Covid-19 to hurt insurance industry's new biz premium in FY21: IDBI Federal

IDBI Federal said the growth in individual new business segment among private players was higher than overall growth consecutively for past three years

IDBI Federal Life Insurance expects significant impact of coronavirus pandemic on life insurance industry in the current fiscal, as erosion in disposable income and possible delay in people's financial decisions will hurt the new business premium.

The life insurance industry had a growth in most part of 2019-20 till the Covid-19 pandemic struck in March 2020, it said in its annual report. By the end of FY20, the life insurance industry had witnessed a growth of 3.9 per cent (6.5 per cent growth in FY19) in individual new business and 34.5 per cent (14.9 per cent FY19) in group new business,