LIC Witnesses Steady Growth

Hyderabad: The bancassurace business of Life Insurance Corporation of India (LIC) is on a firm growth, thanks to the growing interest of many banks in enhancing the fee-based income. Led by Andhra Bank in the number of policies and first premium income, 26 banks in the country are currently eyeing a niche in bancassurance by selling insurance products of the State insurer. While Andhra Bank has been ranking number one in the number of new policies and first premium income for the last two months, there is renewed interest among other banks to drive big business. The number of polices sold through the bancassurance channel registered an increase of over 60 per cent in the first three quarters of the current fiscal compared to the corresponding period of the last fiscal year. However, LIC''s new business via bancassurance was about Rs 475 crore so far in the year. Andhra Bank, UCO Bank, Corporation Bank, Central Bank of India and Dena Bank are currently the top five banks in LIC''s bancassurance business as on January 31, 2008 as per the figures released by the corporation