Mumbai, Feb 13 (PTI) Total premium collected by thelife insurance industry increased 13 per cent to Rs 1,86,285crore in the calender year 2010 from from Rs 1,64,399 crore inthe previous year.
The growth comes in the backdrop of significantregulatory changes made in product profile of ULIPs (unit-linked insurance products) in 2010, which was also a year inwhich a few private life insurers completed a decade of theirexistence, the Life Insurance Council said in a statement.
As per data released by the Council, the apex industrybody of all life insurance companies in India, it is apparentthat companies continue to trim cost.
The number of direct employees has reduced from2,67,819 to 2,49,635 YoY, a drop of 18,184. The number ofagents has also dipped by 2,73,984 to 27,10,301 from29,84,285. Life Insurance Corporation, the only state-ownedlife insurer, has also reduced its agent strength by 62,956.
"The life insurance industry is evolving post-reformative initiatives by the IRDA (insurance regulator)and the companies are now focusing on quality growth,"Life Insurance Council''s Secretary General S B Mathur.
The new business premium of life companies has grownby 28 per cent YoY to Rs 86,854 crore till December 31, 2010,as compared to Rs 67,604 crore last year.
However, this increase is attributed to the fact thatthe industry saw a huge surge in collection of new businesspremium before the new ULIP regulations came into force fromSeptember 1, 2010, the Council said. .