India’s life insurance
industry has got off to a weak start in the first quarter of its
2011-2012 fiscal year, reports the Insurance Regulatory and
Development Authority (IRDA).
According to the regulator
total first-year premium income in the three months to 30 June came
in at INR182.83bn ($4.1bn), down 28.4% from the INR255.22bn
recorded in the same quarter in 2010-2011.
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India’s largest life insurer,
state-owned Life Insurance Corporation, led the slump with its new
premium income falling by 28.8% compared with the three months to
June 2010 to INR13.34bn.
Private life insurers were
not far behind, with their total new premium income sliding 27.1%
to INR4.94bn.
The slump in new life premium
income followed what was, by India’s standards, a weak growth
performance in the fiscal year ended 31 March 2011.
According to the IRDA,
premium income during the year totalled INR1.258trn, up 15.1% on
the previous year, the lowest increase since 2002 when a fall of
14% was recorded.
India’s general insurers
fared well in the first quarter of 2011-2012, lifting premium
income by 22.4% to INR14.04bn.
Private general insurers set the pace with a 27.4% in
premiums to INR6.02bn.
