EXCLUSIVE: Companies may increase premium on group life Insurance cover; big news related to ICICI Prudential, HDFC Life, SBI Life; CHECK DETAILS

Life insurance companies may increase premiums on the life insurance policies from the upcoming quarters, as the demand for the same has increased amid the Covid-19 crisis, Zee Business' Anurag Shah tells Anil Singhvi. See how you will be impacted in this exclusive report. 

Life insurance companies have decided to increase the premium of group insurance by 15-20 per cent on the back of heavy demand amid the second wave of coronavirus in the country, Shah says citing his top sources.  

See Zee Business Live TV Streaming Below:

Group Insurance health plans provide coverage to a group of members, usually comprised of company employees or members of an organisation. 

Shah said, the increase in the annual renewal of premium has become imminent now as the insurance companies are witnessing high demand in the group insurance segment. The premium in fiscal 2022 is likely to be higher than FY21, he adds. 

#ZBizExclusive | ICICI PRU,HDFC Life, SBI LIFE से जुड़ी बड़ी खबर-
> लाइफ इंश्योरेंस कंपनियां जल्द बढ़ाएंगी प्रीमियम... 15-20% तक बढ़ेगा ग्रुप इंश्योरेंस प्रीमियम#LifeInsurance @AnilSinghvi_ @anuragshah_ pic.twitter.com/Bnsk9HBDvr

— Zee Business (@ZeeBusiness) June 9, 2021

Insurance companies' total premium in group policies is around 60 per cent of the total. Shah further said, since the demand is huge, the insurance companies have to factor in the risk related to it. 

ICICI Prudential Life Insurance, HDFC Life and SBI Life are the three main companies in focus.

ICICI Prudential has 43 per cent market share in annual renewal group insurance policy, moreover, the company has made their underwriting stringent, such as no policy for three months to covid recovered patients. 

ICICI Prudential shares have been trading around one per cent higher on Wednesday to Rs 578.30 per share, which is quite near to its 52-week high level. While SBI Life is trading around two per cent higher at 998.5 per share and HDFC Life trading half a per cent higher to Rs 694 per share.