Tata AIG Life eyes NRIs to expand business
By James Paul | 04 Sep 2002
4 September 2002
Kochi:
The private
sector Tata AIG Life Insurance Company is eyeing the huge
non-resident Indian (NRI) community from Kerala for expanding
its business in the state.
The company, which is into its second year of operations in India, is also committed to establish a base in the rural market, Tata AIG Life Insurance managing director Ian J Watts tells domain-b.
We have a strong
presence in the Middle-East, where a large number of people
from Kerala are employed, he says. The families of those
working overseas will be educated on the need for having
insurance cover for their kith and kin in Kerala. Watts
is here in connection with the establishment of Tata AIGs
office in Kochi.
It is estimated that there are over 5 lakh NRIs from Kerala
working in all parts of the world (a large portion is
in the Gulf) and Tata AIG Life hopes to capture a significant
slice of this business. Asked whether the company is designing
specialised products for the NRIs from Kerala, he said
his company officials are exploring the possibility, but
gave no further details.
On the rural front, Watts says Tata AIG Life has sold
11 per cent of its total insurance products in the rural
areas, as against the Insurance Regulatory Authority of
India (IRDA) stipulation of 5 per cent in the first year
of operation. In the second year, as against the IRDA
requirement of 7 per cent, the company plans to sell over
10 per cent of its total insurance products sold in the
rural areas.
To meet its obligation for the rural market, Tata AIG
Life, which has three schemes for the sector, has tied
up with the Bangalore-based NGO Bridge Foundation to insure
the rural populace. Labourers earning as low as Rs 10
per day are our policyholders. The premiums are as low
as Rs 25 per month. Rural markets in Kerala, Tamil Nadu
and Andhra Pradesh have been tapped to meet the obligation,
he says.
Tata
AIG Life, which has a presence in nine cities in India,
will open branches in other centres as well. Watts says
the company, which has about 300 agents (270 licensed
agents), has sold over 35,000 policies in the first year.
In 2001-02, the figure has risen to 60,000 and in 2002-03
it is expected to increase over 1 lakh.
.webp)
