The Hindu Business Line : LIC leads; others way behind

THE public sector giant, Life Insurance Corporation of India (LIC), has retained its leadership position in the life insurance market during the first eleven-month period of 2002-03 ended February, far ahead of the combined performance of all the 12 private sector players.

LIC's performance was unparalleled vis-à-vis the private players in all the segments such as total premium underwritten by them under individual business, premium under individual new business, single premium new business and individual pension business, premium under rural sector, group business, group gratuity business and group superannuation business.

While premium collections of LIC under various categories were compiled and made public by the Insurance Regulatory and Development Authority (IRDA), the figures of individual private sector players were, however, not disclosed at the request of the latter, IRDA sources told Business Line.

Under the individual new business segment, all private players together have underwritten 4,99,704 policies collecting a premium of Rs 364.59 crore for a sum assured of Rs 12,676.43 crore.

As against this, LIC underwrote as many as 1,69,35,090 policies under a host of products collecting a premium of Rs 4,049.20 crore and a sum assured of Rs 1,14,136.15 crore.

Under the single premium new business segment, private players could sell only 44,676 policies garnering a premium of Rs 258.05 crore with a sum assured of Rs 387.02 crore. As against this, LIC underwrote 2,79,962 policies collecting a premium of Rs 2,442.32 crore and a sum assured of Rs 3,047.47 crore.

While LIC underwrote 1,14,709 policies under individual pension business collecting a premium of Rs 175.61 crore, all the private players put together could underwrite only 68,427 policies with a premium collection of Rs 79.11 crore.

Even in the individual rural business, LIC was far ahead of private sector. While LIC underwrote 35,94,554 policies with a premium collection of Rs 611.01 crore, private players could underwrite only 34,501 policies for a premium of Rs 4.07 crore. As against 25,136 policies sold by the private sector under single premium rural business for a premium of Rs 1.01 crore, LIC underwrote 12,648 policies for a premium of Rs 72.31 crore.

While LIC underwrote 3,492 individual pension policies in the rural sector for a premium of Rs 4.65 crore, the private players could underwrite only 640 policies with a premium of Rs 95.48 lakh.

The performance of LIC against private players was interesting to note in the group insurance business as well.

While the latter offered 361 schemes under this segment and collected a total premium of Rs 27.53 crore, LIC through two of its schemes, term and group savings linked insurance, could mobilise Rs 26.08 crore.

While the private sector collected a total premium of Rs 10.4 crore under group gratuity business, LIC garnered a premium of Rs 247.06 crore under this segment.

Offering as many as 10 different schemes under group superannuation business, the private sector collected a premium of Rs 5.9 crore during the period under review. As against this, LIC with three of its products mobilised a premium of Rs 775.27 crore.

Under the group social sector business, LIC reported a premium collection of Rs 5.89 crore compared to Rs 12.81 lakh by all the private sector players put together.

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