Bangalore-based private life insurance company, Ing Vyas
Life, has appointed Madras Fertilisers Limited
a central government company as its corporate agent
to sell life insurance policies to farmers and other segments
of the rural population.
two companies signed an agreement to this effect here
on 30, June, 2004.
to ING Vysya Life's managing director and CEO, Frank Koster,
"We firmly believe in tapping the huge potential
that exists in the Indian rural market. The alliance is
to accelerate the development of rural insurance market
in South India."
to the Insurance Regulatory and Development Authority's
(IRDA) stipulations, every life insurer has to procure
a minimum of 15 per cent of policies from rural areas.
And the tie up with the fertiliser company is expected
to ease ING Vysya Life fulfilling that norm. Last year,
out of 90,976 policies ING Vysya Life sold just over 12,000
policies in the rural areas.
Madras Fertilisers' chairman and managing director Sukumar
N Oommen, "We have 6,500 dealers in the south and
over 1,000 field staff covering more than one lakh farmers.
We will leverage this reach in selling the life insurance
both the corporatre heads refused to specify any numbers
of the first year targets. ING Vysya Life has launched
a special policy called Safal Jeevan for the rural
the life insurer has around 8,300 individual agents, it
is fast ramping up the corporate agents number. Last year
around 17 per cent of the total business (Rs88.5 crore)
was contributed by the company's alternate distribution
channel banks and corporate agents. Major portion
came from ING Vysya Financial Services-a subsidiary of
ING Vysya Bank.
the current year, Koster expects to book a premium income
of Rs200 crore and expand the distribution network to
35 cities and the number of agents to 12,000.