MIRA INFORM REPORT

 

 

Report Date :

03.01.2013

 

IDENTIFICATION DETAILS

 

Name :

TATA AIA LIFE INSURANCE COMPANY LIMITED (w.e.f. 10.05.2012)

 

 

Formerly Known As :

TATA AIG LIFE INSURANCE COMPANY LIMITED

 

 

Registered Office :

Delphi, B Wing, 2nd Floor, Orchard Avenue, Hiranandani Business Park, Powai, Mumbai – 400076, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

23.08.2000

 

 

Com. Reg. No.:

11-128403

 

 

Capital Investment / Paid-up Capital :

Rs.19535.000 millions

 

 

CIN No.:

[Company Identification No.]

U66010MH2000PLC128403

 

 

IEC No.:

MUMT07312E

 

 

Legal Form :

A closely held public limited liability company.

 

 

Line of Business :

Offering Life and General Insurance.

 

 

No. of Employees :

5798 (Approximately)

 

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 26000000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a joint venture company by Tata Sons and AIA Group (AIA).

 

It is an established company having satisfactory track record. There appears some accumulated losses recorded by the company. However, the company receives good financial support from its group company.

 

Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitment.

 

In view of strong capital base the company can be considered normal for business dealings at usual trade terms and conditions.   

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

INFORMATION DECLINED

 

Management Non Co-Operative

(91-22-66479000)

 

LOCATIONS

                       

Registered Office / Corporate Office :

Delphi, B Wing, 2nd Floor, Orchard Avenue, Hiranandani Business Park, Powai, Mumbai – 400076, Maharashtra, India

Tel. No.:

91-22-66516061 / 66479000

Fax No.:

91-22-66550751 / 67024123

E-Mail :

suresh.mahalingam@tata-aig.com

swaminathan.s@tata-aig.com

Website :

www.tataaia.com

 

 

Branch Office :

Located at

 

·         Ahmedabad

·         Delhi

·         Bangalore

·         Hyderabad

·         Chennai

·         Pune 

 

 

DIRECTORS

 

AS ON 13.08.2012

 

Name :

Mr. Farrokh Kaikhushru Kavarana

 

Designation :

Chairman

 

Address :

CCI Chambers, 5th Floor, Dinshaw Vaccha Road, Mumbai – 400020, Maharashtra, India

 

Date of Birth/Age :

17.03.1944

 

Qualification :

Fellow of the Institute of Chartered Accounts in England and Wales and a member of Institute of Chartered Accounts of India  MBA from Wharlon School   

 

Date of Appointment :

31.01.2001

 

DIN No.:

00027689

 

 

 

 

Name :

Mr. Ishaat R. Hussain

Designation :

Director

Address :

No. 222, 22nd Floor, ‘B’ Wing, NCPA Residental Complex, Sir Dorab Tata Road, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

02.09.1947

Qualification :

Fellow of the Institute of Chartered Accounts in England and Wales, Advanced Management Programme at the Harvard Business School

Date of Appointment :

23.08.2000

DIN No.:

00027891

 

 

Name :

Mr. Pratip Sanjay Kar

Designation :

Director

Address :

1050/1, Survey Park, Kolkata – 700075, West Bengal, India

Date of Birth/Age :

23.12.1951

Qualification :

MBA INSEAD, France

Date of Appointment :

14.01.2011

 

 

Name :

Mr. Phong Thanh Huynh

Designation :

Director

Address :

Flat C1, 78, Repulse Bay Rd, Repulse Bay HK, Hongkong

Date of Birth/Age :

22.05.1966

Qualification :

Order of the British Empire (OBE) by Queen Elizabeth II. Qualified Actuary and a fellow of the society of actuaries (USA) and the Canadian Institute of Actuaries  

Date of Appointment :

21.02.2011

 

 

Name :

Mr. Jaanki Ballabh

Designation :

Director

Address :

Flat No. 605, Versova Vinayak CHS, Near Versova Telephone Exchange, versova Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

24.10.1942

Qualification :

M.Com, Certified Associate of Indian Institute of Bankers (CAIB)

Date of Appointment :

20.04.2007

DIN No.:

00011206

 

 

Name :

Mr. Suresh Mahalingam

Designation :

Managing Director

Address :

8A, Godrej Waldorf, Opposite Millat Nagar, Near Samarth Ashish, Andheri (West), Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

17.02.1962

Qualification :

B. Com, University of Madras, Post gradutate Degree in international Management from IMI New Delhi.

Date of Appointment :

01.06.2009

DIN No.:

01781730

 

 

Name :

Mr. Homi Rustam Khusrokhan

Designation :

Additional Director

Address :

No. 10, Mayfair House, 4th Floor, Little Gibbs Road, Malabar Hill, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

15.12.1943

Qualification :

B.Com, F.C.A.M., Sc (Economics), Chartered Accountant 

Date of Appointment :

14.10.2009

DIN No.:

00005085

 

 

Name :

Mr. Kishor Anant Chaukar

Designation :

Additional Director

Address :

72, A, NCPA Apartment, 7th Floor, Dorabji Tata Road, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

01.08.1947

Qualification :

BA (Economics) Karnataka University, PGDBM – IIM –Ahmedabad, DEA- Rural Economics University of Dijon France  

Date of Appointment :

14.10.2009

DIN No.:

00033830

 

 

Name :

Mr. Simeon Preston

Designation :

Director

Address :

3, Cornwalla Road, Singapore – 119665, Singapore 

Date of Birth/Age :

15.04.1970

Qualification :

MBA (Distinction), INSEAD, France, M. Sc in Transportation Policy and Planning, University of New Castle upon Tyne, United Kingdom   

Date of Appointment :

11.05.2011

DIN No.:

03517416

 

 

KEY EXECUTIVES

 

Name :

Mr. Swaminathan Iyer

Designation :

Secretary

Address :

Flat No.302, 3rd Floor, Cascade, B Wing, Vasant Oscar, LBS Marg, Mulund (West), Mumbai – 400080, Maharashtra, India 

Date of Birth/Age :

15.10.1967

Date of Appointment :

20.12.2010

PAN No.:

AACPI9939G

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 13.08.2012

 

Names of Shareholders

 

No. of Shares

Tata sons Limited,  India

 

1445589400

Tata Sons Limited, Jt. Ishaat Hussain, India

 

100

Tata Sons Limited, Jt. E. N. Kapadia, India

 

100

Tata Sons Limited, Jt. F. N. Subedar, India

 

100

Tata Sons Limited, Jt. Manoj Kumar C.V. , India

 

100

American International Assurance Company (Bermuda ) Limited, Bermuda

 

507910000

Tata Sons Limited, Jt. Farrokh Kavarana, India

 

100

Tata sons Limited, Jt. Kersi Bhagat, India

 

100

Total

 

1953500000

 

AS ON 13.08.2012

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

26.00

Bodies corporate

74.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Offering Life and General Insurance.

 

 

GENERAL INFORMATION

 

No. of Employees :

5798 (Approximately)

 

 

Bankers :

Not Available

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Walker Chandiok and Company

Chartered Accountants

Address :

16th Floor, Tower II, Indiabulls Financial Centre, S. B .Marg, Elphistone (West), Mumbai – 400013, Maharashtra, India

PAN No.:

AAAFW4298E

 

 

Name :

A.F. Ferguson Associates

Chartered Accountant

Address :

12, Dr. Annie Besent Road, Opposite Shiv Sagar Estate, Worli, Mumbai – 400018, Maharashtra, India 

PAN No.:

AAAFA1448A

 

 

Joint Venture :

Tata Sons And AIA Group Limited (AIA)

 

 

Holding Company :

Tata Sons Limited

CIN No.: U99999MH1917PLC00478

 


 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

Authorised Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

2500000000

Equity Shares

Rs.10/- each

Rs.25000.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

1953500000

Equity Shares

Rs.10/- each

Rs.19535.000 Millions

 

 

 

 

 

Note : Share Capital amounting to Rs. 14455.900 millions (previous year Rs. 14211.700 millions) is held by Tata Sons Limited, the holding company, including Joint holding with its nominees.

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

19535.000

19535.000

19205.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

0.000

0.000

0.000

4] (Accumulated Losses)

(12977.561)

(15580.693)

(16098.612)

5] Credit / (Debit) Fair Value Change Account

(3.288)

0.341

0.000

NETWORTH

6554.151

3954.648

3106.388

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

0.000

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

0.000

0.000

0.000

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

Policyholders Fund

137829.449

121886.912

90863.500

 

 

 

 

TOTAL

144383.600

125841.560

93969.888

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

236.149

492.942

917.758

Capital work-in-progress

37.709

18.557

165.033

 

 

 

 

INVESTMENT

144876.222

126581.056

94555.127

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

0.000
0.000
0.000

 

Sundry Debtors

0.000
0.000
0.000

 

Cash & Bank Balances

923.419
1397.443
1356.909

 

Other Current Assets

2515.476
1989.318
1729.911

 

Loans & Advances

1538.577
1184.466
780.364

Total Current Assets

4977.472
4571.227
3867.184

Less : CURRENT LIABILITIES & PROVISIONS

 
 

 

 

Sundry Creditors

2030.709
2081.681
2183.947

 

Other Current Liabilities

3676.950
3676.958
3276.498

 

Provisions

36.293
63.583
74.769

Total Current Liabilities

5743.952
5822.222
5535.214

Net Current Assets

(766.480)
(1250.995)
(1668.030)

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

144383.600

125841.560

93969.888

 

PROFIT & LOSS ACCOUNT

 

Policyholder’s Account (Technical Account)

 

PARTICULARS

31.03.2012

Premiums earned – net

 

(a) Premium

36303.040

(b) Reinsurance ceded

(120.561)

(c) Reinsurance accepted

0.000

Sub-total

36182.479

 

 

Income from investments

 

(a) Interest, Dividend and Rent-Gross

(Net of amortisation of Rs.314.245 Millions (Previous year: Rs.179.684 Millions))

5606.239

(b) Profit on sale/redemption of investments

2733.792

(c) (Loss) on sale/redemption of investments

(2451.427)

(d) Transfer/Gain on revaluation/change in fair value*

(5599.568)

 

 

Other Income

 

(a) Interest on over due Premium

16.902

(b) Interest on Policy loan

85.374

(c) Fees and charges

(543.402)

(d) Exchange fluctuation gain

0.000

(e) Contribution from Shareholders' Account

72.548

(f) Miscellaneous Income

91.480

Sub-total

11.938

 

 

TOTAL (A)

36194.417

 

 

Commission

1419.821

 

 

Operating Expenses related to Insurance Business

7601.911

 

 

Provision for doubtful debts

38.287

Bad debts written off

0.000

Provision for Tax

0.000

Provisions (other than taxation)

 

(a) For diminution in the value of investments (Net)

0.000

(b) Others

0.000

 

 

TOTAL(B)

9060.019

 

 

Benefits paid (Net)

10051.759

Interim Bonuses paid

0.000

Change in valuation of liability in respect of life policies

 

(a) Gross** (Refer Notes A.6 and B.2 of Schedule 16)

7901.076

(b) Amount ceded in Reinsurance

(11.304)

(c) Amount accepted in Reinsurance

0.000

 

 

Transfer to Linked Fund (Net)

6785.594

 

 

TOTAL (C)

24727.125

 

 

SURPLUS/(DEFICTT) [(D)=(A)-{B)-(C)]

2407.273

 

 

Transfer from Linked fund (Lapsed Policies)

271.852

 

 

Funds available for Appropriation (E)

2679.125

 

 

APPROPRIATIONS

 

Transfer to Shareholders' Account

2304.543

Transfer to Other Reserves

0.000

Balance being Funds for Future Appropriation

374.582

 

 

TOTAL (E)

3679.125

 

 

Funds for Future Appropriation

 

Opening Balance at the beginning of the year

1935.964

Current year Appropriations

374.582

Closing Balance Carried Forward to the Balance Sheet

2310.546

 

 

The total surplus shall be disclosed seperately with the following details:

 

(a) Interim Bonuses Paid

0.000

(b) Allocation of Bonus to Policyholders (Refer Note B.19 of Schedule 16)

802.717

(c) Surplus shown in the Revenue Account

2407.273

(d) Total Surplus [(a)+(b)+(c)]

3209.990

 

* Represents the deemed realised gain as per norms specified by the Authority

** Represents Mathematical Reserves after allocation of bonus.

 

Shareholder’s Account (Non-Technical Account)

 

PARTICULARS

31.03.2012

 

 

Amount transferred from the Policyholders' Account (Technical Account)

2304.543

Income from Investments

 

(a)        Interest, Dividend and Rent-Gross

(Net of amortisation Rs.46.390 Millions (Previous Year: Rs.31.621 Millions))

416.178

(b)        Profit on sale/redemption of investments

1.625

(c)        (Loss) on sale/redemption of investments

(0.640)

 

 

Other Income

 

Miscellaneous Income

0.000

 

 

TOTAL (A)

2721.706

 

 

Expenses other than those directly related to the insurance business

 

(a)        Donations

0.004

(b)        Other expenses

 

(i)         Employees' remuneration and welfare benefits

25.078

(ii)         Legal and Notarial Fees

0.000

(iii)        Preliminary Expenses Written off

0.000

(iv)        Miscellaneous expenses

20.944

 

 

Bad debts Witten off

0.000

 

 

Provisions (other than Taxation)

 

(a)        For diminution in the value of investments (Net)

0.000

(b)        Provision for doubtful debts

0.000

(c)        Others

0.000

Contribution to the Policyholders' Fund

72.548

 

 

TOTAL(B)

118.574

 

 

Profit/(Loss) before tax

2603.132

Provision for taxation

0.000

Profit/(Loss) after tax

2603.132

APPROPRIATIONS

 

Balance at the beginning of the year

(15580.693)

(b)        Interim dividends paid during the year

0.000

(c)        Proposed final dividend

0.000

(d)        Dividend distribution on tax

0.000

(e)        Transfer to reserves/other accounts

0.000

 

 

Profit/(Loss) carried forward to the Balance Sheet

(12977.561)

 

 

EARNING PER SHARE

 

Basic and Diluted

(Face Value Rs.10/- per share)

1.33

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

 

39728.662

34815.564

 

 

Other Income

 

10531.478

25992.300

 

 

TOTAL                                     (A)

 

50260.140

60807.864

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Salaries, wages and bonus

 

4126.858

4375.109

 

 

Managerial remuneration

 

25.831

21.888

 

 

Payment to auditors

 

3.496

3.590

 

 

Other Expenditure

 

44879.911

59533.184

 

 

TOTAL                                     (B)

 

49036.096

63933.771

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

 

1224.044

(3125.907)

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

 

70.072

70.032

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

 

1153.972

(3195.939)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

636.053

804.184

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

 

517.919

(4000.123)

 

 

 

 

 

Less

TAX                                                                  (I)

 

0.000

0.000

 

 

 

 

 

 

PROFIT AFTER TAX (G-I)                                  (J)

 

517.919

(4000.123)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

 

(15580.693)

(16098.612)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

 

(16098.612)

(12098.489)

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

0.27

(2.48)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

NA
1.03
(6.57)

 

 

 
 
 

Net Profit Margin

(PBT/Sales)

(%)

NA
1.30
(11.48)

 

 

 
 
 

Return on Total Assets

(PBT/Total Assets}

(%)

49.93
10.22
(83.59)

 

 

 
 
 

Return on Investment (ROI)

(PBT/Networth)

 

0.40
0.13
(1.28)

 

 

 
 
 

Debt Equity Ratio

(Total Liability/Networth)

 

0.88
1.47
1.78

 

 

 
 
 

Current Ratio

(Current Asset/Current Liability)

 

0.87
0.78
0.69

 

 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

(Rs. In Millions)

Particulars

31.03.2012

31.03.2011

31.03.2010

 

 
 

 

Sundry Creditors

2030.709
2081.681
2183.947

 

 

 

 

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

No

24]

Banking facility details

No

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

NOTE:

 

The registered office address of the company has been shifted from Peninsula Towers, 6th Floor, Peninsula corporate Park, Ganpatrao, Kadam Marg, Lower Parel, Mumbai  400013, Maharashtra, India to present w.e.f. 14.03.2010

 

TATA AIG LIFE BECOMES TATA AIA LIFE

NEW DELHI: Tata AIG Life Insurance has been rechristened as Tata AIA Life Insurance Company following the exit of American International Group (AIG) from the Hong Kong-based insurer AIA Group.

Tata AIG was set up in 2001 as a joint venture between the Indian conglomerate Tata Group and AIG. Tata Sons has 74 per cent stake in the JV, while the remaining 26 per cent share is held by AIA, in which AIG had a controlling stake earlier. AIA separated from the group in 2009 after it.

INDUSTRY OVERVIEW

 

The year 2011*12 saw continued reduction in growth In new business. The New Business Premium (NBP) in the industry reduced by S% over the pervious year. The gross Value of New Business (VONB) excluding expense overrun were in the range of 15% to 17%. Active Regulatory oversight continued across various aspects of the business with increased scrutiny of product designs and monitoring of Intermediary payouts. The focus has shifted from investment linked lo traditional plans as expected.

 

The Company closed the year with new business premium of Rs.9400.000 Millions as against Rs.13320.000 Millions in the previous year. The Company's new business premium market share amongst private players was 3.4% The Group business contributed to 23% of the total new business premium as compared to 16% in the previous year.

 

The Lire Insurance industry is undergoing a transition from scalability to sustainability, accelerated by the far reaching changes with various Regulatory interventions. The growth potential however remains encouraging since penetration levels are still low. There exists a significant growth opportunity al current savings rate, economic growth will push household incomes higher while life expectancy creates opportunities In pensions, there is a positive shift In the demographic transition.

 

The medium term growth story of the industry is expected to be in line with GDP growth. With the changing Regulatory landscape, emphasis in the coming years will intensify towards driving productivity improvements, capital efficiency and profitability, higher persistency and improved productivity will be key aspects to achieve these objectives. Expense management discipline will continue to be an important agenda and costs of distribution need to be managed frugally.

 

FIXED ASSETS:

 

  • Goodwill
  • Intangible – Computer Software
  • Freehold Land
  • Leasehold Improvements
  • Buildings
  • Furniture, Fixtures and Fittings
  • Information Technology Equipments
  • Vehicles
  • Office Equipments

 

PRESS RELEASE:

 

TATA AIA LIFE REINFORCES VALUES AND FOUNDATIONS IN ITS NEW FILM - 'ADMISSION'

JULY 17, 2012

 

Tata AIA Life Insurance Company Ltd. (Tata AIA Life) today announces the release of its new Television Commercial "Admission'', reinforcing the importance of Values and Foundations necessary for a secure future.

 

Tata AIA Life Insurance Company Ltd. (Tata AIA Life) today announces the release of its new Television Commercial "Admission'', reinforcing the importance of Values and Foundations necessary for a secure future. The commercial leverages a strong insight that if the Foundations are strong, the future is protected.

 

The film is the third in a series of communication campaign reiterating the importance of inculcating strong values and a sound foundation in children by parents.

 

The film opens in the office of a school Principal, where the Parents have come to seek admission for their son. The Principal throws the parents off-guard by asking, if they have applied in other schools as well. The mother of the child hesitates and is uncertain about what to say. At this point, the father emphatically states that they indeed have applied in three other schools and could not procure an admission any other place. The Principal acknowledges the integrity of the reply and the tension is broken by the Principal directly addressing the child, implying the likelihood of getting the admission.

 

Announcing the launch of the latest campaign, Vijay Sinha, Senior Vice President and Head of Marketing at Tata AIA Life, said, "Strong values are integrated both in intent and behavior across our organization. In a fast-changing world, we firmly believe that inculcating these Values stand in good stead as the child grows. Like a good Insurance policy, strong Values and Foundations give good returns through Life."

 

Sagar Mahabaleshwarkar, National Creative Director, Bates, adds, "When you hit upon a good idea, it's always easy to write magical stories around it. This is the third film; after 'Thank You' and 'Touching the feet' idolizing the Brand Philosophy. For 'Admission', the same dynamic team of Juhi Chaturvedi & Shoojit Sircar from the Vicky Donor fame have added their magical touch to bring alive the real life values of honesty & transparency."

 

Vikrant Ramachandra, Vice President and Head, Brand Marketing said, "A brand must reflect the ideology of its genotype and it has got to be consistent across executions. This third film, in the series, does that. The emphasis across executions has been to portray real and believable situations that are of high concern to parents."

 

Film Credits

 

Agency: Bates Asia

 

·         National Creative Director: Sagar Mahabaleshwarkar

·         Executive Creative Director: Juhi Chaturvedi

·         Film Director: Shoojit Sircar

·         Production House: Rising Sun Films

·         Account Management: Tiraz Balaporia, Rakesh Varma and Shraddha Tandale

 

TATA AIA LIFE LAUNCHES A COMPREHENSIVE TERM INSURANCE PLAN - TATA AIA LIFE INSURANCE MAHA RAKSHA SUPREME

AUGUST 16, 2012

 

·         Twin protection cover – Pure Protection and Extra Protection

·         Life Stage Plus feature offers hassle-free option to increase premium cover

·         Inbuilt Payout Accelerator Benefit

·         Enhanced protection through an array of riders

 

 

Tata AIA Life Insurance Company (Tata AIG Life) today announced the launch of its new plan, Tata AIA Life Insurance Maha Raksha Supreme, a non-linked, non-participating term insurance plan that offers customers a wide range of life protection options to protect one’s family’s standard of living (SOL).

 

Protecting one’s family’s SOL is the primary objective of a life insurance plan. Adequate life insurance cover ensures that in case of an unfortunate event, the life insurance proceeds provide the dependent family with adequate financial income that will enable them to maintain the same SOL as before.

 

Tata AIA Insurance Maha Raksha Supreme, with its two cover options - Pure Protection cover and Extra Protection cover, can ensure the maintenance of one’s family’s SOL.

 

·         Pure Protection cover is the basic form of life insurance, where the nominee will receive the basic sum assured in the event of the insured’s demise.

 

·         Extra Protection cover offers insurance cover, combined with an inbuilt waiver of premium option, and ensures that in case the insured suffers from total permanent disability, the future premiums are waived and the policy will continue for life insurance protection.

 

·         Besides these options, there is also an inbuilt Payout Accelerator Benefit, where in case the insured is diagnosed with a terminal illness and not expected to survive for a period greater than six months, 50 percent of the chosen basic sum assured is paid to the insured on diagnosis of the terminal illness. This can help them take care of any sickness / living expenses or settling any major responsibilities in their life. The balance 50 percent of the sum assured is payable on death.

 

Speaking on the launch of the product, Suresh Mahalingam, managing director, Tata AIA Life, said, “An unfortunate event in the life of the bread earner of the family may seriously affect the SOL of his loved ones and burden them with unexpected liabilities. One of the best ways to avoid such a situation and ensure that the financial need of one’s dependent family is protected is through a comprehensive term insurance plan. With Tata AIA Life Insurance Maha Raksha Supreme, our customers will also have the choice of increasing the cover amount for future milestone events, like marriage and birth of a child, without going through the hassles of fresh medical underwriting, by opting for Life Stage Plus option. This feature is a unique way of protecting your insurance from de-valuing over a period of time.”

 

Commenting on the occasion, Vijay Sinha, senior vice president, marketing, product development and agency training, Tata AIA Life, said, “According to a Swiss Re report, India has a staggering protection gap of over $6.7 trillion, which is the third largest in Asia-Pacific. This implies that for every Rs100 that needs to be spent on life insurance cover, only Rs7.4 is spent in India on insurance and savings put together, thereby leaving a huge 92.6 percent protection gap overall. Our latest offering, Tata AIA Life Insurance Maha Raksha Supreme has been designed to address this staggering protection gap and drive alignment with the customer’s needs at different stages of their life cycle. Our endeavour shall be to help our customers and prospects find this gap and take adequate steps to fill it. The entire focus shall be on helping our clients mind the gap."

 

Customers can further enhance their cover by choosing from an array of riders for additional protection by paying an additional premium. The plan offers rider options like (a) Tata AIA Life accidental death benefit rider; (b) Tata AIA Life accidental death and dismemberment (long scale) rider; (c) Tata AIA Life accidental death and dismemberment (short scale) rider; (d) Tata AIA Life surgical benefit rider (covering more than 900 surgeries) and (e) Tata AIA Life critical illness lump sum benefit rider (covering six critical illnesses like cancer, stroke, heart attack, coronary bypass surgery, chronic renal failure and major organ transplant).

 

Tata AIA Life Insurance Maha Raksha Supreme comes with a minimum sum assured of Rs50 lakh. The plan also offers special rates for women and non-smokers. There is a high cover discount for policies with sum assured equal to or more than Rs1 crore. The customers also have the option of paying for the policy as single premium or regular premiums, depending on their convenience.

 

Tata AIA Life Insurance Maha Raksha Supreme is available to individuals between the ages 18–70 years for the Pure Protection cover option and ages 18–55 years for the Extra Protection cover option. Premiums paid under this plan are eligible for tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961.

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.39

UK Pound

1

Rs.88.76

Euro

1

Rs.72.19

 

 

INFORMATION DETAILS

 

Information Gathered by :

PJA

 

 

Report Prepared by :

BSN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

4

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

45

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

-

NB

                                       New Business

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.