Open Access Open Access  Restricted Access Subscription or Fee Access
Total views : 3655

Emerging Trends in Distribution in the Life Insurance Sector in India: A Study of a few Leading Players


  • Assistant Professor in Commerce, Department of Commerce with Farm Management, Vidyasagar University, Midnapur - 721 101, West Bengal, India


The life insurance industry in India had its birth in the early part of the nineteenth century. For better management of the insurance business, several Acts have been passed from time to time. Two noteworthy events in the history of life insurance are (i) the formation of the Life Insurance Corporation of India in 1956, which served as a monopoly till the year 2000 followed by (ii) the opening up of the insurance sector to the private players in 1999, who were given the permission to operate either single-handedly or as a joint venture with any other private player(s) and/or foreign partner. This drastic regulatory change brought an end to the monopoly status of LIC, and also encouraged the private players to enter into the insurance space. To keep pace with the fast-changing industry environment, one of the functions that is gaining strategic importance is the coming up of newer channels of distribution, which would spread the business to newer markets and serve the customers cost-effectively, steadily, and speedily. This exploratory research (which was carried out in the time period from May-July 2012) discusses the various distribution channels (that emerged in the deregulated period and changed the overall industry trend) operating over a period from 2005-06 to 2009-10. The researcher considered seven dominating private players in the life insurance industry to understand the recent patterns in distribution. The analysis clearly shows a move-away from the traditional channels by the private sector.


Life Insurance, Distribution Channels, Policy, Premium.

Full Text:

 |  (PDF views: 3)


  • Barua, A. (2004). “Bancassurance: New Concept Catching Up Fast in India.” The Chartered Accountant, 23 (8), pp. 1348-1351.
  • Chatley, P. (2012). “Life Insurance Growth in India: The Bancassurance Route.” South Asian Journal of Marketing & Management Research, 2 (7), pp. 135-143.
  • Desingu, R. (2010, January 27). “Five Challenges that the Insurance Sector will face in 2010.” [Web blog post] Retrieved from
  • Gautam, V. (2011). “Service Quality Perceptions of Customers about Insurance Companies: An Empirical Study.” Indian Journal of Marketing, 41 (3), pp. 8 - 20.
  • Insurance Regulatory and Development Authority (IRDA) (2005 -06 to 2009-10). “IRDA Annual Reports.” Retrieved from
  • Jampala, R.C. (2005). “Insurance Sector: Emerging Distribution Channels.” Indian Journal of Marketing, 35 (7), pp. 24 - 27.
  • Karunagaran, A. (2006). “Bancassurance : A Feasible Strategy for Banks in India?” Reserve Bank of India Occasional Papers, 27(3), pp. 125-162.
  • Keerthi, P., & Vijayalakshmi, R. (2009). “A Comparative Study on the Perception Level of the Services Offered by LIC and ICICI Prudential.” Indian Journal of Marketing,39 (8), pp. 40 - 54.
  • Krishnamurthy, R. (2003). “Blueprint for Success Bringing Bancassurance to India.” IRDA Journal, 1 (9), August, pp. 20-23.
  • Lakshmikutty, S., & Baskar, S. (2005). “Insurance Distribution in India - A Perspective.” Journal of Insurance Chronicle, 5(6), pp. 17-22.
  • Malpani, S. (2003), “Many Roads to Bancassurance.” IRDA Journal, 1 (9) , pp. 24 -25.
  • Naidu, B.V.R (2012). “Perceptions of Investors on the Service Quality of Reliance Life Insurance: A Study in the West Godavari District of Andhra Pradesh.” Indian Journal of Marketing, 42 (8), pp. 8 -18.
  • Neelamegam, R., & Veni, K. P. (2008). “Bancassurance An Emerging Concept in India.” Journal of the Insurance Institute of India, 34, pp. 49-54, Retrieved from
  • Sharma, R.K., & Bansal, M.R. (2011). “Service Quality Assessment in Insurance Sector: A Comparative Study between Indian and Chinese Customers.” Research Journal of Finance and Accounting, 2 (5), pp. 1-17.
  • Sharma, R.P., & Saxena, K. (2009), “Life Insurance Marketing In India: Leveraging the Strengths of Multi-Channel Distribution.” Journal of Marketing Trends, 8th Marketing Trends Congress, January 15-17, 2013.
  • Shukla, A. K. (2006). “Effect of Liberalization on Indian Insurance Market : An Overview.” The Journal of Insurance Institute of India, 32, January - June issue, pp. 10 - 12.
  • Singh, M.P., Chakraborty, A., & Raju, G. (2011) . “Contemporary Issues in Marketing of Life Insurance Services in India.” International Journal of Multidisciplinary Research, 1 (7), November, pp. 47-61.
  • Sinha, A. (2011). “A Critical Analysis of Bancassurance in India.” AIM Explore, 8(1), pp. 74-79.
  • Srivastava, A., Tripathi, S. & Kumar, A. (2012). “Indian Life Insurance Industry - The Changing Trends.” Researchers World, 3, Issue 2(3), pp. 93-98.
  • Tiwari, A., & Yadav, B. (2012). “A Customer Survey & Perception towards Bancassurance (With Reference to Life Insurance Industry).” South Asian Journal of Marketing & Management Research, 2 (2), pp.142-164.
  • Upadhyaya, D., & Badlani, M. (2011). “Service Quality Perception and Customer Satisfaction in Life Insurance Companies in India.” Paper presented at the International Conference on Technology and Business Management, March 28-30, 2011, pp.1011-1024.

Purchase Url


  • There are currently no refbacks.