Aegon Religare Life Insurance on Monday released a unit-linked insurance product...
Aegon Religare Life Insurance on Monday released a unit-linked insurance product (Ulip) and a return-of-premium term product, exclusively for the online sales channel.
Yateesh Shrivastava, the chief operating officer at Aegon Religare life Insurance, said the Ulip was launched to cash in on investor interests in the equity markets, which had performed well over the past six months. The Sensex had gained 29.89% in 2014 making India one of the top-performing markets in the world.
Ulips, which once accounted for 70-80% of the market, had taken a hit since 2010, but according to the data in the April-June quarter, the premium collected on Ulip has increased 33% y-o-y. Shrivastava said the online channel continues to grow with increasing number of insurance policies sold through this route. Online sales of insurance products have increased over the past few years but it still forms 1% of the total policies sold.
Aegon Religare Life Insurance sells 20% of its policies through the online channel.
The Ulip has no premium allocation charge and offers three investment fund options — Blue Chip Equity Fund, Secure fund and Debt fund, said a press release. The statement said Aegon Religare iReturn Insurance Plan is a term plan offering a return of premium after maturity. It offers an in-built terminal illness benefit that pays 25% of the base policy sum assured in case the life assured is diagnosed with a terminal illness.