State-owned Bank of Baroda (BoB) on Saturday said that its insurance venture IndiaFirst Life Insurance that became operational four months ago would break-even by 2015.
“We would expect this (IndiaFirst Life Insurance) company to break-even by the next five years,” BoB Chairman and Managing Director M. D. Mallya said after inaugurating Gen Next branch here. Mr. Mallya, who is also the Chairman of the life insurance venture, said the company had mopped up about Rs. 250 crore since it commenced operations in November 2009. IndiaFirst Life Insurance, the 23rd player in the life insurance space, is a three-way joint venture between Bank of Baroda, Andhra Bank and their British partner Legal & General.
Of the Rs. 330-crore equity capital of IndiaFirst, BoB holds 44 per cent, Andhra Bank 30 per cent and the remaining 26 per cent, the maximum permissible FDI limit in the sector, is with the British partner. The insurance products are available at 1,750 branches of BoB and Andhra Bank now. BoB has 3,050 branches, some of which are overseas, while Andhra Bank has 1,544 branches.
