LIC to open 4 satellite branches in Vizag

Life Insurance Corporation of India will open four 'satellite sampark branches' in the Visakhapatnam division during the next fiscal to increase the sale of insurance policies by about 28,000.

"We had proposed seven satellite branches in rural areas to get new business but the corporation sanctioned only four branches. These branches will be operational from next fiscal," S Behera, senior divisional manager, LIC Vizag division, told Business Standard.

Currently, the division has 20 branches in three coastal districts --Visakhapatnam, Vizianagaram and Srikakulam.

The proposed satellite branches will come up in Sompet, Bobbili, Amudalavalasa and Palakonda. "Each satellite branch will have a premium collection target of Rs 5 crore annually and a target to sell 5,000-7,000 new policies per year," Behera said.

The insurance behemoth expects around 25,000 new policies from these proposed satellite branches next fiscal.

This year, LIC is targeting Rs 139 crore as first premium by selling 3.89 lakh new policies.

"Up to February 15, we sold 2.26 lakh policies and collected Rs 84 crore as first premium. We hope to collect Rs 139 crore as first premium by the end of March 2006," he said.