BUSINESS

Ernakulam division of LIC ranks third in India



Staff Reporter

`Stands first in premium income, new policies and sum assured in south zone'

52.36 per cent growth in new policiesFirst premium income is Rs. 377.89 croresTarget for the current year is 5.64 lakh policies

KOCHI: Ernakulam division of the Life Insurance Corporation (LIC) of India has got the top position among the 12 divisions of the south zone in first premium income, number of new policies and sum assured as on March 31.

The unit has been ranked third among the 100 divisions in the country, according to J. Anil Kumar, Senior Divisional Manager.

At a press conference here on Thursday, Mr. Anil Kumar said the division had 4,91,290 new policies, registering a growth of 52.36 per cent.

The division had received a total first premium income of Rs. 377.89 crores. As much as 59.73 per cent, or Rs. 225.73 crores, of the premium account came from a unit-linked plan, Future Plus.

With 39,049 policies and sum assured amounting to Rs. 364 crores, the Ottapalam branch of the corporation stood first in both in the south zone. The Muvattupuzha branch won the top rank in first premium income by receiving Rs. 34 crores.

In settlement of claims, the division settled 1,26,676 survival benefits, estimated at Rs. 152.22 crores, and 42,835 maturity claims, valued at Rs. 163.96 crores, during the financial year 2005-06.

Death claim settlement amounted to Rs. 26.38 crores in 3,650 policies. Outstanding claims were nil, Mr. Anil Kumar said.

During the current year, the division settled survival benefits and maturity claims estimated at Rs. 30.42 crores in 13,450 policies as on May 31, 2006. Death claim settlement amounted to Rs. 3.1 crores in 407 policies up to May 31, 2006. The total income of the division as on March 31, 2006 was Rs. 1,193.71 crores with a premium collection of Rs. 1,157.19 crores.

In pension and group scheme, the division collected Rs. 43 crores as annuity funds in 6,095 policies.

The division had 210 schemes covering 23,584 lives for a premium of Rs. 62 crores. Under a social security scheme, Janashree Beema Yojana, the division covered 15,365 lives and collected Rs. 12.96 lakhs as first premium.

The new business target set for the division for the current year is 5.64-lakh policies and Rs. 510 crores of first premium income.

The division collected over Rs. 100 crores of first premium through Future Plus as on May 31, 2006. This plan would be available in the market in the current form only up to June 31, Mr. Anil Kumar said.