The Hindu Business Line : Indian insurance executives go global

Mumbai March 25 For Mr Binayak Dutta, accepting the offer to be CEO of Prudential Assurance in Vietnam was all about `getting out of the comfort zone'. Thirty-four year old Mr Dutta is currently Chief of Sales and Distribution at ICICI Prudential.

His career move represents an emerging trend of Indians being picked for top positions in insurance companies in other developing markets.

"Indian managers are in demand because they are able to handle large volumes. For ICICI Prudential, I handle 2,20,000 agents and 35-lakh policies," said Mr Dutta. "Vietnam's GDP is growing at 7.5 -8 per cent and I see it as good experience," he added.

Global Arena

Mr Ajay Singh, CEO, Allianz Russia (former Head-Sales, Bajaj Allianz, India) may have been slightly sceptical when he first received the offer to look after Allianz's operations in Russia and the CIS (Commonwealth of Independent States) last year.

But a quick survey of the market helped him make his decision. "Life insurance in Russia and the CIS countries isrelatively underdeveloped. For instance, life insurance premium's contribution to GDP in India is about 2.25 per cent while in Russia it is about 0.1 per cent," said Mr Singh.

Most private insurance companies in India are joint ventures with a foreign partner and this has helped Indians enter the global arena.

Regular interactions with board members and recommendations from internal management have played a big role in these men landing top jobs in other countries.

Talented Employees

The exodus of talent so far seen in the FMCG space with companies such as Dabur, Marico and HLL, is now catching on in the financial services sector.

"It may be easier for foreign insurers to hire Indians rather than find professionals from the US and the UK, who might not agree to work in a developing market. Indians are also flexible and are able to handle diversities very well," said Mr Shiv Agarwal, CEO, ABC Consultants.

"Indian corporates are offering such opportunities that talented employees may not have a chance to grow if their CEO is young and does not intend to move," he added.

Emerging Countries

Mr Dutta has been with ICICI Prudential since its inception in 2000. "We have grown the business from level zero to a billion dollar in premium income. Most of us have built the business and not inherited it and this has created a huge confidence," he said.

The movement of Indian talent to other emerging countries is happening at other senior levels as well. Mr Mayank Bathwal, formerly with Birla Sun Life, is now Head of Finance, Sun Life Indonesia. Mr Mukesh Dhawan, who headed sales at ICICI Prudential, is currently with Prudential, Singapore, as Director, Health, and Mr Abhishek Bhatia, Head of Marketing at ICICI Prudential, has moved to Prudential Malaysia as Marketing Director.

Mental Blocks

Indians may not find easy placements in developed economies unless they have stayed and grown there, but they would add a lot of value to developing economies, said Mr Singh: "This is where I feel many would be headed inthe next few years."

Working in a new country poses its own challenges, of course. Mr Singh says he has to work against mental blocks that his customers have towards long-term savings. Two defaults in Russia, first in 1991 and later 1998-99 quite eroded the trust of the people in financial institutions including those owned by the Government. "Hence, foreign insurers actually have better chances of success as people here tend to trust them more compared to local companies," he said.

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