1Associate Professor & Head, Department of Management Studies, Shri Shankaracharya Institute of Professional Management & Technology, Raipur, Chhattisgarh-492015
2Assistant Professor, Department of Management Studies, Shri Shankaracharya Institute of Professional Management & Technology, Raipur, Chhattisgarh-492015
Reforms in Insurance sector in India have certainly opened doors for private players. Economic liberalization has encouraged significant foreign investments with an inflow of financial capital, technology and intellectual. India recently amended an insurance law to elevate the cap on Foreign Investment into Insurance companies to 49% from the 26% after discussions that went on for nearly a decade. In this study, a limit of 26% foreign equity in private life insurance companies has been considered, since the new amendment is yet to be implemented. In order to study the impact of Foreign Direct Investment (FDI) on the performance of private life insurance companies, significant variables such as annual premium income, profit & loss, operating expenses and business expansion have been used. A sample of ten private life insurance companies was analyzed for a period of year 2008–14 using multiple regression analysis technique. The study has made use of secondary data from sources like IRDA published data, websites of insurance companies and research journals.
Foreign Direct Investment, Insurance, Multiple Regression, Private Life Insurance Companies and Total Premium
