Insurance premiums on term plans, endowment and ULIPs are likely to fall once IRDA approves the new mortality table
Mumbai: Life insurance premiums for young people and in the age group of 50-60 years of age will see a fall as IRDA is likely to give its go ahead for the new mortality table, reports Financial Chronicle.
The reduction in premiums will be on products like term plans, ULIPs and endowment plans. The fall could be in the range of 10 to 15 per cent.
Life insurers currently use LIC’s 1994-96 mortality table which provides mortality rate per thousand.
The new table is said to have been prepared by Mortality and Morbidity Investigating Centre, the newspaper said. The new mortality table shows higher life expectancy.