Life insurers register 9% rise in individual premium in Apr-Oct

Tags: Insurance
Life insurance companies have witnessed a growth of 9.4 per cent in premium collection from individual segment in the first seven month of the financial year 2012-13 (FY13), over same period last year. While collection from individual policies for 24 insurers stood at Rs 30,891 crore in the April–October period, they had collected Rs 28,232 crore in same period last year.

The growth can be attributed to 21 per cent rise in individual premium collection by Life Insurance Corporation of India (LIC), which collected Rs 21,916 crore till October, against Rs 18,114 crore collected in the same period last year.

Collection from individual regular premium policies grew by 17 per cent to Rs 22,948 crore till October, against Rs 19,607 crore in same period last year.

However, there was a dip of 7.9 per cent in premium collection from individual single premium policies. Insurers collected Rs 7,943 crore till October, compared with Rs 8,625 crore in the corresponding period last year.

On a month-on-month basis, insurers saw a decline of 20.5 per cent in individual premium collection to Rs 4,002 crore in October, against Rs 5,031 crore in September.

Also, collections in October has seen an year-on-year decline of 1.2 per cent, as Rs 4,049 crore was collected in the same month last year.

Private life insurers witnessed 11.3 per cent decline in premium collection from individual segment. They collected Rs 8,975 crore in the April–October period, compared with Rs 10,118 crore collected in the corresponding period last year.

There was a marginal rise of 1.3 per cent in individual regular premium collection by private insurers. They collected Rs 7,844 crore in the seven-month period, compared with Rs 7,746 crore in the same period last year.

“Insurers are focusing on renewals and regular premium policies for long-term growth. This has already started showing its effect and in the next few quarter, we expect a significant impact,” said Rajiv Gupta, executive director of marketing at SBI Life Insurance.

Private insurers saw a steep decline of 52.3 per cent decline in single premium collection. They collected Rs 1,131 crore till October, against Rs 2,372 crore in same period last year.

Out of the 23 private life insurers, only seven managed to show positive growth.

sagarsen@mydigitalfc.com

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • It will take at least 4 more quarters for corporate bottomlines to turn around

    Aggregate numbers from corporate results in the June quarter of 2014-15 are hardly different from the previous six quarters, with no positive surprise

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Tushar Gandhi

Dealing with a sin called insensitivity

Rage and the notion of being above the law — ...

Kuruvilla Pandikattu SJ

India’s greatest gift to the world

What we hear most often about India these days is ...

Gautam Gupta

Why must innerwear be our best kept secret?

While women’s outerwear rules the marketing roost in India, unfortunately, ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture