While the impact of the government’s move to demonetize high denomination currency notes is still being evaluated, the insurance sector seems to have benefitted in the immediate aftermath.
According to the monthly business figures for life insurance companies released by the Insurance Regulatory and Development Authority of India (Irdai), individual single-premiums collected in November—for all the life insurers—was Rs6,692 crore; 507% more than the Rs1,103 crore collected in November 2015. Even on a month-on-month basis, the segment grew 170% from Rs2,481 crore in October.
The total first-year premium (regular plus single premium) has grown 113% year-on-year (y-o-y) and 45%, compared to October 2016.
“The industry on an average was growing at 28% month-on-month. But in the month of November, it grew over 40%, which is quite a pleasant surprise,” said Anoop Pabby, managing director and chief executive officer at DHFL Pramerica Life Insurance Co. Ltd.
