Irrespective of stock market behaviour, owing to 60.03% growth in first year premium income in July

Life Corporation of India (LIC) has planned to introduce products in traditional as well as equity linked schemes this fiscal, triggered by over 60.03% growth in first year premium income in July – reported Livemint.

A.K. Dasgupta, managing director of LIC, said: “We intend to launch some more innovative products in 2009-10 irrespective of the fact whether the equity market rebounds or not. These products could be on either platform, linked or non-linked.”

In this fiscal so far, LIC has started two plans, Health Protection Plus and Jeevan Saathi Plus. The life insurer has also planned to increase the sale of unit linked product, Market Plus-1 as the market conditions were favourable for sale of this product.

Mr. Dasgupta said: “Through this product, we are able to garner about Rs3,550 crore first year premium income up to 31 July 2009. For the month of July, LIC has achieved growth rate of 60.03% in terms of first year premium income, including group premium,” quoted

He further stated that IRDA’s regulations to keep mortality charge out of recent cap will make it possible to sell Ulips for higher ages.

Mr. Dasgupta added: “Had the mortality charges not been removed from the overall cap of charges for unit-linked plans, it might not have been possible to sell unit-linked insurance policies for higher ages.”

The other unit plans of LIC are Profit Plus, Fortune Plus, Money Plus I and Child Fortune Plus.