Aegon Religare appetite for increase

Aegon Religare Life Insurance Company is targeting a three-fold increase in premium income from latest businesses in 2010-11 from Rs 166 crore previous years and is planning to use Rs 450-470 crore on growth.

?We are targeting a premium income of Rs 500 crore from new businesses in the current fiscal year,? said Rajiv Jamkhedkar, managing director and chief executive officer of  Aegon Religare Life Insurance.

The company, which started operations in middle-2008, hopes to break even in 8 years that is by 2016-17.

According to Jamkhedkar, expansion will be affected if the dispute between the Securities and Exchange Board of India (Sebi) and the Insurance Regulatory and Development Authority (Irda) over Ulips is not determined soon.

The debate over Ulips started last month when Sebi banned 14 private insurers from advertising these insurance plans launched after April 9 without obtaining a certificate of registration from it.

The market regulator, however, allowed them to sell Ulips launched before April 9 till extra notice.

The insurance regulator made things more difficult for life insurers after it barred them from selling Ulips with a lock-in of less than 5 years and put a cap on the surrender charges.

Life insurers will have to change a few terms and conditions of their existing Ulips to sell them to new customers from July 1.