After a long period of slowdown in new business premium collection, the life insurance industry has managed to grow its premium collections by 20% in the first quarter of FY 2015-16. The 24 players mopped up Rs.23600 crore in April-June 2015 against Rs 19700 crore in the corresponding period last year, shows the Life Insurance Council’s data.
The growth was largely driven by LIC which alone contributed Rs.16450 crore in industry’s new business premium kitty in April-June 2015 compared to Rs. 14000 crore in the corresponding period last year, a healthy growth of 17%. However, the growth has come on account of increase in sale of group single premium policies. The insurer has witnessed decline in the sale of individual policies.
Private life insurers premium collection growth recorded 26% growth. The 23 players have collected Rs.7140 crore in April-June 2015 against Rs.5700 crore in the corresponding period last year. Among private insurers, ICICI Prudential has mopped up the highest new business premium of Rs. 1220. This was followed by HDFC Standard (Rs.1095 crore) and SBI Life (Rs.1045 crore).