Kotak Life eyes Rs 175 cr new premium

Private life insurance player Kotak Life is targeting a first premium income of Rs 175 crore in 2006-07 as it plans to expand its branch network and also use the expansion plan of Kotak Bank to widen its network.

Kotak Mahindra Old Mutual Life Insurance managing director Gaurang Shah told media person after inaugurating the company's second office that the branch expansion undertaken for the current year involves 24 more locations being made operational. "We are planning 24 new branches across the country," Shah said.

Shah also said the company's presence will be further enhanced with the expansion plans of Kotak Bank. "The bank, which distributes Kotak Life products, is opening 115 new branches in the country which will take us to 71 more cities," Shah said.

We want to be in the 40 top towns in the country, of which eight towns will have multiple branches, he said, adding that Maharashtra was an important state for the company's business..

Shah said the company was targeting Rs 175 crore new premium income this year out of which Rs 20 crore was expected from Maharashtra, including Mumbai, he said. Kotak Life has achieved a 100 per cent growth in 2005-06 in the first year premium at Rs 349 crore from Rs 174 crore in 2004-05.

Shah said the company plans to introduce a children's plan and a retirement benefit plan under the new unit linked life policies structure being implemented from next month.