Pvt life insurers see early signs of demand uptick

Large private-sector life insurers are witnessing early signs of increased customer traction — both in terms of leads and conversion to sales — following the implementation of nil goods and services tax (GST).

- AATHIRA VARIER

Insurance companies have passed on the full benefit of GST cuts to consumers, and are not going to change pricing of the products.

Meanwhile, the insurance firms plan to use multiple levers, including renegotiating commissions with distributors and other operating expenses (opex) optimisation measures, to reduce the impact of withdrawal of input tax credit (ITC) following implementation of nil GST rates.