Individual annual premium equivalent (APE), a measure used to calculate sales by insurance companies, of private life insurers was down 1% in November compared to the same period last year, according to a report titled Insurance: Facing the Heat by Kotak Institutional Equities. However, the past three months recorded a 17-19% growth in the sector.
APE is estimated by taking into account the annualised regular premium plus 10% of the first single premium offered in a given period, including top-up premiums. It is a method used to calculate the business of a company when its sales contains both single and regular premium products.
