Om Kotak Life Declares 7.5% Bonus For Fy03

Company targetting niche consumer base

OM Kotak Mahindra Life Insurance Company has declared a bonus of 7.5 per cent to policyholders for the financial year ended March 2003.

While this is higher than the declared reversionary bonus of other private sector counterparts, OM Kotak is paying the bonus on the accumulated fund, which is premium collected minus a portion of the expenses.

Other players who declared about three per cent bonus paid this on the sum assured.

OM Kotak mopped up Rs 40.32 crore in premium income during the fiscal, selling policies for a total sum assured of Rs 932 crore.

 

The company reported a four times growth in its performance compared with the premium collection of Rs 7.65 crore last year.

The company boasts of an average policy size of Rs 2.5 lakh, which is three times the industry average.

Shivaji Dam, MD, OM Kotak told Business Standard: