Financial Daily from THE HINDU group of publications
Thursday, Mar 09, 2006
Financial Daily from THE HINDU group of publications Thursday, Mar 09, 2006 |
|
|
|
|
|
|
|
Money & Banking
-
Life Insurance Marketing - Rural Marketing Bajaj Allianz to go rural Our Bureau
MR SAM GHOSH
Kolkata , March 8 Bajaj Allianz Life Insurance Co has proposed to focus more on the rural market in an effort to shore up its business volumes. The company, which believes that the rural economy will provide it with considerable growth opportunities in the days ahead, plans to start with a product characterised by lower sum assured. Based on what this achieves, other products will be devised subsequently. Bajaj Allianz, which has recently emerged as the top private-sector insurer with four-times increase in new business, has also decided to come up with a micro insurance product in line with IRDA's initiatives in this area, Mr Sam Ghosh, CEO, told newspersons, adding that this too will be essentially aimed at the non-urban market. The company feels the need to create relatively simpler products for the rural segment. "We hope to give customers with what they actually require," Mr Ghosh said while referring to the existing product portfolio comprising about 25 offerings. Bajaj Allianz, which has reported a Rs 1,680-crore new business for the April 2005-January 2006 period, has proposed to ramp up its distribution initiatives even further. This may require more tie-ups with banks, it is pointed out. Bancassurance, incidentally, accounts for well over 20 per cent of its overall business.
Valuation standard
Bajaj Allianz is of the view that there is no uniform valuation standard in the country, an issue that assumes importance in the context of the need to work out the aggregate value of an insurance company's enterprise. "As things stand each company probably follows its own valuation policy. There are several ways in which such valuation can be done," Mr Ghosh said in reply to a question on the Indian promoter's holding in the insurance venture. Allianz, the minority overseas partner, may increase its holding to 49 per cent once this is allowed, it is informed. Meanwhile, the company is readying for a minimum Rs 100-crore capital infusion.
More Stories on : Life Insurance | Rural Marketing
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2006, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|