LIC policy sales top 1 crore mark

The Life Insurance Corporation of India's (LIC) sale of policies during the lean period has crossed the one-crore mark.

Till November 15, LIC sold 1.05 crore individual traditional policies, mopping up Rs 2,502.83 crore in first premium income.

In addition, its sale of 42,244 individual pension plans showed a staggering growth of over 195 per cent in premium collection to Rs 160 crore. Its aggregate first premium income crossed Rs 2,845 crore, with the sum assured of Rs 78,075 crore.

"Despite the intense competition and rate cuts, our group insurance business has grown by over 100 per cent," LIC chairman S B Mathur said.

The corporation sold 4,806 new group schemes, mopping up a premium income of Rs 1,27,309 crore covering nearly 12 lakh new lives.

Mathur sees the future in the sale of pension, health and unit-linked products. "We have done a lot of spade work in these areas," he said.

LIC recently introduced the option of taking a critical illness rider on all its policies. It is currently working on a unit-linked pension plan on the demand of corporates.

Further, it intends to push the sale of its individual unit-linked plan "" Bima Plus "" on the back of popularity of the same as seen in the private sector.

"We are currently slightly under-target, but are optimistic that, in the coming months, we will well be able to achieve the targeted growth rates," said Mathur. The corporation has targeted a 25 per cent growth in sum assured to Rs 2,26,500 crore for fiscal 2004.