India's representation on the prestigious Million Dollar Round Table now exceeds one per cent of the total worldwide membership following the opening up of the insurance sector to private competition.
MDRT is the premier global association of financial professionals, who deliver high levels of performance. Till last year, India's representation was negligible among the then 25,000-strong MDRT members.
Today, with the entry of new players and the incentives offered to their insurance advisors, the number of Indian representatives has more than doubled from 144 in March 2001 to 297 in March 2002.
Globally, the number of MDRT members has risen to 28,000.
Founded in 1927, MDRT has representation from 74 nations worldwide.
MDRT membership is available on an annual basis to agents meeting a high level of performance (currently earnings of Rs 4,97,500 in eligible commissions or Rs 1,492,500 in premiums).
Opening up of the sector has resulted in an increase in the number of insurance agents, as the key distribution channel in the life sector today remains the direct agency force.
Tata AIG Life Insurance Company is aiming at 100,000 agents in the next five years. The Life Insurance Corporation of India has recruited 750,000 agents, and wishes to increase this number to 1 million by the year end.
"Our core strategy today is to establish a robust system and a foothold in many cities," pointed out Tata AIG Life managing director Ian J Watts.
While India's membership on the MDRT has increased since the opening up of the sector, it is LIC which has the maximum representation from India at 265 members.
Max New York Life Insurance Company with 26 MDRT members leads among the new players. The 26 represent about one per cent of its total agency force of 3,300.
The company's CEO Tony Singh pointed out that New York Life has dominated the MDRT for the eighth consecutive year, and "we at Max New York Life have incorporated the best training practices to ensure that our agents are of world class quality."
The Indian insurance industry is poised for major growth and estimated to cross the Rs 180,000 crore (Rs 1,800 billion) mark by 2009-10.
MDRT president Richard H Sullenger's visit next week will address the need for best practices in insurance selling and servicing.
The aim is to support the burgeoning insurance agents population in India, to become an integral part of the world insurance community.
"MDRT is well-positioned to be a great resource as India's life insurance and financial services industry continues to expand," he pointed out.