Page 40 - Life Insurance Today December 2017

SBI Life net up 6% at Rs. Kotak Life has no plan to go public now
Kotak Life Insurance, the seventh largest insurer in the country in terms of new
225 cr
business, said it will not consider public listing at least
SBI Life reported 6% growth in net for the next four-to-six quarters even as large inves-
profit at Rs. tors responded well to public offers by private sec-
225.47 as tor firms like SBI Life Insurance and HDFC Standard
against Rs. Life. "Right now we don't have any plans for listing.
212.7 crore We don't need the money," Kotak Life Managing Di-
in the same rector G Murlidhar told "I don't know what happens after two years but there
period last is no plan now. Kotak Life is well capitalized," he said. Kotak is not the only
year. Value of new business (VNB) one keeping away. As per reports earlier this month, Bajaj Finserv's two insur-
margin, reflecting additional value ance firms-Bajaj Allianz Life Insurance and Bajaj Allianz General Insurance-too
to shareholders improved to 15.6 %. are not looking at an IPO soon.
This ratio is a measure of the ex- The major IPOs by the insurance companies, also including ICICI Lombard, Gen-
pected profitability of new business.
eral Insurance Corporation, New India Assurance were largely subscribed by
The solvency ratio fell marginally to institutional buyers but saw low appetite from retail investors. Kotak Life's new
2.09 from 2.14, whereas the regula- premium business stood at Rs. 1385 crore at the end of October, reflecting a
tory requirement is 1.5. The ex- 21% year-on-year growth.
pense ratio rose upto 12.67% from
11.86%. There has been noticed a HDFC Standard Life Insurance crosses Rs 400 level, ral-
jump of 10.8% in total protection lies 44% in 3 sessions
business income and the renewal
premium increased to 35.2%. HDFC Standard Life Insurance Company shares rallied for third consecutive ses-
sion, rising as much as 44 percent from its issue
price of Rs. 290 per share since the listing day.The
HDFC Life IPO oversub- stock price crossed the Rs 400 level for the first
scribed time today, hitting a record high of Rs. 417.65.It

HDFC Standard Life Insurance rallied nearly 18 percent intraday as investors
Company's continued their buying spree. The stock price was
Rs. 8,700- quoting at Rs 411.80, up Rs 56.90, or 16.03 percent on the BSE.
crore ini- HDFC Standard Life continues to benefit from the strong distribution network
tial public of its bancassurance partners and has increased its bancassurance partner count
offering to 125."This will help widen its reach and support premium growth. It main-
(IPO was subscribed five times on tains strong control on cost ratios, aided by rising proportion of direct/online
the last day of the offering. The IPO sales and multiple technology initiatives," the research house said.
saw bids worth Rs. 30,827 crore, of
which more than 80 %came from Bajaj Allianz Life launches one-stop customer portal
qualified institutional buyers (QIBs). Bajaj Allianz Life Insurance Company rolled out Life Assist, a digital platform
The institutional investor category that provides 24X7 instant life insurance solutions for its
saw 16 times more demand than
customers.Life Assist allows customers to instantly update
shares on offer.
their profile, know your customer (KYC) including contact
Analysts say companies in this space number, address, know claim status, top-up premiums
are a play on higher penetration of among others, a release issued here said.
insurance products amid rising share "Our digital initiatives are all about giving customers the
of financial assets in household sav-
best experience possible than ever before, and on their
ings. Insurance in India is deeply un-
preferred devices. So, whether customers are accessing
der-penetrated currently. But, these their computers or smartphones, they will have quick and easy access to our
benefits will only accrue in the long services at all times, resulting in a speedier service delivery," Bajaj Allianz Life
term. Insurance Managing Director and CEO Tarun Chugh said.

40 December 2017 Life Insurance Today

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