The benefits of life insurance are numerous, among which is that it protect one’s family, life insurance is an essential purchase. Investing in life insurance before planning your financial future is a recommendation by financial advisers. Life insurance provides financial security and safety nets.
If the family bread-earner becomes ill or dies, their financial situation may collapse. Families may rely on insurance compensation for income and financial stability. When an insurance policy is in place, your family has financial security.
Several insurance companies in Indian market provide a variety of unique insurance plans, so you are spoilt for choice when it comes to choosing the right insurance policy. However, we have been able to carefully compiled the best life insurance companies of 2023.
Our compilation was arrived at after ue considertion of these companies’ assest management scheme, customer service and most especially quality investment product.
The 10 best life insurance companies of India in 2023 are below;
Table of contents
- 10 BEST LIFE INSURANCE COMPANIES OF INDIA IN 2023
- 1. Life Insurance Corporation of India
- 2. Max Life Insurance Company
- 3. HDFC Life Insurance Company
- 4. ICICI Prudential Life Insurance
- 5. Tata AIA Life Insurance Company
- 6. Bharti AXA Life Insurance Company
- 7. BAJAJ ALLIANZ LIFE INSURANCE COMPANY
- 8. SBI Life Insurance Company
- 9. Reliance Nippon Life Insurance Company
- 10. Birla Sun Life Insurance Company
- Conclusion
- References
- Recommendation
10 BEST LIFE INSURANCE COMPANIES OF INDIA IN 2023
1. Life Insurance Corporation of India
In India, the government owns the Life Insurance Corporation of India, also known as LIC. The LIC has 2048 branches, 113 divisional offices, eight zonal offices and 1408 satellite offices in every corner of the country.
LIC, the leading insurance company, insures over 29 crores of policy holders. Through its excellent customer services on the digital platform and branches.
LIC is a trusted insurance brand that offers great convenience to customers. There are several life insurance products available through LIC that can satisfy the needs of different market segments.
LIC has consistently been recognized and awarded for all its milestones.
Among the awards LIC has received are:
- The Reader’s Digest Trusted Brand Award had always been granted to LIC
- In the BFSI category, LIC has consistently been rated as ‘India’s Most Trusted Brand’ according to the Brand Trust Report
- Best Life Insurance Company and Most Preferred Life Insurance Company of the Year awards were won by LIC
LIC invests in sectors such as banks, cement, chemicals and fertilizers, electricity and transmission, electrical and electronics, engineering, construction and infrastructure, fast-moving consumer goods, finance and investments, healthcare, hotels, information technology, metals and mining, motor vehicles, and ancillaries, oil and natural resources, retail, textiles, transportation, and logistics.
LIC also holds a 51% stake in IDBI Bank, making it the only insurer in India to own a bank, since regulations prohibit insurers from holding more than 15% stake in any company, LIC will have to decide a timeline for paring its stake in IDBI bank.
Also, LIC may have to pare its stake in LIC Housing Finance Ltd as a company cannot be the promoter of two finance companies carrying out same housing finance business in India.
Read: 15 Best Cheap Life Insurance Companies In 2023
2. Max Life Insurance Company
Max Life Insurance Company, India’s largest non-bank private sector insurer, was founded in 2000. Founded by Mitsui Sumitomo Insurance Company and Indian Max India Ltd, Max Life Insurance Company operates as a joint venture.
In India, Max life company has assets under management of 90,407 crores and a customer base of over 32 lakhs. Max life insurance company is among the fastest-growing insurance companies in the country.
The Max Life Insurance Company provides high-quality customer service through its online presence, a wide range of products, and multiple distribution channels.
The company has consistently received awards and recognitions. Claims Service Leader and Excellence in Claims Service were given to Max Life by the CMO Asia Awards for its high claim settlement ratio.
They offer a wide range of products in the market that you can choose from. Max Life Insurance is a part of the Max India Ltd. Group and is India’s largest non-bank private-sector insurer, which focuses on creating both online and offline channel where customers could buy policies without any intermediaries in a safe and secured manner.
It is a joint venture between Max Financial Services and Mitsui Sumitomo Insurance Company. The former owns 68% of the company while the latter owns 26%.
Also,
After forming the joint venture partnership with Mitsui Sumitomo, Max Life changed its name from Max New York Life in 2012. In February 2016, Axis Bank held a 6% share in Max Life.
Max Life’s distribution channels include banks, individual agents, brokers, and corporate agents, among others. It provides linked, participating and non-participating products. Apart from life coverage, it also covers health, pension, and annuity.
It offers child, protection, retirement, savings, and growth plans to individuals and to groups.
3. HDFC Life Insurance Company
HDFC Life Insurance Company is a joint venture between HDFC Ltd, one of India’s top lending institutions and Standard Life Aberdeen, one of the world’s largest investment firms. The HDFC Life Group was founded in 2000.
It offers multiple insurance and investment products to a broad range of customers.
Customers have easy access to services due to a robust digital platform. In recognition of HDFC Life’s contribution to the Indian insurance industry, the company has received many accolades and awards.
A 99.07% claim settlement ratio makes HDFC life insurance quite impressive as well, with a considerable amount of flexibility.
HDFC Life’s products include Protection, Pension, Savings, Investment, Health along with Children and Women plans. The company also provides an option of customizing the plans, by adding optional benefits called riders, at an additional price.
The Company has categorised its product portfolio covering five principal segments across the individual and group categories namely participating, non-participating protection term, non-participating protection health, other non-participating and unit-linked insurance products.
The company currently has 37 retail and 11 group products, along with 6 optional rider benefits (as on 24 March 2020).
Till 2019, the insurance firm had insured 21.6 million lives in both individual and group segments, and has one of the highest margins in the business, with 24.3 percent in 1st half of the financial year 2019.
And is regarded as one of the most consistent life insurance firms delivering efficient returns on operating Earning Value(EV) of 20 per cent for the last three consecutive financial years.
PROS AND CONS
- HDFC Standard Life Insurance is one of the highly reputed private sector insurance companies in India today.
- For the year 2017-18, the total individual death claims or claim settlement ratio of HDFC Standard Life Insurance Company was 97.80%.
- For the year 2017-18, the total premium collected by HDFC Standard Life Insurance stood at Rs. 23564.41 crore.
- HDFC Standard collected a total linked premium of Rs. 10267.91 crore during the year 2017-18.
- During the year 2017-18, the total non-linked premium collected by HDFC Standard stood at Rs. 13296.50 crore.
- HDFC Standard Life Insurance Company collected a total new business premium of Rs.11349.61 crore during the year 2017-18.
4. ICICI Prudential Life Insurance
Prudential Corporation Holdings Limited and ICICI Bank Limited jointly promote ICICI Prudential Life Insurance Company.
With a strong bancassurance channel and multiple distribution channels, ICICI Prudential Life is one of the best insurance companies in India and was founded in the year 2000.
ICICI Prudential Life manages INR 2,231.71 billion worth of assets on 30th June 2021.
Through ICICI Prudential Life’s customer-centric approach, the company offers a variety of long-term protection and savings plans to meet the needs of a wide range of customers. Many accolades and awards have been bestowed upon ICICI Prudential Life Insurance Company for its excellence in insurance.
PROS AND CONS
- During the year 2017-18, the total individual death claims or claim settlement ratio of ICICI Prudential Life Insurance Company was 97.88%.
- During the year 2017-18, the total premium collected by ICICI Prudential Life Insurance Company stood at Rs. 27068.77 crore.
- ICICI Prudential collected the total linked premium of Rs. 20387.49 crore during the year 2017-18.
- During the year 2017-18, the total non-linked premium collected by ICICI Prudential stood at Rs. 6681.28 crore.
- ICICI Prudential Life Insurance Company collected the total life insurance premium of Rs. 27068.77 crore during the year 2017-18.
- The company offers 15% discount and other benefits at leading restaurants all over India.
- ICICI Prudential collected a total new business premium of Rs.9211.75 crore during the year 2017-18.
Read:10 Worst Long Term Care Insurance Companies in 2023
5. Tata AIA Life Insurance Company
AIA Group Limited, Asia’s largest insurance company, and Tata Sons Private Limited, one of the world’s largest business groups, have formed a joint venture to form Tata AIA Life Insurance Company.
The assets under management for Tata AIA Life Insurance Company in 2021 will be INR 46,281 crores. In addition to the many insurance solutions it offers, Tata AIA Life provides wealth management services and protection.
Customers receive excellent service and straightforward, practical solutions for their unique insurance needs.
In 2021, company launched Tata AIA Life Fortune Guarantee Plus, a flexible, non-linked, non-participating savings plan which offers policyholders guaranteed long-term income along with comprehensive protection cover.
And in addition to long-term guaranteed income for future financial needs, the plan also covers health protection in the event of the policyholder getting diagnosed with a Critical disease.
This scheme offers two income options – Regular Income or Regular Income with an inbuilt Critical Illness benefit wherein all future premiums stand waived if the insured is diagnosed with a Critical Illness during the premium payment term and guaranteed minimum income will commence which frees the policyholder on worrying about his income and focus on his health recovery.
The policyholder also has the option to choose the income frequency between monthly or annual payout options and as per the terms of the policy the guaranteed income starts from the 6th Policy year for a period ranging from 20 to 45 years and they can select a premium payment term between 5-12 years.
The single premium payment option offers the freedom to go for Joint Life coverage which ensures that policy continues even if one of the two passes away.
Additionally it offers an benefit of inbuilt Return of Premium benefit which allows the policyholder to get the total premiums paid (excluding loading for modal premiums and discount) after the duration of income Period.
6. Bharti AXA Life Insurance Company
In 2006, Bharti AXA Life Insurance was India’s largest life insurer. XL Catlin and Bharti Enterprises have partnered to create the joint venture.
This company has been able to build a solid foundation on these companies’ financial expertise and business excellence.
Bharti AXA General Insurance Company Limited is a joint venture between Bharti Enterprises and AXA. The joint venture company has a 51% stake in Bharti Enterprises and 49% stake in the AXA Group.
They have PAN India presence through 135 branches and offer insurance for motor and two-wheeler, health and critical illness, property and student, individual and family travel, and crop insurance.
Bharti AXA General Insurance launched its new app ‘Krishi Sakha’ to cater to the specific needs of the farmers in the country and guide them in adopting best farming practices and enhancing productivity.
On 8 September Bharti AXA General Insurance is merged with ICICI Lombard General Insurance.
To cater to customers’ unique needs, Bharti AXA Life has offered a variety of innovative insurance products. Bharti AXA Life’s distribution network covers India’s 123 cities.
The company provides a variety of plans, including protection plans, savings plans, and health plans, many of which are available online. T
The ASSOCHAM Award for Excellence in Insurance and Customer Service was presented to Bharti AXA in March 2019.
Read: 10 Best Cheap Life Insurance for Seniors in 2023
7. BAJAJ ALLIANZ LIFE INSURANCE COMPANY
Bajaj Finserv Limited, part of the Bajaj Group, and Bajaj Allianz Life Insurance Company are a joint ventures between Bajaj Finserv Limited (formerly part of Bajaj Auto Limited) owned by the Bajaj Group of India and Allianz SE, a European financial services company.
Being one of the private insurance companies in India, it offers insurance products for financial planning and security. Currently, Bajaj Allianz Life has 759 offices across the country, where it offers innovative insurance solutions to different segments of the population.
Known for its innovative products and timely customer service, Bajaj Allianz Life Insurance is a leader in the life insurance industry. The company has received numerous awards for its contributions to the insurance industry.
Bajaj Allianz Life Insurance offers a range of insurance services, operating through Participating, Non-Participating, and Linked segments.
Bajaj Allianz Life Insurance launches digital branches through Mosambee. Mosambee is a handheld device that offers the services of a mobile branch and assists customers with an entire range of customer services.
8. SBI Life Insurance Company
BNP Paribas Cardiff, the world’s largest bank and financial services company, and State Bank of India (SBI) formed SBI Life Insurance Company in 2007. The authorized capital of SBI Life Insurance is currently USD 290 million (INR 20 billion).
Since it was founded as a bancassurance business, SBI Life has expanded into a multi-distribution business. Company growth has been attributed to excellence in customer service and product innovation.
As a result of its work in the field, SBI Life has won numerous awards and accolades. SBI Life Insurance is listed on BSE And NSE (Stock Exchanges in India) and is a leading Life Insurance company in India.
SBI Life started as a joint venture with BNP Paribas Cardif S.A, which is the life and property & casualty insurance arm of BNP Paribas, one of the strongest banks in the world, in 2001.
While in its initial stage its business was mainly from the bancassurance channel, and gradually developed an agent network consisting of 108261 Insurance Advisors (IAs) and 825 offices across the country as of March 31, 2018.
These offices were for selling its life insurance products and also collaborated with other distribution channels which include direct sales and sales through corporate agents brokers insurance marketing firms and other intermediaries.
The SBI Life Insurance Company policies are among the most popular in India. Policyholders can choose from several different plans that have several benefits.
9. Reliance Nippon Life Insurance Company
The Reliance Nippon Life Insurance Company was established in 2001 and catered to a wide range of population segments. Approximately 10 million people have policies with the company.
Through its strong distribution network of 713 branches, the company has made insurance affordable for many people. The product line of Reliance Life caters to the needs of every individual.
The firm offers life insurance products targeted at individuals and groups, catering to four distinct segments: protection, children, retirement, and investment plans.
10. Birla Sun Life Insurance Company
The company was founded in 2000. Aditya Birla Capital Limited owns the company. One of Canada’s largest international financial services organizations, Sun Life Financial, combined forces with Aditya Birla Group to form Aditya Birla Sun Life Insurance Company.
A top Indian insurance company, Birla Sun Life offers a diverse range of products and services ranging from protection plans to pension plans, savings plans, and several more modern insurance products. The company managed INR 5,26,151 million in assets as of March 2021.
With 386 branches, seven bancassurance partners, six distribution channels, and 90,000+ direct sales agents, the company has a presence across the country.
Birla Sun Life Insurance Company has received many awards and accolades for its continued contribution to the industry Birla Sun Life Insurance Company has received many awards and accolades.
Birla Sun Life Insurance Company was presented with The Indo-Canadian Business Chamber’s “Successful Performance” Award in April 2005.
Conclusion
There is nothing unusual about choosing a life insurance product depending on the recommendation of friends, colleagues, advisors, or just on the price alone. However, it is more important to select a trustworthy insurance company.
That’s exactly what this article has done by bringing you the trustworthy 10 best insurance companies in India. We hope that this article helps you to make an informed decision.
References
Recommendation
