To begin with, the insurance premium that consumers are paying in India will come down dramatically, whether it's for health or property or anything else. But it's not cost alone where consumers stand to benefit. Equally significant is the quality of service that will be offered. As Gary Benanav, CEO of New York Life, has been quoted as saying that instead of 85 days as is normal in India, consumers can get their claim from his company in just 72 hours. Looks like insurance blues will soon be a thing of the past.

However, according to a senior official in the Indian insurance sector, foreign companies will never have the same reach as the Indian insurance companies. With thousands of branches of LIC andsubsidiaries of GIC spread all over the country, no foreign company can match that kind of network.

But, the foreign players are joining the insurance mart with just 26 per cent stake with the remaining being filled in by their joint venture partners. And the Indian JV partners will obviously do their best to spread their network as well. And preparations have already begun.

In the main block, however, the biggies like the LIC and GIC have generally been quiet on the subject, except for the high-pitched strike by the union workers recently opposing the IRA Bill. The senior managers, though they are secretly open to the idea of private players coming in, are keeping mum. One such manager confides: ``It's a welcome move. Competition will improve the overall sector - service, cost, esteem.''

Also, he says that there's nothing much to worry because the likes of LIC and GIC have got enough time to prepare for the forthcoming competition. Take for instance the massive computerisation drive at LIC - all the2,000 branches are computerised now. Plus, there have been initiatives like the Metro Area Network (MAN), thereby offering unprecedented convenience to the LIC consumers. For the uninitiated, MAN is all about going to any branch in a metro and depositing your premium.

So, while at least 20 foreign insurance companies including big names such as Allianz AG of Germany, Prudential of UK, AMP, American International Group of US, Commercial Union of UK, Sun Life of Canada, Cigna of US, Canada Life, All State, Swiss Re, Munich Re, ING Group, General Accident, Chubb Corp, Standard Life, GIO Australia Holdings, Guardian AXA, Zurich, Metlife of US, Legal and General, Manulife of Canada, Royal & Sun Alliance, Yasuda Fire, Sumitomo, GE Capital and New York Life were waiting in the wings, their desi counterparts were gearing up for the competition to come.