Falling new business premium collections and low investor sentiments are likely to mar Indian insurers’ aim of a better performance at the coveted MDRT (Million Dollar Round Table) list of insurance agents this year. With just three months left for the year to close, the industry is pinning its hopes on the last quarter to accomplish the targets.

MDRT is an international platform that recognises life insurance agents for achieving sales excellence. An agent should either garner business premium of at least Rs 30,36,400 or earn commission of Rs 7,59,100 to be eligible for MDRT in 2009. The association has nearly 36,000 life insurance and financial services professionals representing 450 companies from 76 nations and territories.

Going by business generated by insurers so far this year, the best the insurers hope is to at least hold on to the last year’s targets of MDRT — which seems a daunting task. The private sector, which comprises 21 life insurance companies, has not experienced positive growth in their new business premium collections so far this year. While the lone public sector insurer seems to be raking in all the new business, the private sector is trying hard to fight the odds and post better collections in the last quarter.

SBI Life, which topped the list with 2,677 agents in 2009, expects to not only retain the top slot but also witness a marginal growth in the number. “This is a challenging year for the insurance industry. Usually the first quarter of the calendar year (January-March) is very productive and therefore, the pressure of sales eases by the last quarter (October-December). But this year, the initial momentum was missing and now there is a lot of pressure (on agents) to meet the targets set. We are monitoring the situation very closely and hope to retain last year’s position,” said Rajiv Kumar Gupta, executive director, SBI Life.

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