Private insurer, Reliance Life Insurance has recorded a 56% surge in its new business premium income in the first nine months of this fiscal and expects further growth in the current quarter.
Helped by a significant increase in individual insurance segment, Reliance Life saw its new business premium collection rising to Rs 1,424 crores during April-December 2013 from Rs 911 crores in the year ago period.
The total income, comprising new business premium and renewal premium collection, grew by 10% to Rs 2,976 crores during April-December 2013.
Challenging market conditions notwithstanding, we have registered a robust growth in new business premium income during April-December 2013, the company said. It also said that it aims to drive growth further with a focus on traditional products, agent productivity and improved quality of business, which is reflected by the way of increased average ticket size.
The average ticket size of the company improved by 33.3% year-on-year to over Rs 20,000. Its profit for April-December 2013 stood at Rs 219 crores; up from Rs 90 crores in the same period of last fiscal.
The renewal income of the company fell to Rs 1,552 crores during April-December 2013 from Rs 1,854 crores in the corresponding period of last fiscal. To enhance renewals, Reliance Life is taking several initiatives ranging from incentive programme to overall process re-engineering.
The company’s total funds under management stood at Rs 18,073 crores as on December 31, 2013.
Reliance Life is a part of Anil Ambani-led Reliance group’s financial services arm Reliance Capital.