The domestic life insurance industry registered 22.55% growth for new business premium in financial year 2015-16, largely due to the high growth in the group single premium policy. While private insurers saw their growth at 17.63%, state- run Life Insurance Corporation of India (LIC) registered higher growth at 24.74% in last financial year.
According to the latest data by the Life Insurance Council, life insurance industry saw new business premium at`1.38 lakh crore in FY16, as against `1.13 lakh crore in the previous financial year. Private insurers saw new business premium at `40,983 crore in the last fiscal, as against `34,840 crore in the previous financial year.
Industry officials added that, though life industry has seen growth of 22.55%, bulk of this growth has come from selling group insurance policies. “The industry has seen positive growth; yet growth from business from individual single premium and individual non-single premiums has been very ordinary. It seems the industry needs to work more hard in this financial year, to make the business more profitable,” said a CEO of a top fund house.
