First year premium of life insurance firms up 1.4%

New Delhi: First year premium of the life insurance companies rose by a marginal 1.4 percent year during the first two months of the current financial year, according to data released by the Insurance Regulatory and Development Authority (IRDA).

The combined first year premium of the public and private sector insurers during April-May, 2012,stood at Rs 12,428.83 crore, up from Rs 12,253.44 crore during the same period a year ago, IRDA said.[caption id=“attachment_359422” align=“alignleft” width=“380” caption=“Rising premium. Reuters”]  [/caption]

First year premium of the public sector company LIC, the largest life insurer in the country, however declined marginally to Rs 9,214.72 crore from Rs 9,273.08 crore during the period under review.

More from Fwire

BCCI earned more than Rs 2,400 crore in IPL 2022, reveal documents Eight Russian judokas barred from world championships after Ukraine boycott

Meanwhile, the combined first year premium of the private sector insurance companies increased by 7.8 percent during the first two months to Rs 3,214.11 crore from Rs 2,980.36 crore during the same period of the previous fiscal.

Some of the private sector companies recorded remarkable growth in their first year premiums in April and May.

Private company Met Life’s first year premium during the period rose to Rs 161.78 crore, up from Rs 52.55 crore during the same period a year ago.

While the first year premium of DLF Pramerica increased to Rs 20.96 crore from Rs 13.43 crore, Aviva’s first year premium during the first two months of the current fiscal rose to Rs 148.89 crore, up from Rs 52.48 crore in the comparable period of last fiscal.

Birla Sunlife’s first year premium during the period increased to Rs 208.61 crore from Rs 161.63 crore while HDFC Standard had a premium of Rs 427.52 crore, up from Rs 291.58 crore during the first two months of the previous fiscal.

However, there was a decline in the number of policies issued during the first two months for the life insurance companies including LIC.

In April-May, 2012, a total of 40,46,777 policies were enrolled, down from 4,324,096 during the same period a year ago. The number of policies issued by LIC during the period under review declined to 3,252,286 from 3,386,692.

The gross premium of the non-life insurance companies rose 21.83 percent during April-May to Rs 4,880.81 crore from Rs 4,005.96 crore during the same period a year ago.

The gross premium of non-life insurance companies during April-May (2012-13) rose 18.27 per cent to Rs 11,387.32 crore from Rs 9,627.91 crore, the IRDA data shows.

PTI