Page 39 - Life Insurance Today FEBRUARY 2016
P. 39
Private Life Insurance
Companies News
AXA enhances stake in cent at an investment of Rs.1,664 would be refunded for a policy that has
Bharti to 49% crore, subject to requisite approvals. run for more than three years and ac-
quired paid-up value results in claim
French insurer AXA has increased its "At ABNL, our endeavour is to create within three years from the date of
stake in its life and general insurance long-term value for all stakeholders by last revival and it is found that there
joint ventures, Bharti AXA Life Insur- investing in promising sectors. At the was suppression of material facts at
ance and Bharti AXA General Insur- same time, the thrust has always been the time of insurance of policy.
ance to the maximum permissible limit to keep the standalone balance sheet
of 49 per cent recently. strong, which has been the growth Vighnesh Shahane, chief executive of-
engine for ABNL," the diversified con- ficer, IDBI Federal Life Insurance, said
The government earlier in 2015 had glomerate said in an update. they were following the section from
allowed foreign promoters to raise the date of passage of the Ordinance;
their stake up to 49 per cent after the The NBFC and housing finance busi- that is from December 24, 2014. He
passage of the insurance Amendment nesses are growing at a strong pace said, "We have made a minor change
bill. "This transaction confirms AXA's and require capital support. ABNL has - earlier, the guarantee was not appli-
long-term commitment towards the capital commitments to the tune of cable to death claim arising within two
Indian insurance market and is an- Rs.600 crore for 2015-16 towards years of insurance, commencement or
other step in our development in Asia" these two businesses. revival of policy or addition/deletion of
said AXA Asia CEO Jean-Louis Laurent any rider, now we have increased this
Josi. The Insurance Act,2015 in- cap to three years,".
terpretation mystification
Aditya Birla Nuvo to ven- Hence, the claims guarantee norms
ture into 5 sectors of Sun The Insurance Act, 2015 contained would underdog a change.
Life provisions for non-life insurance claim
rejection after three years, has been Aegon Religare Life re-
Aditya Birla Nuvo (ABNL) intends to interpreted differently by the insurers. named as Aegon Life In-
install the money it will receive, from The small hitch is that many are as- surance
the sale of 23 per cent stake in Birla suming it retrospectively from 2012,
Sun Life Insurance (BSLI) to join ven- others are looking at it from the date Private player Aegon Religare Life In-
ture partner Sun Life Financial, in five of passage of the ordinance. surance Company is renamed as
segments - non-banking finance, hous- Aegon Life Insurance Company Ltd
ing finance, health insurance, pay- Section 45 of the Act says no claim can with effect from 5th December 2015
ments bank and solar power. be repudiated after three years of the following the exit of Religare from the
policy coming in force. Even if there is joint venture.
Aditya Birla Nuvo, had on December a misrepresentation of facts, claims
2, 2015, announced that Sun Life Fi- cannot be rejected. Managing Director and CEO of the
nancial will increase its stake in the life company K. S. Gopalakrishnan said
insurance joint venture, Birla Sun Life Life insurers had sought clarifications that the insurance market was not ho-
Insurance, to 49 per cent from 26 per from IRDAI on whether premium mogenous, but heterogeneous, and
38 February 2016 Life Insurance Today
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