Kotak Mahindra Life Insurance Company hopes for a 20 per cent growth in new business premium in 2024-25 and plans to increase the share of protection plans to 40 per cent of new business premium with new products.
“We expect the share of the protection business to rise to 40 per cent from 35 per cent last year. Overall, we are expecting a 20 per cent growth in new business premium,” said Subhasis Ghosh, joint president, financial institutions, employee benefits, marketing and alliances, Kotak Mahindra Life Insurance Company.
On the sidelines of the launch of Kotak Gen2Gen Protect in the city, Ghosh said that new products would be a key factor contributing to the growth in premium income of the insurer during the year.
According to data from the Life Insurance Council, the life insurer’s premium in the ongoing fiscal up to May was ₹872.85 crore compared with ₹914.05 crore in the corresponding previous period.
Life insurance outlook
New business premium for 27 life insurance companies, including LIC, during the first two months of the fiscal was ₹47,293 crore, up 31.2 per cent from ₹36,043 crore in the corresponding previous period.
Market analysts expect a growth of around 11-13 per cent for the industry over a 3–5-year horizon.
“The new business premium in 2024-25 is expected to rebound on a comparatively lower base and the growth in total premium is likely to remain intact. The growth drivers include prudent underwriting, high GDP growth, rapid urbanisation and demand for protection plans,” CareEdge Ratings said.
