Aditya Birla Nuvo Ltd (ABNL), diversified conglomerate, plans to invest in the Indian health insurance industry. The group is already present in life insurance business.
Birla Sun Life is a joint venture between Aditya Birla Group and Sun Life Financial Inc of Canada. Giving guidance about future, ABNL in its financial results performance for Q3 FY15, said it plans to foray into health insurance business.
"Gaining market share in the life insurance business through good quality sales driven by an efficient distribution network with acceptable expense levels. Foray into the health insurance business," it said in the presentation.
Presently, there are 26 health insurance companies in the country. The government recently has allowed to raise the foreign direct investment (FDI) limit in insurance sector from 26 percent to 49 percent.
The penetration ratio in the life insurance sector is 4.4 percent and in the non-life segment, it is 0.76 percent. A vast majority of the population does not have insurance in India.