Birla Sun Life Insurance Co Ltd, a joint venture between the Aditya Birla group and Sun Life Assurance Co of Canada, has targeted 30,000 policies in its first full year of operation.
The number of policies sold is expected to grow at 20 per cent per annum and the company hopes to break even six years from now, informed S K Mitra, director of the group's financial services.
The company is expanding its network and Kolkata is its next destination after Mumbai and Chennai. Bangalore, Hyderabad and the other metros will be taken up in its second phase of expansion. Birla Sun has recruited 500 agents, though they will be called advisors under the new rules. This number is slated to grow to a huge 5000 in the next three years.
The company has also tied up with Citibank and Deutsch Bank and is using Grindlays Bank's corporate clientele for marketing its products.
The insurance JV is also planning to sell group insurance products to the one lakh strong employees base of the Birla group of companies. "We have already filed for group insurance policy with the Insurance Regulatory and Development Authority (IRDA)," Mitra said.
The company has also filed for credit protection policy and a single premium policy. It has firmed up plans to launch as many as four variants of its group insurance products including group term plans, savings linked insurance, gratuity and superanuation, and pension plans. With an Internet portal already in place the company hopes to sell its group insurance products through the site.
Meanwhile, Birla Sun has identified villages adjacent to Renukoot, the location of the group's aluminium plant, for selling policies to rural population.
The equity base of the company at present is Rs 120 crore and this will be enhanced to Rs 250 crore. "We will enhance the equity base of the company as and when required," said Mitra.
