Mr. Debasish Panda has been quite proactive since joining as Chairman IRDAI. He has outlined sleuths of measures for second phase of reforms in the Insurance Industry in India. Some of his plans include Contractors will be allowed to use these bonds as a substitute for bank guarantees for government contracts, New Insurers may introduce 100% FDI, allowing micro insurance player with Rs 10 crore or Rs 15 crore capital which can work in focus areas like a district, and initiating more reforms in the Insurance sector.
Hopefully the new efforts by IRDAI Chairman will benefit the industry in long run.
IRDAI Chairman should also need to focus on Education, training, Research and Development in the Insurance Industry. At the time of opening of industry Insurance Agents were required to do rigorous training for 100 hours for 18 days with a provision of Renewal training after an interval. Now the training part has been severely diluted and the real training for intermediary is missing. IRDAI must ensure that Intermediaries are trained properly and the objective is achieved.
As per report Health Insurance as well as Travel Insurance are under high demand after Covid-19 in the country. The business will increase gradually as markets openup.
Non life Insurance Sector in India shown 11% growth in the total Business growth during F.Y.21-22 which is healthy state of affair in the country.
LIC will launch the biggest initial public offer (IPO) in the history of Indian stock markets on May 4, 2022. Through this IPO, the Central government will be liquidating its 3.5% stake in the LIC, and aims to mop up about Rs 21,000 crore at the upper end of the price band of Rs 902 – 949 per share. This will result in market capitalisation of Rs 6 lakh crore for the company.
LIC is ranked fifth globally by life insurance GWP and 10th globally in terms of total assets. As at December 31, 2021, LIC had 2,048 branch offices and 1,559 satellite offices in India, covering 91 percent of all districts in the country.
