A leading private sector Life Insurance company Edelweiss Tokio Life on Thursday said that the company would continue to grow at a much higher rate than the industry average in the coming days despite new compliance regulations of the Insurance Regulatory and Development Authority of India (IRDA) and the general slowdown issues.
Talking to newsmen here, Chief Retail Officer Anup Seth said that the company, which was the last in India to get life insurance business license way back in 2011, has seen a growth in its new premium business with 38 per cent compound annual growth rate (CAGR) which was almost four times higher than the Industry average of around 9 per cent.
He said that the new compliance regulations of IRDA coming to force from November 30 would cause a sea change in the life insurance business with many of the existing products of several big players going out of shelf yet the regulations were in fact good for the end users of policy buyers.
"Our company which cares for quality rather than mere volume of business will continue to flourish and grow at a quicker pace than the industry average even after that," he said.
Taking about Gujarat he said , "Gujarat is a strategic and crucial market for us. We have seen about 17% growth in its employed workforce in the region since FY 18. We will add to our existing work force of over 4,000 personal finance advisors, known commonly as agents in the state. Additionally, we have partnered with key insurance brokers like Bluechip Insurance Broking, Integrated Insurance Broking Services, and more who have a strong and skilled presence in the state." A unique partnership with the Gujarat-based Fincare Small Finance Bank has also helped improve penetration in the market. Edelweiss Tokio Life has a great emphasis on keeping its quality of business buoyant. Despite its relatively recent foray into the sector, the insurer reported a persistently ratio of 83 per cent and a claim settlement ratio of 95.82 per cent in FY19.
“We believe that the quality of business determines how a customer perceives our business. And, the quality of business is also determined by how we are contributing to the society as its corporate citizens. We have always had an innate inclination towards associating with causes that have the potential to make a positive impact across communities,” Mr Seth added.
Throughout November, Edelweiss Tokio Life will be observing Organ Donation Awareness Month in collaboration with Actor Rahul Bose, and NGO MOHAN Foundation. This awareness drive is aimed at educating the public about the significance of this cause and urging them to pledge.
To equip themselves in this journey of spreading awareness, Edelweiss Tokio Life has also conducted a research to understand the low donation rate in India. As per the study, only 10 per cent people in Ahmedabad expressed their willingness to donate organs after death, with just 5% having registered their intent with a relevant authority. The research, conducted in association with Karvy Insights, shows that 77 per cent of the 1565 respondents who participated, are aware about the concept of organ donation, but only 28% believe it to be important, and 14% understand the process of how to donate their organs, he added.