Life insurance industry to grow at healthy 18%

Our Bureau,Kolkata, June 16

The life insurance industry is expected to grow at a healthy 18 per cent rate in 2010-11, even as the sector is “stirred” by the gush of regulatory changes following the face-off between the Security and Exchange Board of India and the Insurance Regulatory Authority of India, Mr S.B. Mathur, said .

“But there was also need for changes in the sector,” he added.

The industry's total premium income was expected to be steady at around last year's 18-per-cent growth rate to reach anywhere between Rs 2,95,000 crore and Rs 3,05,000 crore in the current fiscal, he said. “We expect the industry to grow at 15 to 20 per cent rate this year,” Mr Rajit Mehta, Executive Director and Chief Operating Officer, Max New York Life, said. The mix between ULIP and traditional policies in private companies was also expected to shift from the 85:15 level to 70:30 this year, he added.