In what indicates of a high-investing capacity of those living in Vidarbha, Star Union Dai-IChi, a private life insurer which has launched a new insurance scheme, is banking heavily on the region to meet the target for selling this product.
The company aims to garner Rs 300 crore as premium for the Dhan Suraksha Platinum scheme launched this week. Of this, Rs 15 crore is targeted to come from Vidarbha, with the rural clients expected to contribute upto 40% of the amount.
The plan for Nagpur comes to 5% of the total targeted business for the country. Even high networth individuals ( HNI), which are also the target group, are estimated by the company to be in enough numbers in Nagpur.
The company which is a joint venture between Indian public sector banks – Bank of India, Union Bank of India – and Japanese life Insurer Dai Chi, has come up with this single premium endowment plan. The product has an assured grossed up return of 9% which includes the tax benefit, claims the company.
The company’s assistant vice-president Narendra Bhajikhaye, said almost 40% of the sales from Nagpur region is expected to come from the rural sector, as the company is banking much on the affluent peasantry of the region. The situation in the rural areas has been changing, the company too has a considerable presence in the hinterland, he said.
Investment is expected to come from c Bhandara, Amravati, Chandrapur and Wardha apart from the Nagpur city. The class of farmers, who reap a harvest valued at Rs 4 to 5 lakh, are among the target customers. Moreover, a number of persons have got substantial amounts as compensation against land acquisition, there is an investible surplus with them too, said Bhajikhaye.
The company is comparing the insurance policy with a 10-year government bond, which it claims offers a gross return of 8.4% while the policy yields 9% due to the tax benefit available on the maturity amount, said the company’s appointed actuary IS Rao who was also present for the launch function.
