ULIP commissions accounted for 9.5% of the total commission payout..!
Recent data from IRDAI (Insurance Regulatory
and Development Authority of India) reveals that life insurance companies paid an
average commission of 4% to distributors for ULIPs. The total commission
increased from 3.13% in 2023 to 4.03% in 2024. This includes commission payouts
for both new business & renewal premiums.
The industry paid Rs.4,900 crore in commission to
insurance intermediaries and agents for selling ULIPs in 2024, while collecting
Rs.1.21 lakh crore in ULIP premiums during FY 2024.
In terms of commission as a percentage of premium
received, Tata AIA Life topped the list, paying 11.22% to distributors in 2024.
Aviva Life ranked second with a commission payout of 8.32%, followed by Shriram
Life at 6.65%. Axis Max Life and HDFC Life occupy the next two spots with ULIP
commissions of 4.92% and 4.76%, respectively.
Other insurers in the top 10 include PNB MetLife
India, Bajaj Allianz, Kotak Mahindra, SBI Life, and LIC.
Let’s look at the table to know more:
|
Life
Insurer |
Commission
as % of ULIP premium in Fy24 |
Total
ULIP Premium received in FY 24 (In Rs. Crore) |
|
TATA
AIA Life |
11.22 |
7290.08 |
|
Aviva
Life Insurance |
8.32 |
426.11 |
|
Shriram
Life |
6.65 |
97.54 |
|
Axis
MaxLife |
4.92 |
7184.67 |
|
HDFC
Life |
4.76 |
14732.96 |
|
PNB
Metlife India |
4.67 |
2025.48 |
|
Bajaj
Allianz Life |
4.14 |
7039.21 |
|
Kotak
Mahindra Life |
3.43 |
4338.26 |
|
SBI
Life |
3.37 |
40626.99 |
|
LIC |
3.35 |
6539.52 |
|
Canara
HSBC OBC Life |
3.25 |
2183.07 |
|
IndiaFirst
Life |
3.1 |
1534.25 |
|
Star
Union Dai-ichi Life |
3.03 |
879.83 |
|
Edelweiss
Life |
2.85 |
370.07 |
|
Bharti
AXA Life |
2.84 |
303.24 |
|
ICICI
Prudential Life |
2.79 |
19590.84 |
|
Aditya
Birla Sunlife |
2.6 |
4210.82 |
|
Pramerica
Life |
2.37 |
44.80 |
|
Ageas
Federal Life |
2.31 |
823.66 |
|
Reliance
Nippon Life |
1.42 |
1043.16 |
|
Future
Generali India Life |
1 |
129.29 |
|
Bandhan
Life |
0.01 |
55.98 |
|
Grand
Total |
4.03 |
In
absolute terms, SBI Life paid the highest commission on ULIPs, amounting to
Rs.1,371 crore in 2024. Tata AIA Life followed with Rs.818 crore, while HDFC
Life took the third spot with Rs.701 crore. ICICI Prudential Life and Axis Max
Life were next, with ULIP commission payouts of Rs.548 crore and Rs.354 crore,
respectively.
Let’s
take a closer look at the numbers:
|
Life
Insurers |
2023-24 |
|
SBI
Life |
1370.48 |
|
TATA
AIA Life |
817.86 |
|
HDFC
Life |
701.01 |
|
ICICI
Prudential Life |
547.46 |
|
Axis
MaxLife |
353.51 |
|
Bajaj
Allianz Life |
291.27 |
|
LIC |
219.03 |
|
Kotak
Mahindra Life |
148.87 |
|
Aditya
Birla Sunlife |
109.34 |
|
PNB
Metlife India |
94.52 |
|
Canara
HSBC OBC Life |
70.97 |
|
IndiaFirst
Life |
47.49 |
|
Aviva
Life Insurance |
35.46 |
|
Star
Union Dai-ichi Life |
26.69 |
|
Ageas
Federal Life |
19.05 |
|
Reliance
Nippon Life |
14.79 |
|
Edelweiss
Life |
10.53 |
|
Bharti
AXA Life |
8.62 |
|
Shriram
Life |
6.48 |
|
Future
Generali India Life |
1.29 |
|
Pramerica
Life |
1.06 |
|
Bandhan
Life |
0.01 |
|
Grand
Total |
4895.81 |
Overall, ULIP commissions accounted for 9.5% of the
total commission payout in FY 2024.
