04-16-2007, 12:44 PM
During the nineteenth century during the freedom struggle, British insurance companies dominating the market serving mostly large urban centers. After the independence, the Life Insurance Company was nationalized in 1956, and then the general insurance business was nationalized in 1972. Only in 1999 private insurance companies were allowed back into the business of insurance with a maximum of 26 per cent of foreign holding . The entry of the State Bank of India with its proposal of bank assurance brings a new dynamics in the game. On July 14, 2000 Insurance Regulatory and Development Authority bill was passed to protect the interest of the policyholders from private and foreign players. The private insurance joint ventures have collected the premium of Rs.1019.09 Crore with the investment of just Rs.3,000 Crore in three years of liberalization. The private insurance players have significantly improving their market share when compared to 50 years Old Corporation (i.e., LIC).
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07-23-2007, 09:16 AM
thanks a lot for this beautiful article on the indian insurance industry.
I am doing my dissertation on the "insurance indutry- strategies adopted by companies in customer satisfaction" this will be of some help in my project.
it would be of great help if you can provide me with some more articles or if you can refer me some journals in insurance sector on customer satisfaction.
03-13-2009, 09:05 PM
One of the Newer concepts in Insurance policies is an Online Ulip. For example Bajaj Allianz's iGain. There are no agents involved so the incvestor is the sole beneficiary of the returns with no deductions made for intermediaries. I came across it on buyigain dot com
08-19-2009, 11:02 AM
Thanks for sharing good information. Your information will be useful to know about marketing of insurance products in the Indian context. Nowadays many people like to get insurance products.
10-26-2010, 12:33 PM
Couple of focus areas for Insurance Marketing in future:
1) Work on reach: Critical as distribution will face a bottleneck with the new IRDA guidelines which has reduced the cost of the product thereby impacting agents commission negatively. Distribution will take a hit and the predominantly Push Strategy will have to be transformed into a Pull Strategy. Online Sales point of Insurance Product (OTC in Nature with a pre defined Cover and Premium bands depending on gender and age - No medicals involved) and BTL marketing holds the key.
2) The challenge is less on strategizing marketing channels but more on streamlining distribution channel. Some prime questions to be deliberated will be DSA v/s DST distribution network. Rewards and Recognition to Agents. How to effectively use the Direct Marketing channel towards increasing penetration.