General insurers total premium rises 6% in April
The 28 general insurers in India booked a total premium of Rs. 8,421.45 crore last month -- up from Rs. 7,890.41 crore earned during April 2013, a growth of 6.73%. Public sector players grew their business by 8.41% for the period under review as against the private companies which logged 4.77% growth, according to IRDA data. The private players closed last month with a total premium of Rs. 3,818.93 crore -- up from Rs. 3,644.89 crore.
FPIs, NRIs can invest up to 26% in insurance: RBI
The Reserve Bank on Thursday said overseas investors, including FPIs and NRIs, can invest up to 26 per cent in insurance and allied activities through the automatic route. "Effective from February 4, 2014, foreign investment by way of FDI, investment by FIIs/FPIs and NRIs up to 26 per cent under automatic route shall be permitted in insurance sector," RBI said in a circular. Under the new norms, 26 per cent foreign investment including FDI, FII and NRI will be allowed under the automatic route in insurance companies, insurance brokers, Third Party Administrators (TPAs), surveyors and loss assessees. The companies bringing in foreign investment will, however, have to obtain necessary licence from the Insurance Regulatory and Development Authority (IRDA) for undertaking prescribed activities.
By next March, market should fetch 10%-12% return: LIC Nomura MF
Indian Economy is heading for a robust growth. India will be a favored destination for FIIs. Inflow of USD will increase, capital formation will increase, employment opportunities will grow and domestic saving rate will go up, Nilesh Sathe, Director & Chief Executive Officer, LIC Nomura Mutual Fund, says... Read more
FDI is inevitable if insurance industry has to grow: Ex-IRDA chief
Former IRDA chief J Hari Narayan said that the industry over the last 12 years has attracted over Rs. 33,000 crore of capital across all the private life insurance companies, according to TV news channel report. It is a positive move to get that FDI (foreign direct investment) level to 49%. We can straightaway expect an inflow of $1-$1.5 billion, that will help boost our foreign exchange reserves, the report added. Narayan said that FDI is inevitable if the insurance industry has to grow. There is no question about it, we will not have the capital required to fund that kind of growth of the insurance industry.
Exide Life to add 18,000 new agents in FY15
Exide Life Insurance is planning to recruit 18,000 new agents in the current financial year, according to a media report. At present, the insurer has an agency force of 35000 agents. A minimum of 25% of the 18,000 new agents will come from North India, where the company wants to expand its business, the report added. In 2013-14, the company reported a net profit of Rs53 crore, more than double the net profit of Rs 23 crore recorded in the last fiscal.
DHFL Pramerica Life launches Flexi Cash
DHFL Pramerica Life Insurance Co. Ltd. (DPLI) launched its first new product of the year, ‘DHFL Pramerica Flexi Cash’, a participating endowment-cum-insurance plan. As the name suggests, Flexi Cash is an innovative product, which has been designed to provide flexibility to customers so that they can control their policies better. Not only can choose the premium payment term to align the maturity corpus with their financial planning, they can also pre-pone the maturity date of their policies to avail its benefits as and when they wish/ need to avail them.
In addition, Flexi Cash provides a guaranteed loyalty benefit of 10% of the annualized premium from the 2nd policy year onwards, during the premium payment term. This is to ensure that there is a continuous revenue stream for customers while they are paying premiums...Read more
Interest rate cycle seems to have peaked out: Future Generali
“RBI kept the key policy repo rate unchanged @ 8%, keeping with the disinflationary glide path indicated earlier,” Dr. Nirakar Pradhan, CIO, Future Generali India Life Insurance said. The reduction in SLR requirement by 50 bps to 22.50% will release approx. Rs. 39,000 crore of funds giving Banks more headroom to expand credit to productive sector. A special term repo facility of 0.25% of NDTL (approx. Rs. 20,000 crore) will further help in development of term repo market...Read more
Max Life Insurance bags two metals at Goafest 2014
Max Life Insurance has won two Creative Abby Awards at the Goafest 2014, for its ‘i-genius-Young Author’s Hunt’ initiative. Max Life Insurance won the awards for Brand Activation and Promotion for this initiative in two categories: Financial Services --- Bronze and Integrated Campaign led by Promo and Activation --- Silver. In 2013, Max Life Insurance had launched a nationwide hunt for young writers through its programme, i-genius Young Authors Hunt to celebrate, recognize and reward young writing talents of the nation... Read more
Tata AIA Life Insurance appoints Amitabh Verma as COO
Tata AIA Life Insurance Company (Tata AIA Life) has added a new member to its Senior Management team with the appointment of Amitabh Verma as its Chief Operating Officer (COO). Based out of the Company’s headquarters in Mumbai, Amitabh will primarily be responsible for driving Operational Excellence across the company, and shall be reporting directly to the CEO. Operational Excellence includes design, implementation, and improvement of policies and procedures that Tata AIA Life uses to create and deliver its solutions and, to ensure that the Company has world class systems, operational controls, and procedures in place to effectively grow the organization... Read more
ING to launch IPO for Dutch insurance major NN Group
ING announced the intention to proceed with the Initial Public Offering and listing on Euronext Amsterdam of NN Group, an international insurance and investment management company offering retirement, life insurance, non-life insurance, investment management and banking (in the Netherlands) to its customers across Europe and Japan.
Understanding insurance repository and e-insurance
E-Insurance will soon become a reality, Insurance policy document will become digital and paperless like shares in 2014 and the policy holders would be saved from preserving the physical copies of their insurance policies. The Insurance Regulatory Development Authority (IRDA) is likely to announce the roadmap to make it mandatory, by which insurance companies would have to compulsorily issue policies to their customers only in electronic form. Initially the polices where annualized premium is greater than Rs 25000 or the premium paying term is greater than 10 years would be offered in electronic form. This applied to both Life and General Insurance Policies. Soon even Micro Insurance Policies issued through CSC would be available in electronic form. Considering this change, it is important to understand what Insurance Repository is, how to open an e-Insurance Account, conversion of physical policy into an e-policy and benefits associated with it... Read more