Max New York Life is increasing its authorised share capital from Rs 200 crore to Rs 300 crore. Total sum assured in Max New York Life in the last eight months has exceeded Rs 1000 crore.
Max India seeks to invest an additional Rs 74 crore and New York Life Rs 26 crore in Max New York Life.
"We would pay 50 per cent of this in the first quarter of 2002 and the rest in the next fiscal. This is mainly to infuse capital as our business goes forward. As of now the authorised paid-up capital is Rs 200 crore," chairman of New York Life Insurance, Analjit Singh, said at a press conference.
Commenting on the impact of terrorist attack on September 11 on New York Life, the company's chairman and chief executive officer, Gary Benanav, said: "We paid around $30 million to the families of the victims. However, this year sales are up by 20 per cent in the US. Another trend visible is that customers are calling and enquiring about our products rather than we approaching them."
The company has identified individual agents as its primary channel of distribution. It currently has over 1,600 agent advisors. "We invest significantly in our training programme and against the stipulated 100 hours, we have a 150-hour programme. Apart from this, the training continues for 500 hours through out two years. The pass rate of our agents in Irda examinations is 98.7 per cent while the industry average is 77 per cent," Singh said.
"We understand the long-term commitment a life insurance business requires. Our vision is to become one of the top three new life insurance companies in the country and our investments are commensurate with this," Analjit Singh said.
Max New York Life is a partnership between Max India and New York Life International, a fully owned subsidiary of New York Life, a Fortune 100 company. New York Life is over hundred years old and has assets worth $165 billion. Max New York Life has introduced five life insurance products and seven options that can be customised to over 200 combinations.