Page 13 - The Insurance Times February 2025

has begun collaborating with the ILO to fraudsters accessed sensitive customer challenges. With Glow Term Life
achieve a realistic assessment. information and demanded ransom Insurance, we aim to bridge this gap by
under the threat of leaking the data. simplifying access and making it inclusive
Micro-Insurance Premiums A 28-year-old interior designer from for India’s self-employed workforce,”
Speaking about the launch, Sabyasachi
Surpass Rs 10,000 Crore Haryana was arrested on December Sarkar, MD & CEO of Digit Life.
14, while the mastermind behind the
for the First Time operation is believed to be based in The introduction of this product marks
In FY24, the life insurance sector's Cambodia. The insurance firm a significant step in making life
micro-insurance segment, aimed at received an email on November 19 insurance more accessible and
low-income groups, recorded new warning of the data breach and inclusive for the self-employed
business premiums (NBP) exceeding Rs demanding negotiations. The email demographic, which constitutes a
10,000 crore for the first time. included details of 99 policyholders, substantial portion of India’s
According to IRDAI's annual report, followed by additional threats sent via workforce. By adopting a technology-
overall NBP rose to Rs 10,860.39 email and WhatsApp to senior officials. driven approach and offering value-
crore, a 23.5% increase from Rs The firm's legal team filed a complaint, added benefits, Digit Life aims to cater
8,792.8 crore in FY23. prompting the ongoing investigation. to the unique needs of this segment
while addressing their financial
Individual NBP declined by 23.78% security concerns.
year-on-year to Rs 152.57 crore, while Go Digit Life Introduces
group NBP increased by 24.61% to Rs Digit Glow Term Life IRDAI Removes Caps on
10,707.82 crore. Private insurers Insurance for India’s Self-
accounted for Rs 10,708.4 crore of Commission Expenses
group premiums, while LIC contributed Employed The Insurance Regulatory and
Rs 17.09 crore. The number of micro- Go Digit Life Insurance has launched Development Authority of India (IRDAI)
insurance agents stood at 102,000, Digit Glow Term Life Insurance, its first has replaced the cap on commission
with public-sector insurers employing individual pure term life insurance plan, payments to agents, aggregators, and
19,166 agents and the remainder tailored specifically for India’s self- brokers with an overall cap on insurers'
working for private insurers. employed population. The plan aims to management expenses.
address challenges like stringent "The regulatory changes benefit both
Haryana Man Arrested for documentation and cumbersome customers and the insurance industry
procedures that have historically by ensuring flexibility in expense
Data Theft from Insurance
hindered life insurance access for self- management while maintaining parity
Firm employed individuals. across various business models," said

Mumbai police are investigating a data “Self-employed individuals are vital to Tapan Singhel, MD & CEO, Bajaj Allianz
theft case involving a leading life India’s economy but often lack life General Insurance.
insurance company, where cyber insurance due to underwriting
India’s Life Insurance

New Surrender Value Norms Likely to Impact Life Industry at an Inflexion
Insurer Margins Point
Revised surrender value norms, coupled with higher acquisition costs and India’s life insurance sector is
pricing pressures, are expected to weigh on life insurers' margins in Q3FY25. experiencing a pivotal transformation,
The updated rules require insurers to offer higher special surrender values driven by favorable macroeconomic
after the first year of the policy, effective October 1, 2024. This has led to conditions, increased financial
product revisions and discontinuations. inclusion, and innovative distribution
strategies. According to a recent
Additionally, changes in GST rates for retail term and health insurance,
potential amendments to the Insurance Act, and evolving bancassurance report by Centrum Broking, the
regulations are key factors influencing margins. Analysts predict increased industry is poised for robust growth,
marking a significant milestone in its
pressure on value of new business (VNB) margins due to higher costs and
product mix changes. journey toward achieving ‘Insurance
for All’ by 2047.

The Insurance Times February 2025 13