`Private players have not improved insurance sector'

THRISSUR, AUG. 1. The Director and General Manager of the New India Assurance Company (NIAC), A. V. Purushothaman, has said the entry of private players in the insurance sector has not brought in the expected results.

Delivering the keynote address at the function held here to mark the launching of the NIAC's `Corporate agency tie-up' with the Kerala Vyapari Vyavasayi Ekopana Samithi (KVVES) here today, Mr. Purushothaman, said even after the entry of private companies there has not been a significant increase in the penetration of the insurance coverage in the country.

The increase in the premium after the entry of the private companies was only as part of the usual growth of the industry in accordance with the developments in the automobile sector and the changes in the fire insurance coverage norms, he said.

Similarly there were no discernible changes in the services offered by the insurance sector after the opening up of the sector, and no new product or technology has been introduced since then. Barring some cosmetic changes most of the insurance products continue to remain the same even now, Mr. Purushothaman said.

As per the tie-up programme the KVVES will act as the agency for providing the NIAC's insurance coverage for the four-lakh odd members of the Samithi and their family members. The commission obtained by the KVVES will used for launching various welfare schemes for the Samithi members The KVVES members can also act as agents for selling NIAC's insurance policies to the public.

Therambil Ramakrishnan, MLA, the KVVES president, T. Nazirudeen, the general secretary, Alex M. Chacko, the vice-president, M. Jayarakash, and the NIAC officials, K. V. Francis, R. Parthasarathy, and K. P. Sebastian, were among those who spoke on the occasion.

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