Max New York Life will focus on specific demographics instead of targeting regions in India, Anisha Motwani, chief marketing officer, told DNA.The private sector insurance company hopes to grow at 20% in the next financial year.
“We would be consolidating within a certain demographic segment — the age group of 25-44 years and parents with children under 12 years of age. This is going to be our focus segment irrespective of geographies as we already have a strong rural presence due to our hub-and-spoke mode,” Motwani said.
She added that their demographic approach would help them to get ‘first time and value customers’, instead of just targeting geographies.
The company plans to launch several financial products this year, which they are currently researching on. It did not provide details on the new products.
The insurer would spend Rs 200 crore in the current quarter to meet its growth targets by beefing up sales and its marketing team.
The insurer grew its gross written premiums by 27% to Rs 4,628 crore in the April-December period from Rs 3,654 crore in the previous year. Renewal premiums went up by 64%. The company was able to collect Rs 1,624 crore as first-time premiums in 2009, which was a tough year for insurers.
“On the conservation ratio (which indicates how much of business underwritten in the previous years is getting renewed each year), we have preserved it at 83% for the last three years against the industry which has seen a decline from already a low figure of 49-65%,” Motwani added.
The Rs 1,02,377-crore insurance industry is expected to grow 15-20% in the next fiscal and Max New York Life hopes to grow faster than that.
As per latest industry data, among private insurers, Bajaj Allianz was the market leader with a 45% share and 12.7 million individuals under coverage, followed by Max New York Life, with a market share of 18% and 5.3 million lives under coverage.
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