Reliance Life doubles new business premia in first quarter

Indo Asian News Service

Chennai, July 10 (IANS) Doubling its fresh premium income, the Reliance Life Insurance Company closed the first quarter of the current fiscal with a total premium income of Rs.914 crore up from Rs.815 crore logged during the comparable period of the previous year.

The company, an associate of Reliance Capital, also made its re-entry into the top five life insurers club in the first quarter.

The company, in a statement Wednesday, said it had registered "100 percent increase in its new business premium at Rs.514 crore during Q1 FY14 (first quarter of 2013-14) compared to Rs.251 crore in the corresponding quarter of the last fiscal".

Within the new business premium, Reliance Life logged 48 percent growth in the individual segment at Rs.267 crore up from Rs.181 crore earned during the first quarter of previous year.

"Reliance Life Insurance has topped the list amongst Non-Bank promoted private life insurers in total new business premium during the first quarter. We are now amongst the top five private life insurers in the country, and hope to further improve our market share in coming quarters," the statement quoted CEO Anup Rau as saying.

According to Rau, the company would continue its focus on traditional products and agent productivity.

"Our product portfolio has undergone a significant and profitable change, with 80 percent of business now coming from traditional products, and only 20 percent from unit-linked products," he added.

During the period under review, Reliance Life's average premium per policy (APPP) went up by over 40 percent to touch Rs.20,000. Agent productivity also improved by 50 percent during the first quarter.

Reliance Life closed last year with a total premium income of Rs.4,015 crore selling over 750,000 policies.