The life insurance industry has reported a 21 per cent growth in total premium (new business premium and renewal premium) to Rs 1,20,503 crore from April to October from Rs 99,310 crore in the corresponding period last year.

As per latest data released by Life Insurance Council, renewal premiums collected rose by around 24 per cent to Rs 73,952 crore compared with the same period last year, while new business premiums increased by around 18 pre cent year-on-year to Rs 46,551 crore.

Total renewal premiums for regular unit-linked insurance plans (Ulips) saw a growth of 42 per cent to Rs 29,738 crore year on year compared with Rs 20,878 crore for the same period last year. Non unit-linked premiums stood at Rs 44,214 crore, up from Rs 38,897 crore last year, an increase of 14 per cent.

Total non unit-linked premiums has increased by 27 per cent to Rs. 67685 crore, up from Rs 53215 crore last year, whereas total linked premiums rose by 15 pre cent to Rs 52818 crore, from Rs 46094 crore.

“The growth in the industry is propelled by low commission single premium policies. For the April-October period, single premium policies witnessed a surge of around 42 per cent, with investors preferring non-linked policies signifying a clear trend towards traditional policies," said S B Mathur, secretary general of Life Insurance Council, the common platform of all life insurance companies in India.

Total benefit paid to policyholders stood at Rs 34,021 crore, an increase of over 25 per cent compared with Rs 27,179 crore paid during the same period last year. Life Insurance companies had more than 11,890 branches at the end of October, out of which 8,729 branches belonged to private sector life insurance companies.