| Abstrakt: |
The liberalisation of the Indian insurance markets in 2000 has led to the entry of the largest insurance companies in the world, who have taken a strategic view on India being one of the top priority emerging markets (KPMGS 2013'). The life insurance industry ij expected to exhibit a 12-15% compounded annual growth rate (CAGR) in FY 2015-16 (ICRA Research Services, 2016ii). Our paper aims to identify major changes in the new business premiums, in particular, the composition of Individual and Group premiums across the Indian life insurance industry. For individual premiums, the paper also provides an insight into some related important aspects, e.g. movement of'Average premium per policy'and 'Persistency rates'over the pastfew years. For the purpose of our analyses, we obtained data of'New business premium ' and 'Number of policies 'from Insurance Regulatory and Development Authority of India (IRDA) for the Financial Year (FY) 2010-11 to FY 2015-16 and for the half-year ended September 30, 2016. One of (he major highlights of our paper is to appreciate the increasing proportion of Group premiums over the recent historical period, and to identify the important drivers that may have been responsible for this trend. We also state some plausible drivers likely to reinforce this trend in thefuture. The paper does not address other important issues like detailedprofitability analysis of'Individual premium'products as compared with 'Group premium' products. Although not technical in nature, this paper attempts to appreciate the growing importance of Group premium as a segment, and the important role it will play in the Indian life insurance industry in the years to come. [ABSTRACT FROM AUTHOR] |
