Life insurance industry aims 20% growth in FY09

The Indian life insurance industry, which grew by 16 per cent in the nine months ended December 2008, is expecting to grow at 20 per cent by FY09.

The industry collected a total premium of Rs 1,31,400 crore till December 31, 2008, as compared to Rs 1,13,000 crore in the year-ago period, the Life Insurance Council said.

"The Indian life insurance industry has recorded a robust growth of more than 16 per cent for the nine-month period ended December 31, 2008, with a total premium (new business plus renewal) of Rs 1,31,400 crore compared to Rs 1,13,000 crore in the same period last year," it said.

"We continue to be optimistic about the future of the insurance business in India and expect the industry to grow at 20 per cent," the industry body's Secretary General S B Mathur said, adding, in 2007-08 too the industry grew by 20 per cent.

"The non-linked premiums from single premium policies doubled to Rs 10,000 crore in the nine-month period ended December 31, from Rs 4,900 crore in the same period last year," the Council said.

During the period, the industry witnessed a growth of 216 per cent in renewal premiums for regular unit linked insurance plan (ULIPs) at Rs 26,600 crore as against Rs 8,400 crore in the corresponding period last year, the Council said.