Star Union Dai-Ichi Life Insurance Company Limited, a joint venture life insurance company promoted by Bank of India, Union Bank of India and Dai-Ichi Mutual Life Insurance Company, Japan, is planning to infuse Rs 100 crore capital to support its expansion plan and meet the target of Rs 500 crore premium in 2009-10.
Speaking to reporters after launching the company’s regional office in Chennai, M Balachandran, chairman, Star Union Dai-Ichi Life Insurance, said the additional capital of Rs 100 crore would take up the total capital of the company to Rs 250 crore. The Chennai office would cater to the four southern states.
The life insurer, which commenced operations in February 2009, has so far collected Rs 21 crore premium by selling 7,000 policies, said K Sahay, chief executive officer, Star Union Dai-Ichi Life Insurance Company.
The company is currently selling three products and has filed for two more with the Insurance Regulatory and Development Authority. These are pension and Ulip child policies.
At present, the insurer is selling through the bancassurance channel and in the next six months will look at alternative channels including direct agents. The company plans to recruit 2,000 agents next year.
For now, Sahay said, the company would target 50 million bank customers of the two promoters, Bank of India and Union Bank of India, across the country.
Apart from the Mumbai and Chennai offices, the company plans to set up 20 more regional offices in different states. These offices would become functional by the end of 2009-10.