Thursday, June 11, 2009

Life insurance arm to enter tier-II, III cities

Shriram Life Insurance Company Limited, the joint venture between the Shriram Group and South Africa-based insurance company Sanlam, on Tuesday said that it will soon enter north, east and west India.

Following the successful launch of its operations in south India, the company now plans to extend its presence to more than 100 cities over the next 3-4 years. In addition, the company plans to recruit 5,000 field sales officers and 500 business managers to support its expansion plans.

Johan van Zyl, Sanlam Group CEO, said, "We cherish our relations with the Shriram group and are keen to take our life insurance business to the next level. At the same time, Shriram and Sanlam have also picked up much more knowledge and experience of the Indian market over the past few years and we feel that the time is right to take the business to new levels and to focus on top-line growth to a greater degree than before."

As part of the expansion plans, "We are planning to set up branches in selected tier I, II and III cities. Through a well trained 5,000 strong field sales officers (FSOs), we will offer innovative products with customised service to make a definitive differentiator in the market. We will really put a high premium on service, and training will receive particular attention. Sanlam looks forward to strengthening the partnership with Shriram and believes that there is a great affinity between South Africa and India," he added.

Speaking on the occasion, R Thyagarajan, Chairman, Shriram Group, said, "Shriram's philosophy has been to promote a win-win situation with our business partners and customers. In Sanlam, we have a partner that is committed to the Indian market and has extensive expertise to help the joint venture to drive on a sustainable growth path. Our understanding of Indian customers clubbed with Sanlam's expertise in the insurance business will drive our growth. We feel this is the right time to take the business to newer levels of profitable growth."

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