The Hindu Business Line : SBI Life in expansion mode

Coimbatore, Feb. 21 Having got the approval for opening 100 more branches, SBI Life Insurance Company is now eyeing potential growth pockets for establishing its presence.

Its Managing Director and CEO, Mr Uday Sankar Roy, who was in the city on Wednesday to felicitate the 130-plus top agents in this region said the company’s expansion plans were big, both in increasing its branch network and building necessary processes and systems to support the growth. It has 187 full-fledged branches at present and approval for another 100.

Hailing the performance, he said the company managed to wipe out the accumulated losses of Rs 33 crore and post a record profit of Rs 37.74 crore in the just ended quarter.

“Our growth has been consistent. Our total premium collections grew 101 per cent to Rs 2,748.28 crore during the first nine months of 2007-08. We have covered 7.2 million lives and targeting to cross the 10-million mark.”

Stating that both the primary channels – agency and bancassurance – demonstrated high growth levels, he said: “The agency’s contribution to premium collection was higher at 49 per cent compared to the bank’s at 44 per cent. We are consciously tapping the non-SBI customers,” he added.

“The number of MDRT (Million Dollar Round Table) members is on the rise. It has risen from 390 to 1,700 this year and this should improve our position in global ranking,” Mr Roy said.

On the company’s foray into micro-insurance with the pilot launch of ‘Grameen Shakti’ in Orissa for the economically weaker sections, he said, “it has been a huge success. We plan to replicate this in other parts of the country”.

Reverting to the region’s performance, he said the special efforts taken to penetrate into rural pockets “has been an eye-opener. The needs are different. Some looked at insurance as long-term investment, while others opted for children-related products/schemes, very few took the unit-linked scheme route. But the growing literacy levels, improved disposable incomes and better awareness among this populace is obvious. Our products are designed to suit consumer preferences,” he added.

More Stories on : Life Insurance | Outlook

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Rupee recovers on dollar sales

Kotak Life picks Oracle tool

ChrysCapital sells 35 lakh SFTC shares to JP Morgan

SBI Life in expansion mode

Bonds gain on value-buying

SBI adopts Nandigama village

SBT, Franklin Templeton in distribution pact

Syndicate Bank ties up with ECGC

Bank stocks slump

Rate cut impact on credit offtake

Call rates end lower

Corp Bank lifts Rs 300 cr from NPCIL for 9.87%

Centurion Bank scrip surges on merger buzz

No SLR status for Govt bonds issued towards SBI rights issue