Agents as the architects of life insurance industry- an assessement

Life Insurance Corporation of India, the capital intensive business, provides the most important financial instrument to customers and its main aim is protection and encouragement of long term savings. The Corporation reaches out to the people through the main traditional route of the agency model for the selling processes of the numerous complex need-based products. Most people have their first contact with an insurance company through an insurance sales agent. These workers help individuals, families, and businesses select insurance policies that provide the best protection for their lives, health, and property. The agents help in marketing its policies by spreading the message of life insurance among the masses. They serve as the kingpin for insurance companies seeking to provide traditional and innovative products, and focal point for customers seeking to procure insurance coverage and long term savings. Persistency of the agents and the various distribution channels remain key in the growth and profitability of any life insurance company. This paper discusses at length the performance of individual insurance agents in India. The article also has assessed the slab-wise business performance of individual agents in terms of number of policies issued and first year premium income underwritten in Madurai Division, South Tamilnadu during the global crisis period.