New Life Insurance Policies Have Increased By 18.07% in the Month of Bhadra

The new policies of life insurance companies have increased. Earlier, insurance companies were prioritizing renewal premiums rather than selling new policies.

The insurance committee found that a significant percentage of the company’s overall business was made up of renewable insurance policies, while a low percentage was made up of brand-new policies. However, businesses have expanded new policies in the month of Bhadra. Companies have gathered new policies worth 2.6 Arba in the second month of the current year, which represents an increase of 18.07 percent over Shrawan. The value of the life insurance company’s policies in the month of Shrawan was Rs 2.2 Arba.

Compared to Shrawan, renewal insurance premiums in companies have decreased in Bhadra. In the month of Bhadra, companies have collected Rs. 8.37 Arba from renewal insurance policies. This is 34.85 percent less than in Shrawan. 

The companies have collected this amount by issuing 14.74 Lakh insurance policies in the month of Bhadra. In which the share of new premium is 23.70 percent and the share of renewable insurance premium is 76.30 percent.

The amount received by the life insurance companies for the initial installment of selling the policy is the first insurance fee, while the insurance fee collected by the insurance companies for the second or later is the renewal insurance fee. Six companies, including Nepal Life, reduced their policies. Among the companies reporting a reduction in new policies are Nepal Life, Rastriya Beema Sansthan, National Life, Met Life, and Gurans Life Insurance.

In a similar vein, the number of new policies issued by Life Insurance Corporation (LIC), Asian Life, Surya Life, and Prime Life has increased by 48.20 percent, 30.26 percent, 95.82 percent, and 23.75 percent, respectively. According to the committee's data, all companies other than Jyoti Life have raised the number of new policies they offer.

Similar increases were seen at IME Life (0.29%), Union Life (19.90%), Sun Nepal Life (5%), Reliance Life (47.47%), Reliable (30.88%), Citizen Life (92.20%), Sanima Life (96.59%), Prabhu Life (41.47%), and Mahalakshmi Life (10.87%).