Max NY Life to expand operations
New Delhi: After witnessing robust growth in 2005, Max New York Life Insurance Co (MNYL) is planning to expand operations during the current calendar year.

With business nearly doubling in a year in terms of sum assured, MNYL plans to add 36 new offices in 2006. Currently, it has 57 offices spread across 37 cities.

The company has registered growth in sum assured from Rs15,000 crore at the end of December 2004 to around Rs23,500 crore on December 31, 2005 and has doubled its agency force from 6,500 agents to 13,000 agents.

He said the company planned to focus aggressively on the rural market.

The company was also expanding its bancassurance relationships and has added seven new bancassurance relationships taking the total to a dozen.
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LIC policies may lose Govt. support
New Delhi: In a move that will open up a level playing field for the private players, the government may consider withdrawing its guarantee on more than 16 crore policies sold by the Life Insurance Corp (LIC).

The move follows the diktat of the Fiscal Responsibility and Budget Management Act, which mandates reduction in the level of public debt to 0.5% of the GDP. This means in the forthcoming Budget, government guarantees on LIC polices may have to be terminated.

At present, the government guarantees the payment of the sum assured and the bonuses on LIC policies.
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NIC expects Rs.200-cr profit this year
Mumbai: National Insurance Company (NIC) is expecting a net profit of Rs200 crore by the end of the current fiscal, up from Rs141 crore in the previous year due to a rise in the company's investment income.

Company officials said the expected investment income stood at Rs850-900 crore, against Rs680 crore last year. The total investment of the company in the current fiscal was Rs3,800 crore. However, the expectation in terms of total premium, at Rs3,600 crore, is less than last fiscal's Rs3,800 crore.

In the Mumbai floods, the company faced losses of Rs450 crore but the actual impact on the balance sheet was only around Rs50 crore thanks to reinsurance.

The company is planning products for individuals less than 35 years of age, as well as for senior citizens where the age of entry begins at 55. It is also in talks with LIC and SBI Life for tie-ups.
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