Page 16 - The Insurance Times August 2024

Ò»©­

Life Insurers up term Tata AIA's strong investment
LIC Chairman Mohanty management capabilities and robust
premium by 2-3%
re-designated MD & risk management practices have
Major life insurance companies have consistently resulted in higher bonuses
CEO increased term insurance premiums for for participating policyholders, the
Life Insurance Corporation (LIC) the current fiscal year. Bajaj Allianz Life company said.
has redesignated its chairman Insurance and Max Life Insurance Kshitij Sharma, EVP and appointed
Siddhartha Mohanty as chief raised premiums by 2-3%, while HDFC actuary, Tata AIA, said, "We are
executive officer and managing Life Insurance introduced a 10% hike delighted to deliver yet another year
director with effect from June 30. for policyholders aged 60 and above.
of the excellent performance of bonus
In a regulatory filing, the state- Factors influencing premium rates payout in our participation policies.
owned life insurer said, "Siddhartha include age, gender, occupation, Tata AIA's record bonus announcement
Mohanty, the incumbent health, and smoking status. Insurers underscores our commitment to
chairperson, shall be the chief use mortality tables to set premiums rewarding our policyholders for their
executive officer and managing and ensure solvency. Rising mortality trust. Providing superior returns to our
director of the corporation rates have contributed to the increase policyholders is our continuous
effective from June 30." in term insurance premiums. endeavour, enabling our consumers to
Mohanty took charge as the "It's a marginal change of 2-3%, live a fikar-free life and fulfil their
chairperson of LIC in April 2023. nothing beyond the ordinary aspirations towards their loved ones."
Prior to that, he was the managing adjustments that happen often," said
director of the company. a source. Bond yields are falling, life
insurers may raise rates
A Postgraduate with a Masters Tata AIA declares Rs. 1,465
Degree in Arts in Political Science, The fall in long-term bond yields,
Mohanty joined the insurance giant crore bonus for policy- coupled with pressure from reinsurers,
as an apprentice officer in 1985. In holders is causing private insurers to re-
a career spanning four decades with evaluate their term insurance rates.
Tata AIA Life Insurance has declared a
LIC, Mohanty has held several key Three of the top five private life
positions including that of executive bonus of Rs 1,465 crores for companies are expected to raise their
director (Legal) and CEO of LIC participating (PAR) policyholders for term rates soon, a senior industry
Housing Finance, Sr divisional the financial year 2024. The company source said.
said that the bonus payout announced
manager in charge, regional is the highest ever paid by it, The yield on the 40-year bond has
manager of Marketing Vertical, decreased from 7.34% at the time of
showcasing an increase of 24% over
chief of investment, monitoring & issue last year to 7.09%.
the Rs 1,183 crore bonus announced in
accounting to name a few.
FY23. Similarly, the yields on other long-term
The Insurance Times August 2024 15