Page 15 - Insurance Times September 2015 SAMPLE

Life Insurance Corp.

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LIC elevates 2 women to Life Insurance sector triggers 20% growth in Q1

top brass The life insurance industry has sold year-ago period.
additional 60% Group Single Premium
Life Insurance Corporation (LIC) is policies, mopping up Rs.12,861 cr in The insurance industry continued an
continuing with its trend to place the quarter as against Rs.8,016 cr in overall higher growth, despite the larg-
the same period last year. est private sector player ICICI Pruden-
female employees 54.6% is the Group Single
in a bigger role. The Premium income in total, tial Life recording a nega-
trend began with contributing to the new tive growth. Similarly, Re-
the appointment of business. liance Life, Max Life and
Usha Sangwan, India First have also
who was the first In respect to the sale of policies, the shown negative growth in
female Managing Director a couple industry sold 46,44,333 policies in the the first year premium during the
of years ago. The insurance behe- reporting period, with an upward quarter.
moths elevated two trend of 22% as against 38,19,547 poli-
more women to top cies sold in the last year. The upward trend in growth was wit-
level in 2015-16. nessed with LIC which clipped at over
While Sarojini After witnessing de-growth since 2010, 31% in the quarter, mopping up over
Dikhale has taken insurance sector leader LIC and 23 Rs.5,700 crore in new premium, while
over as Chief Execu- other private players mobilized from the private sector side HDFC Life
tive of LIC, Nomura Mutual Fund; Rs.23,570 cr in the new premia reach- and Bajaj Allianz Life reported growth
Mini Ipe has been elevated as head ing to 20% from Rs.19,702 crore in the of 35% and 71% respectively in new
of LIC Housing Finance. premium income.

LIC picks additional stake LIC holds strong banking linkages

in YES Bank Life Insurance Corp. of India or LIC is ranked as the country's 11th largest in-
surer in terms of loans. It owns significant equity
Life Insurance Corporation of India stakes in Indian banks which makes the Reserve Bank
(LIC), has of India (RBI) nervous, as the banking regulator pon-
picked up an ders the possible systemic implications of these link-
additional 2 ages.
percent
stake in YES The global financial crisis of 2008 led regulations across the world, to pay close
attention to institutions that were seen as "too big to fall". LIC, with assets under
Bank worth Rs.698 crore at current management of about Rs.17 trillion, would arguably fall in that category in the
market prices. LIC picked up 8.3 mil- Indian context.
lion shares of the paid up capital of
YES Bank through open market While RBI has put in place more stringent norms for systemically important banks
transaction over a period of nearly and will start disclosing their names from August, institutions such as LIC which
22 months, the bank reported. span different sectors, fall in a grey area.

The Insurance Times, September 2015 11

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