-09, the industry grew over 14 per cent and the private life insurance companies registered a growth of 73 per cent in the first year premium income as against corresponding period last year.
Under penetration of life insurance in India, a little over four per cent of GDP also indicates a huge growth opportunity, he said. In UK, it is 13 per cent.
During the first four months of this fiscal from April-July, ICICI Prudential registered a 40 per cent growth rate on new businesss and 65 per cent of premiums. It has about 80 lakh policies.
The growth in states like Maharastra, Punjab, Gujarat and Kerala was 'very high', with Kerala and Punjab being unique due to the presence of large number of NRI population.
The company has about 2600 branches. The Indian life insurance industry was insulated from the global credit crisis, he said adding the Insurance Regulatory and Development Authority (IRDA) had laid down stringent guidelines on solvency margins as well as investment norms for the industry to follow.
Domestic life insurers are subject to solvency requirements, which stipulate them to maintain a minimum solvency ratio of 150 per cent. This ensures that life insurance companies remain well capitalised always.
The growth potential and opportunties for the Indian life insurance industry is very strong and it is among the fastest growing industries in India, Kannan told reporters here. In the first quarter of 2008-09, the industry grew over 14 per cent and the private life insurance companies registered a growth of 73 per cent in the first year premium income as against corresponding period last year.
Under penetration of life insurance in India, a little over four per cent of GDP also indicates a huge growth opportunity, he said. In UK, it is 13 per cent.
During the first four months of this fiscal from April-July, ICICI Prudential registered a 40 per cent growth rate on new businesss and 65 per cent of premiums. It has about 80 lakh policies.
The growth in states like Maharastra, Punjab, Gujarat and Kerala was 'very high', with Kerala and Punjab being unique due to the presence of large number of NRI population.
The company has about 2600 branches. The Indian life insurance industry was insulated from the global credit crisis, he said adding the Insurance Regulatory and Development Authority (IRDA) had laid down stringent guidelines on solvency margins as well as investment norms for the industry to follow.
Domestic life insurers are subject to solvency requirements, which stipulate them to maintain a minimum solvency ratio of 150 per cent. This ensures that life insurance companies remain well capitalised always.
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