The Department of Financial Services (DFS) along with Public Sector Banks (PSBs) will introduce the Composite Salary Account Package for Central government employees on January 14. This initiative aims to provide a unified account that combines banking and insurance benefits for Central Government employees of all cadres. A meeting chaired by DFS Secretary M. Nagaraju reviewed the financial and business performance of Public Sector Insurance Companies (PSICs) for the past fiscal years.
The Secretary emphasized the importance for PSICs to focus on increasing profitable business and reducing loss ratios while enhancing market share and strengthening retail portfolios. There was a call for the development of new and innovative products to cater to the needs of the younger generation and cover emerging risks. The emphasis was also on adopting technology and moving towards complete digitalization to achieve 100% onboarding of retail products through digital channels.
The PSICs under review included Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC), New India Assurance Co. Ltd (NIACL), National Insurance Co. Ltd. (NICL), United India Insurance Co. Ltd. (UIICL), Oriental Insurance Co. Ltd. (OICL), and Agriculture Insurance Company of India Ltd. (AICIL). Enhancing communication, publicity, and outreach to improve brand visibility through various platforms, including social media, was highlighted as crucial.
Acknowledging the efforts of LIC, the Secretary commended its progress towards profitability and the successful expansion of the Bima Sakhi initiative nationwide, especially in rural and semi-urban areas. AICIL was also praised for surpassing the Rs 10,000 crore premium milestone this year.
