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Life insurance is a product that’s sold and not bought. At least that’s what the insurance industry believes and therefore banks on its army of agents to convince you to buy life insurance. For this, the agent gets a cut from the premium that you pay. So, every time you cut a premium cheque, the agent makes money too. In other words, agents are entitled to a commission not just on selling a policy, but also when you pay renewal premiums. Renewal commissions are given as an incentive to keep the agent’s skin in the game so that he remains motivated to service your policy. You would think that this steady pipeline of commission stops when the agent leaves you, right? Wrong. The agents can get commissions even after they stop servicing your insurance policy. Till 2015, this was the law, but the Insurance Laws Amendment Act, 2015, repealed the law and subsequently the decision moved to the board of insurance companies. Read on to understand the old rules and how they have changed now, and

New Delhi: ICICI Prudential Life Insurance Co. Ltd has agreed to take over the life insurance business of Sahara India Life Insurance Co. Ltd, which was effectively wound up by the regulator last month. “ICICI Prudential Life has agreed to take over the policyholders’ liabilities of Sahara Life and has already commenced valuing the liabilities of the policyholders and earmarking the matching assets of Sahara Life,” said Nilesh Sathe, member, life, at the Insurance Regulatory and Development Authority of India (Irdai). “They will transfer on their books policyholders’ liabilities and corresponding assets. We have given them three weeks to submit the valuation report, which will be reviewed by us for approval,” Sathe added. ICICI Prudential declined to comment. The administration of Sahara India Life, a subsidiary of Sahara Group, was taken over by Irdai on 12 June. On 23 June, Irdai asked the company to stop issuing new policies, the first time in its 18-year history that the regulator

Future Generali India Life Insurance Company Limited (FGILI) ha s announced the launch of yet another product in its portfolio of simple to understand and easy to buy products – Future Generali Big Income Multiplier Plan. It is a simple, non-linked, non-participating plan with guaranteed returns which increase over the payout period. In this product, one can start investing with a minimum premium of Rs 18,000 annually or Rs. 1,500 per month for a fixed period of 12 years. Customers would enjoy an insurance cover till the 14 th year after which the payout period commences. Payouts of 1.5x, 2x and 2.5x over 3 evenly distributed blocks of 4 years each are made to customers over a total period of 12 years . The total benfit paid to customers is two times the total premiums paid under the policy. Eligibility Premium Frequency Annual Monthly Entry Age (as on last birthday) Minimum: 4 years Maximum: 50 years Maturity Age Minimum: 18 years Maximum: 64 years Premium payable Minimum: Rs.18,0

Life Insurance Corporation (LIC), the biggest equity investor in India, is staying away from the stock markets at a time when the markets are almost hitting life-time high. The insurer, a dominant player in the market, pruned its investments 38% to Rs 39,705 crore for the nine month period ended December 31, 2016, against Rs 64,000 crore last year. It sold Rs 38,000 crore worth of equities during the period. V K Sharma, chairman and managing director, LIC said, “We have deliberately taken this decision because of the way the markets are moving, LIC is a contrarian player in the market.” He said equity usually forms 12% of the total investible assets. LIC said its equity market investments will remain subdued but may hit a level of Rs 50,000 crore by the end of the financial year. During this period the corporation also invested about Rs 1.98 lakh crore into the debt market, bulk of which — Rs1.83 lakh crore – was into the government bonds The state-owned insurer reported a 78% rise in

Mumbai: The proposal to create India’s largest private sector insurance company has run into hurdle as the Insurance Regulator and Development Authority of India (IRDAI) has opposed the merger of Max Financial Services Ltd and HDFC Standard Life Insurance Company Ltd. (HDFC Life), as per a disclosure made by Max on BSE on Saturday morning. “An application was filed by MLIC (read Max) and HDFC Life seeking the in-principle approval of IRDAI for the above-mentioned scheme on 21 September 2016. IRDAI has expressed reservations to accept the scheme of amalgamation in its current form,” said Max on BSE. The boards of HDFC Life and Max in August had signed a three way merger, which would create India’s largest private-sector insurer with total assets more than Rs1.1 trillion and lead to the eventual listing of HDFC Life on stock exchanges. Post the merger Housing Development Finance Corp. Ltd (HDFC) and Standard Life (Mauritius Holdings) 2006 Ltd will be the promoters of the merged entity.

Bangalore, Karnataka, India Key features: Comprehensive cover for Heart and Cancer related conditions First fixed benefit plan to cover heart related conditions Double Claim Benefit: Claim in addition to any existing health insurance Premium Funding Benefit for 5 years under moderate conditions Tax Benefits on premiums under Section 80D of Income Tax Act, 1961 Exide Life Insurance, an established and profitable Life Insurance Company, today announced the launch of Exide Life Sanjeevani. Exide Life Sanjeevani is first fixed benefit health insurance solution by a life insurance company offering comprehensive coverage against all prevalent Heart and Cancer related conditions. Heart and Cancer related conditions are very common. While advancement of health care has increased the chances of survival from these critical illnesses, the extremely high cost of treatment can be a huge cost. That’s where Exide Life Sanjeevani steps in to help you be prepared financially. The plan is distinct

New Delhi, Oct 3:   Reliance Nippon Life Insurance has a new Chief Executive Officer (CEO) in Ashish Vohra. Vohra joins Reliance Nippon Life Insurance from Max Life Insurance where he spent 8 years and served as Senior Director and Chief Distribution Officer. Vohra, a mechanical engineer from IIT BHU and an MBA from IIM Bangalore, brings with him over 25-years of experience from working with various companies including Max Life Insurance, Fullerton India Credit, Citibank and Eicher Motors. Commenting on the appointment, Sam Ghosh, Executive Director and Group CEO, Reliance Capital, said that the Board is delighted to appoint Ashish Vohra as the new CEO of Reliance Nippon Life Insurance. “We believe under his leadership, Reliance Nippon Life Insurance will accelerate its pace of growth and profitability and rank among the top three insurance companies in next few years,” Ghosh said.

Bangalore, Karnataka, India Mahendra Singh Dhoni (“Dhoni”) will feature in a marketing campaign of Exide Life Insurance based on the theme “Lamba saath, bharose ki baat.” (Long term relationships build trust) The campaign reinforces the fact that one should buy life insurance for the long term Exide Life Insurance, today announced Mahendra Singh Dhoni(“Dhoni”) as its brand ambassador. Dhoni, who represents the aspirations of millions, has a strong mass appeal and followership compared to any other sporting icon in India. Dhoni is the perfect brand ambassador for Exide life Insurance as he embodies the values of Exide life Insurance. He is Dependable, Dynamic, Responsive and Foresighted.   “Dhoni represents a unique blend of skill, commitment and stability which are all personality traits that are relevant to the life insurance category” stated, Mohit Goel, Director-Marketing, Exide Life Insurance. “As a life insurance company, we believe that long term relationships build trust, a

HDFC Standard Life Insurance on Friday said it has agreed with Max Financial Services and subsidiary Max Life Insurance to open exclusive merger talks , as the trio target an increased share of domestic insurance market. Shares of Max Financial Services and HDFC rallied sharply today . Bhavik Hathi of A&M India told NDTV Profit than the deal shows the path that the insurance industry is going to take ahead. Max Life would be able to gain access to HDFC’s bancassurance network, he added. Bancassurance enables insurance companies to sell their products to the bank’s client base. “There is clear wave of consolidation happening. We have seen HDFC doing something similar on the general insurance side as well,” he said. HDFC’s general insurance arm HDFC Ergo earlier this month agreed to buy L&T General Insurance in an all-cash deal for Rs 551 crore. Analysts said Max Life’s and HDFC Standard Life’s businesses were complementary, which may be one reason why the two companies have dec

Mumbai : Life Insurance Corporation (LIC) has had a good run in the Gulf countries with its Bahrain-based arm, LIC International, that manages the GCC markets becoming the best among its eight international subsidiaries in terms of new business premium collection in 2015. Bahrain-headquartered LIC International is present in five Gulf Cooperation Council (GCC) countries of Bahrain, Dubai, Kuwait, Oman and Qatar. This subsidiary has contributed over 80 per cent of the corporation’s total overseas business in terms of new business in 2015. The corporation also has eight overseas subsidiaries – Britain, Fiji, Mauritius, Bahrain, Nepal, Sri Lanka, Kenya and Saudi Arabia. “New business premium of LIC International grew by a whopping 197 per cent at $121 million in 2015,” chief executive and managing director of LIC International Rajesh Kandwal told  PTI. “We sold 13,120 policies in 2015, which is a growth of over 16 per cent over previous year. In terms of the number of policies, we enjoy

The District Consumer Disputes Redressal Forum-III here directed Max Bupa Health Insurance Company Limited to return Rs.1,15,353 along with a compensation of Rs.50,000 to a customer for deficiency in service. The order based on a complaint from Syed Tajuddin Khandri, a resident of Gandhi Nagar, who wrote to the forum that the insurance company had refused the ‘cashless treatment’ facility for his wife in spite of having a valid policy effective from January 17, 2013, which was valid for a year. His spouse, Syed Khazima, was admitted for surgery at Aditya Hospital at Boggulkunta on November 27, 2013. Mr. Khadri in his petition wrote that in spite of raising a request to solve the matter in March 2015 by writing a letter to the company, the matter was not resolved. In its response, the Max Bupra Health Insurance Company Limited alleged that Ms. Khazima’s weight was ‘misrepresented’ as 73 kilograms when the policy was taken, whereas her weight was over 100 kg for the last three to four

Mumbai: In one of its biggest mid-level changes, Life Insurance Corporation (LIC) has shifted a majority of its 40 executive directors (EDs), apart from elevating 10 general managers as EDs. There are likely to be two more senior appointments at the state-run insurer as one of its three managing directors, SB Mainak, retired in February, while it has sought government permission to have a fourth MD, a decision on which is awaited. Mainak was looking after the investments vertical. One round of interviews for the MD’s post has already been conducted. Considering this, the company has retained two of its senior EDs — Sunita Sharma, chief executive and managing director of LICHFL, and Saroj Dikhale, CEO of LIC Nomura MF — in their existing positions. Company sources said the transfers were effected this Monday and the personnel will have to assume charge in May. Sharma, who is among the front-runners for the post of the third MD, will be completing her three-year tenure at LICHFL in Nove

New Delhi, Delhi, India Max Life Insurance, one of India’s leading non-bank promoted private life insurers, a joint venture between Max Financial Services Ltd and Mitsui Sumitomo Insurance Co. Ltd, has been conferred with the prestigious Outlook Money Award 2015 in the category ‘Life Insurance Provider of the Year’. The award was given by Mr. N K Singh, Former Parliamentarian and Senior Bureaucrat, at a function held in Mumbai on 1st April 2016. The Outlook Money Awards are given to the best providers of financial products and services in the Country. The Award is given basis a comprehensive set of measures including business performance, customer satisfaction parameters and corporate governance. Acknowledging the Award, Mr. Rajesh Sud – Executive Vice Chairman and Managing Director, Max Life Insurance, said, “We are delighted and extremely proud to be conferred with the Outlook Money Award 2015 in the category ‘Life Insurance Provider of the Year. In our 15 year journey, we have foc

India’s one of its kind Educational Program that prepares children on ‘Money and Savings’ Bangalore: IndiaExide Life Insurance Junior Finance Guru launched in Bangalore and Jaipur. Will be launched in 20 cities later in the year 2016.Specially designed study material will help students learn basic elements of money and savingsStudents get to compete amongst leading schools at City Level for the “Junior Finance Guru” titleRegistrations for the program are free and are currently open till 10th January 2016 – Visit juniorfinanceguru.com to register your child / students for the program today ?Exide Life Insurance, an established and profitable life insurance company announced launch of ‘Junior Finance Guru’. Being India’s one of its kind program, Junior Finance Guru emphasizes the importance of laying a strong foundation for children by familiarizing them on importance of good saving habits thereby helping them making an early start. The program in its initial phase will focus on childre