|
Report Date : |
09.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
AEGON RELIGARE LIFE INSURANCE COMPANY LIMITED |
|
|
|
|
Registered
Office : |
Plot No. 19 - 22, 2nd Floor, Paranjpe "B" Scheme, Subhash Road, Near Garware House, Vile Parle (East), Mumbai – 400057, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of Incorporation
: |
23.03.2007 |
|
|
|
|
Com. Reg. No.: |
11-169110 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 11350.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U66010MH2007PLC169110 |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
The Company engaged in the business of life insurance. |
|
|
|
|
No. of Employees
: |
1050 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (42) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 4500000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a joint venture between “Reliagare” a global financial
service group and Bennett Coleman and company, India’s largest media house. It is a well established and reputed company having a satisfactory
track record. There appears huge accumulated losses recorded by the company. However, the capital base of the company appears to be strong. The
subject gets good financial support from its holding companies. Trade relations are reported to be fair. Business is active. Payments
are reported to be slow but correct. In view of strong holding and experience promoters the company can be
considered normal for business dealings.
|
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 PARTED BY (GENERAL DETAILS)
|
Name : |
Mr. Vinod Rathi |
|
Designation : |
Finance Department |
|
Contact No.: |
91-9819621945 |
|
Date : |
06.03.2013 |
LOCATIONS
|
Registered Office : |
Plot No. 19 - 22, 2nd Floor, Paranjpe "B"
Scheme, Subhash Road, Near Garware House, Vile Parle (East), Mumbai – 400057,
Maharashtra, India |
|
Tel. No.: |
91-22- 67292929 |
|
Mobile No.: |
91-9819621945 (Mr. Vinod Rathi) |
|
Fax No.: |
91-22-67293333 |
|
E-Mail : |
|
|
Website : |
|
|
Location : |
Owned |
|
|
|
|
Branch Office : |
Located At all over India |
DIRECTORS
As on 18.07.2012
|
Name : |
Mr. Sunil Naraindas Godhwani |
|
Designation : |
Nominee director |
|
Address : |
A-2, Inayat Farm, Asola Fatehpur Beri, P.O. Mehrauli, New Delhi -110030, India |
|
Date of Birth/Age : |
10.12.1960 |
|
Date of Appointment : |
23.03.2007 |
|
DIN No.: |
00174831 |
|
|
|
|
Name : |
Mr. Ravi Umesh Mehrotra |
|
Designation : |
Nominee director |
|
Address : |
40A, Block 1, Estoril Court, 55, Garden Road, Mid Levels, Hong Kong |
|
Date of Birth/Age : |
28.01.1961 |
|
Date of Appointment : |
23.12.2011 |
|
DIN No.: |
01355561 |
|
|
|
|
Name : |
Mr. Kamlesh Rajaninath Dangi |
|
Designation : |
Nominee director |
|
Address : |
101, Sunville, Plot No 8, JVPD, Vile Parle (West), Mumbai 400 057, Maharashtra, India |
|
Date of Birth/Age : |
07.11.1971 |
|
Date of Appointment : |
23.12.2011 |
|
DIN No.: |
05152439 |
|
|
|
|
Name : |
Mr. Douglas Curry Henck |
|
Designation : |
Nominee director |
|
Address : |
19A, Tower 2, Dynasty Court, 23 Old Peak Road, Mid level, Central Hong Kong, Netherlands |
|
Date of Birth/Age : |
14.02.1953 |
|
Date of Appointment : |
14.04.2011 |
|
DIN No.: |
03497177 |
|
|
|
|
Name : |
Mr. David William Wolf |
|
Designation : |
Nominee director |
|
Address : |
48, McBride way, Bridgewater, New Jersey, NJ 08807-2685, U.S. Citizen |
|
Date of Birth/Age : |
19.03.1964 |
|
Date of Appointment : |
11.10.2011 |
|
DIN No.: |
03633892 |
|
|
|
|
Name : |
Mr. Johannes Aart Van Der Steen |
|
Designation : |
Nominee director |
|
Address : |
31, Twenty Sixth Street, Hong Lok Yuen, Tai Po New Territories, Netherlands |
|
Date of Birth/Age : |
23.09.1971 |
|
Date of Appointment : |
11.10.2011 |
|
DIN No.: |
03641656 |
|
|
|
|
Name : |
Mr. Adarsh Kishore |
|
Designation : |
Director |
|
Address : |
Badarika Farm House, Behind Railway Officers, Colony, Near Jagatpura Railway Station, Jaipur – 302025, Rajasthan, India |
|
Date of Birth/Age : |
04.121946 |
|
Date of Appointment : |
31.03.2010 |
|
DIN No.: |
02902810 |
|
|
|
|
Name : |
Mr. Kashi Nath Memani |
|
Designation : |
Director |
|
Address : |
177 C, Western Avenue, Lane No. 7, Sainik Farms, New Delhi - 110 062, India |
|
Date of Birth/Age : |
01.01.1939 |
|
Date of Appointment : |
31.05.2008 |
|
DIN No.: |
00020696 |
|
|
|
|
Name : |
Mr. Sivakumar Sundaram |
|
Designation : |
Nominee director |
|
Address : |
6, Shankar Sagar Sophia College Lane, Breach Candy, Mumbai 400026, Maharashtra, India |
|
Date of Birth/Age : |
23.07.1966 |
|
Date of Appointment : |
31.05.2008 |
|
DIN No.: |
00105562 |
|
|
|
|
Name : |
Mr. Rajiv Jamkhedkar |
|
Designation : |
Managing director |
|
Address : |
Flat 401, Ambrosia CHS, Orchard Avenue, Hiranadani Gardens, Powai, Mumbai 400 076, Maharashtra, India |
|
Date of Birth/Age : |
08.05.1968 |
|
Date of Appointment : |
31.03.2010 |
|
DIN No.: |
02838387 |
KEY EXECUTIVES
|
Name : |
Mr. Jitin Pramodrai Parekh |
|
Designation : |
Secretary |
|
Address : |
203, Trishul II, J. P. Road, Seven Bunglows, Andheri (West), Mumbai 400 061, Maharashtra, India |
|
Date of Birth/Age : |
13.05.1974 |
|
Date of Appointment : |
01.02.2010 |
|
Pan No.: |
AAFPP3595A |
|
|
|
|
Name : |
Mr. Vinod Rathi |
|
Designation : |
Finance Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 18.07.2012
|
Names of Shareholders |
|
No. of Shares |
|
Religare Enterprises Limited, India |
|
499399844 |
|
Bennett Coleman and Company, India |
|
340500000 |
|
AEGON India Holding B.V, Netherlands |
|
295099961 |
|
Sunil Godhwani |
|
64 |
|
Shivinder Mohan Singh jt. Anil Saxena |
|
32 |
|
Harpal Singh jt. J 5 Grewal |
|
30 |
|
Gurpreet Singh Dhillon jt. Chandan Sinha |
|
30 |
|
Rajiv Jamkhedkar |
|
39 |
|
Total |
|
1135000000 |
As on 18.07.2012
Equity Share Break up (Percentage of Total Equity)
|
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 : |
The Company engaged in the business of life insurance. |
|
|
|
|
Terms : |
|
|
Selling : |
Cash / Credit |
|
|
|
|
Purchasing : |
Cash / Credit |
GENERAL INFORMATION
|
Customers : |
End Users |
|
|
|
|
No. of Employees : |
1050 (Approximately) |
|
|
|
|
Bankers : |
·
HDFC Bank, Fort, Mumbai, Maharashtra, India ·
ICICI Bank Limited ·
Axis Bank Limited ·
State Bank of India ·
Bank of Baroda 15,811 1.60% ·
The Federal Bank ·
Yes Bank ·
Punjab National Bank |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Khimji Kunverji and Company Chartered Accountants |
|
Address : |
Suite No 52, Bombay Mutual Building, Sir P M Road, Fort, MUMBAI –
400001, Maharashtra, India |
|
PAN.: |
AAAFK1142M |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse and Company Chartered Accountants |
|
Address : |
252, Veer Savarkar Marg, Dadar (West), Mumbai – 400028, Maharashtra,
India |
|
PAN.: |
AAAFP8828M |
|
|
|
|
Related parties
where control exists : |
a) AEGON India Holdings B.V. b) Religare Enterprises Limited c) Bennett Coleman and Compnay Limited |
|
|
|
|
Associates |
a) AEGON Central Procurement Limited b) Religare Finvest Limited c) Religare Insurance Broking Limited d) Religare Macquarie Wealth Management Limited e) REL Infrafacilities Limited (formerly known as Religare Realty Limited) f) Religare Technova Business Intellect Limited g) Religare Technologies Limited (formerly known as Religare Technova IT Services Limited) h) Super Religare Laboratories Limited i) AEGON Religare Life Insurance Employees Gratuity Fund j) Religare Securities Limited k) Religare Travels (India) Limited l) Religare Wellness Limited m) Transamerica Life Insurance Company n) AEGON N.V. o) Religare Capital Markets Limited |
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2000000000 |
Equity Shares |
Rs.10/- each |
Rs.20000.000 Millions |
|
|
|
|
|
Issued, Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1146000000 |
Equity Shares |
Rs.10/- each |
Rs.11460.000
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1135000000 |
Equity Shares |
Rs.10/- each |
Rs.11350.000
Millions |
|
|
|
|
|
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 |
11350.000 |
9500.000 |
5700.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
5] Credit / (Debit) fair value change account (Net) |
0.016 |
0.014 |
0.053 |
|
|
NETWORTH |
11350.016 |
9500.014 |
5700.053 |
|
|
|
|
|
|
|
|
POLICYHOLDERS' FUNDS |
|
|
|
|
|
Credit/(Debit) Fair Value Change Account (Net) |
0.000 |
0.000 |
0.000 |
|
|
Policy Liabilities |
824.367 |
416.844 |
132.292 |
|
|
Insurance Reserves |
|
|
|
|
|
Linked Liabilities |
6453.822 |
3973.709 |
1258.649 |
|
|
Fair value change |
(128.755) |
118.095 |
48.980 |
|
|
Provision For Linked Liabilities |
6325.067 |
4091.804 |
1307.629 |
|
|
TOTAL BORROWING |
7149.434 |
4508.648 |
1439.921 |
|
|
|
|
|
|
|
|
Funds for Discontinued Policies |
|
|
|
|
|
Discontinued on account of non-payment of premium |
124.486 |
0.165 |
0.000 |
|
|
Others |
|
|
|
|
|
Funds For Future Appropriations (Linked) |
50.042 |
31.987 |
12.577 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
18673.978 |
14040.814 |
7152.551 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
86.602 |
215.981 |
452.062 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
Shareholders' |
1591.674 |
1893.089 |
1035.748 |
|
|
Policyholders' |
854.216 |
423.477 |
136.362 |
|
|
Assets Held To Cover Linked Liabilities |
6499.595 |
4123.956 |
1320.206 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
0.000
|
0.000 |
0.000 |
|
|
Sundry Debtors |
0.000
|
0.000 |
0.000 |
|
|
Cash & Bank Balances |
331.044 |
484.818 |
252.600 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
882.422 |
771.471 |
487.104 |
|
Total
Current Assets |
1213.466
|
1256.289 |
739.704 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
736.542 |
998.617 |
531.802 |
|
|
Other Current Liabilities |
219.144 |
193.096 |
85.413 |
|
|
Provisions |
23.051 |
23.494 |
35.926 |
|
Total
Current Liabilities |
978.737
|
1215.207 |
653.141 |
|
|
Net Current Assets |
234.729 |
41.082 |
86.563 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
|
|
|
Debit Balance of Profit and Loss Account |
1007.286 |
436.930 |
199.656 |
|
|
Deficit in the Revenue Account [Policyholders' Account) |
8399.876 |
6906.299 |
3921.954 |
|
|
|
|
|
|
|
|
TOTAL |
18673.978 |
14040.814 |
7152.551 |
|
PROFIT & LOSS
ACCOUNT
Shareholders’ Account (Non-technical Account)
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
Income From Investments |
|
|
|
|
|
|
|
(a) Interest, Dividends and Rent - Gross |
68.936 |
60.918 |
38.233 |
|
|
|
(b) Profit on sale/redemption of investments |
18.853 |
9.881 |
5.317 |
|
|
|
(c) (Loss on sale/redemption of investments) |
(103) |
(0.050) |
(0.157) |
|
|
|
(d) Transfer / Gain on revaluation / change in fair value |
0.000 |
0.000 |
0.000 |
|
|
|
(e) Amortisation of premium / discount on investments |
53.494 |
46.068 |
8.121 |
|
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
|
TOTAL |
141.180 |
116.817 |
51.514 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
Expenses other than those directly related to the
insurance business |
4.559 |
56.686 |
13.292 |
|
|
|
Bad debts written off |
0.000 |
0.000 |
0.000 |
|
|
|
Provisions (Other than taxation) |
|
|
|
|
|
|
(a) For diminution in the value of investments (net) |
0.000 |
0.000 |
0.000 |
|
|
|
(b) Provision for doubtful debts |
0.000 |
0.000 |
00000 |
|
|
|
(c) Others |
0.000 |
0.000 |
0.000 |
|
|
|
Contribution to the Policyholders' Account (Technical Account) |
706.977 |
297.405 |
0.000 |
|
|
|
|
TOTAL |
711.536 |
354.091 |
13.292 |
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
(570.356) |
(237.274) |
38.222 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX |
(570.356) |
(237.274) |
38.222 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(436.930) |
(199,656) |
(237.878) |
|
|
|
|
|
|
|
|
|
|
BALANCE / (LOSS)
CARRIED TO THE B/S |
(1007.286) |
(436,930) |
(199.656) |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(1.97) |
(4.15) |
(5.47) |
|
PROFIT & LOSS
ACCOUNT
Pollcyholder’s Account (Technical Account)
|
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
|
|
Premium Earned –
Net |
|
|
|
|
|
a) Premium |
|
3886.088 |
1656.525 |
|
|
b) Reinsurance Ceded |
|
(36.264) |
(8.628) |
|
|
c) Reinsurance accepted |
|
0.000 |
0.000 |
|
|
Sub-total |
|
3.849.824 |
1647.897 |
|
|
|
|
|
|
|
|
Income
from investments |
|
|
|
|
|
a) interest, Dividend and Rent – Gross |
|
61.522 |
13.552 |
|
|
b) Profit on sale / Redemption of investments |
|
139.392 |
86.404 |
|
|
c) (Loss) on sale / Redemption of investments |
|
(77.409) |
(19.086) |
|
|
d) transfer/Gain (Loss) on revaluation / change in fair value |
|
118.095 |
48.980 |
|
|
e) Gain / (Loss) on Amortisation |
|
11.564 |
3.876 |
|
|
|
|
|
|
|
|
Other Income |
|
|
|
|
|
a) contribution from the shareholders account |
|
297.405 |
0.000 |
|
|
b) Linked Income |
|
0.000 |
0.000 |
|
|
c) Appropriation / (Expropriation)
Adjustment |
|
6.898 |
2.928 |
|
|
Total (A) |
|
4407.2941 |
1784.551 |
|
|
|
|
|
|
|
|
Commission |
|
219.053 |
129.288 |
|
|
Operating expenses related to insurance business |
|
4063.128 |
2782.529 |
|
|
Provision for Doubtful debts |
|
1.246 |
0.000 |
|
|
Bad debts written off |
|
0.000 |
0.000 |
|
|
Provision for tax |
|
0.000 |
0.000 |
|
|
Provision (other than taxation) |
|
0.000 |
0.000 |
|
|
a) for diminution in value of investments (net) |
|
0.000 |
0.000 |
|
|
b) others |
|
0.000 |
0.000 |
|
|
Total (B) |
|
4283.427 |
2911.817 |
|
|
|
|
|
|
|
|
Benefits paid (Net) |
|
19.907 |
4.970 |
|
|
Interim Bonus Paid |
|
|
|
|
|
Change in valuation of liabilities in respect of life policies |
|
|
|
|
|
a) Gross |
|
3146.766 |
1263.291 |
|
|
b) (Amount ceded in Re-insurance) |
|
(77.874) |
(28.894) |
|
|
c) Amount accepted in Re-insurance |
|
0.000 |
0.000 |
|
|
Total (C) |
|
3088.799 |
1239.367 |
|
|
|
|
|
|
|
|
Surplus /
(Deficit) (D)= (A)-(B)-(C) |
|
(2964.935) |
(2366.633) |
|
|
|
|
|
|
|
|
Appropriations |
|
|
|
|
|
Transfer to shareholders account |
|
0.000 |
0.000 |
|
|
Transfer to Balance being ‘Deficit in Revenue Account |
|
(2984.345) |
(2378.716) |
|
|
Transfer to Balance being funds for future appropriation |
|
19.410 |
12.083 |
|
|
Total (D) |
|
(2964.935) |
(2366.633) |
|
|
|
|
|
|
|
|
The total surplus mentioned below |
|
|
|
|
|
a) interim Bonuses paid |
|
0.000 |
0.000 |
|
|
b) allocation of bonus to policyholders |
|
40.846 |
0.000 |
|
|
c) surplus/(Deficit) shown in the revenue account |
|
0.000 |
0.000 |
|
|
Total Surplus
[(a)+(b)+(c)] |
|
40.846 |
0.000 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
6.30
|
0.47 |
0.25 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.24
|
1.03 |
1.13 |
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF SUNDRY
CREDITORS
Rs.
In Millions
|
Particular |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
|
|
|
Sundry creditors |
736.542 |
998.617 |
531.802 |
|
Total |
736.542 |
998.617 |
531.802 |
|
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 |
Yes |
|
10] |
Designation of contact person |
Yes |
|
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 |
Yes |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
---------------------- |
|
22] |
Litigations that the firm / promoter involved in |
---------------------- |
|
23] |
Banking Details |
Yes |
|
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 |
DETAILS OF CHARGES
|
ENTITY |
COMPETENT AUTHORITY |
REGULATORY
CHARGES |
REGULATORY
ACTION(S) / DATE OF ORDER |
FURTHER
DEVELOPMENTS |
|
AEGON RELIGARE LIFE INSURANCE COMPANY LIMITED |
SEBI |
Launched unit linked insurance products (ulips) without obtaining requisite certificate of registration from sebi |
Restrained from issuing any offer document, advertisement
or brochure soliciting money from investors or raise money from investors by
way of new and/or additional subscription for any product (including ulips)
having investment component in nature of mutual funds, till they obtain
requisite certificate of registration from sebi from 09-Apr-2010 |
Irda: irda vide order dated 10.04.2010 directed insurance companies to note that not withstanding said order of sebi,they shall continue to carry out insurance business as usual including offering, marketing and servicing ulips in accordance with insurance act,1938, rules, regulations and guidelines issued there under by irda |
Note:
The registered office of the company has been shifted from
45, Maker Chambers, Nariman Point, Mumbai – 400021, Maharashtra, India to present address
w.e.f. 31.05.2008
BACKGROUND
Subject a joint venture between AEGON India Holding B.V, Religare Enterprises Limited and Bennett Coleman and Co. Limited was incorporated on March 23rd, 2007 under the Companies Act, 1956 (‘the Act’) to undertake and carry on the business of life insurance business in India. The Company has obtained a registration from the Insurance Regulatory and Development Authority (‘IRDA’) dated June 27th, 2008 for carrying on the business of life insurance in India.
The Company’s life insurance business comprises of Participating, consisting of Non Linked business of Individual Insurance products, and Non Participating consisting of Non Linked business of Individual, Health and Group Insurance and Linked business of Life, Pensions and Group Gratuity. These products also have riders attached to them such as Accidental Death, Dismemberment and Disability benefit, Critical illness, Waiver of Premium, Income benefit, Term rider etc. These products are distributed through individual agents, corporate agents, brokers, referral partners and direct channel.
INDUSTRY OUTLOOK
2011-12 continued to be slow for the Life Insurance industry, with the individual non single premium sales showing a 2% decline. The decline, at 23%, was sharper for the private sector. The significant regulatory changes of 2010-11 continued to have a major impact as the adjustment to the new measures has taken some time.
The share of the private sector for financial year 2011-12 in the overall industry pie is around 29% (down from 31% in Financial year 2010-11) on the basis of first year received premium and 37% (down from 47% in Financial year 2010-11) on the basis of first year received individual non-single premium.
In response to the reduction in profit margins, many companies in the private sector focused on the bottom line. 9 companies posted positive net income in 2010-11 and 13 till December 2011 in 2011-12.
FOURTH YEAR OF
BUSINESS OPERATIONS
The Company’s theme for its fourth year was ‘Balanced Growth’. The financial year started with the focus on growing the business on the back of the existing geographical foot print and resources built over until 2010-11. The strategy was to drive focus on hiring advisors through the first half of the year actively, stepping up the engagement with existing channel partners and forging new tie-ups.
However, given the challenges faced during the first quarter with the de-growth in the industry and the Company, a review of strategic objectives was undertaken, keeping the next ten years in focus. As a result of this exercise, certain immediate steps were taken including scaling down the Direct channel, strategic cost management, improve persistency of in-force business, improve Net Promoter Score from customers and utilize existing resources efficiently to drive the business volumes. As at March 31, 2012 the Company has 105 branches (Previous year – 118). During the year the Company sold around 79,500 (Previous year 93,000) individual policies registering de-growth of 14% and received new business premium income of Rs. 2076.517 Millions (Previous year Rs. 2748.695 Millions) registering a de-growth of 24%. The total received premium was Rs.4573.205 Millions (Previous year Rs. 3886.088 Millions) registering a growth of 18%.
OPERATIONS
The Company continues to operate a strong customer-centric operation with complete focus on customer satisfaction. The key differentiators rolled out in the first year like providing medical reports to customers (where tests are conducted), T-pins (Telephone Pins) for the customers to dial in and obtain details of the policy bought or perform transactions such as fund switch, continue to receive a favourable response from the customers. The Company continues to extend convenient options to customers for renewal payments which include IVR, On-line payment and deposit into any AXIS bank branch across India. The other customer friendly initiative continued is the payment of fund value in 48 hours in respect of claims received for unit linked policies. During the year the Company implemented a ‘hub and spoke’ model for policy processing there reducing the turnaround time for policy issuance to customers. Further, the Company has commenced pre-issuance ‘welcome calling’ to ensure quality of business and offer better on-boarding to the customer which has seen a reduction in number of post issuance complaints.
Enhancements to systems continued to be deployed in enhancing the Information Technology (IT) capability. The Company has a total of 20 applications with 8 core applications. Some of the significant milestones achieved during the year include the implementation of phase 2 of AURA (automated underwriting), launch of the iLearn platform for employees and moving the data center and IT support to IBM. The roll-out of the revised i-Term was the other key initiative during the year. The company won the CIO 100 award for 3rd year in a row. As a part of initiative to have the latest contact details of customers, about 85000 customers were contacted and updated contact details obtained for over 10,000 customers. During the year the company launched the Lean Six Sigma (LSS) approach to driving efficiency and quality process and new projects were taken up. The coming year will see a larger focus on this area which will help drive quality, efficiency and customer satisfaction.
CONTINGENT LIABILITY
Rs. In Millions
|
Particular |
31.03.2012 |
31.03.2011 |
|
Statutory demands/ liabilities in dispute, not provided for |
-- |
0.004 |
|
Others (In relation to Claims against policies) |
17,143 |
5,746 |
|
Total |
17,143 |
5,750 |
AS PER WEBSITE
PRESS RELEASES
GIVE A PASS TO
WOMEN-CENTRIC INSURANCE PLANS
Parents and grandparents looking to save for their children/grandchildren's future have been the biggest targets for life insurance companies. The next in line are those 10-15 years away from retirement. In the recent past, life insurers have started focusing on women and have come up with products catering to women-specific needs, specially health-related.
Mr. Yateesh Shrivastava, Chief marketing officer at Aegon Religare Life Insurance, says, there is a lot of demand for women-specific plans. The need for these plan arises because women often don’t revaluate their needs over time and fail to upgrade their insurance plans at different stages.
Life Insurance Corporation (LIC) has had Jeevan Bharti, a traditional investment-cum-insurance plan for a long time. Among the women-specific products that were launched in the past year are Bajaj Allianz General Insurance launched Women Critical Illness Plan, Aegon Religare's Women Critical Illness rider and HDFC Life's Smart Woman Plan. This apart, Bajaj Allianz Life Insurance also has a product called Mahila Gain.
If you glance through these products, you will see all the plans cover maternity-related complications, women-specific critical illnesses and congenital disabilities. Congenital disabilities mean conditions infants may be born with. These covers pay for expenses incurred by the woman towards her child’s treatment.
Usually, health insurance doesn't cover breast/ ovaries/uterus cancer and child-birth-related problems. Hence, while buying women-centric insurance plans it’s important for you to see if your plan covers these risks in order to make your plan more comprehensive in nature.
However, experts say these plans are not sufficient from the perspective of an individual's health insurance needs. “I would suggest women subscribe to plans offering investment facility also. But, from the health insurance perspective, there are many diseases which are not covered in women-centric policies,” says a senior HDFC Life executive. This means you will need to buy a comprehensive health insurance and top up the base term or health plan with any critical illness rider, if you specifically want it.
Importantly, if you have a family history of the diseases covered by women-centric plans, be ready to pay a higher premium (up to 25 per cent) and/or higher waiting period before the disease is covered, say experts. Interestingly, if you ask for a very high cover, then too, your premium could be hiked.
A comprehensive health cover is much cheaper as opposed to modified products like women’s plans. A Rs 10-lakh cover would cost anywhere between Rs 3,000-4,500 a year.
AEGON NOT EXITING
FROM INSURANCE JV WITH RELIGARE AND INDIA: HENCK
New Delhi May 9,
2012
Dutch insurance major, AEGON has re-iterated that the company is committed to the insurance joint venture in India, AEGON Religare, and the Indian insurance market. Nor is it planning to exit the Indian market or its joint venture.
AEGON’s chairman and chief executive officer (Asia) Douglas Henck said that India was of strategic importance to the company and was a country that had attractive growth opportunities for the future.
“Favourable demographics and income profile will continue to drive growth (e.g. growing middle class, growing urbanisation, rising income levels, favourable age profile, low insurance penetration, and increasing awareness),” he said in a statement issued in response to a Business Standard report published on Tuesday (AEGON may exit Religare venture).
Henck further added, “Together with our partners in India we continue to build a successful venture towards becoming a leader in our chosen markets by 2015 – not necessarily the biggest, but the "most recommended" among our customers, employees and distributors, as well as the "most respected" insurer in wider society”.
The Business Standard report had stated AEGON may exit its Indian joint venture with Religare and was looking at all options including the exit option based on the information provided by sources with direct knowledge of the developments in the insurance joint venture.
Explaining the current situation, these sources said further that Religare, which has 44 per cent stake in AEGON Religare, had already exhausted the Rs 4400.000 Millions capital commitment in the JV and was not in favour of investing any further in it. When contacted, Religare said, "this pertains to the JV agreement between partners and as a policy we do not like to comment on such matters in the public domain."
In view of the clarification from AEGON's Chairman and CEO-Asia, Business Standard stands corrected.
AEGON holds 26 per cent stake in the Mumbai-based AEGON Religare Life Insurance (ARLI), established in 2007. Religare holds 44 per cent in the JV with Bennett, Coleman and Company Limited (BCCL) holding the remaining 30 per cent equity in the venture.
According to the company website, as on December 31, 2012, the promoters have invested Rs 10750.000 Millions in the insurance company.
Standing at the bottom five out of 23 life insurance players in the India, AEGON Religare collected Rs 2076.500 Millions by writing new policies during 2011-12, which was down by 24.5 per cent as against Rs 2748.600 Millions in 2010-11.
AEGON RELIGARE LIFE
INSURANCE LAUNCHES SAVE GUARD INSURANCE PLAN
Tuesday, November 6,
2012
Mumbai, November 6: AEGON Religare Life Insurance (ARLI) today announced the launch of a term plan called the AEGON Religare Save Guard Insurance Plan. This plan provides life cover for the term of the policy and at the end of the policy term, pays back 100% of all premiums paid. The AEGON Religare Save Guard Insurance Plan comes with the option of an in-built accidental death benefit where, in case of a death in an accident, an additional benefit equivalent to the sum assured is paid to the nominee.
On the launch of AEGON Religare Save Guard Insurance Plan, Mr. Yateesh Srivastava, Chief Marketing Officer and Head – Talent, AEGON Religare Life Insurance said, “Since inception AEGON Religare has laid stress on protection products and has worked towards providing simple protection products aimed at various segments. Our research showed that there are customers who are wary of buying a product where there is only a death benefit. Hence, we have launched this plan that gives back 100% of the premium paid at the end of the policy term. In many international markets there are customers who consider such plans as ‘forced savings’ while having the added benefit of life protection. Since we believe that a term plan is a must-have in the financial portfolio of every individual with financial liabilities and responsibilities, we are working towards removing all hurdles to the purchase of term plans. The AEGON Religare Save Guard Insurance Plan is just another step in offering a comprehensive suite of protection products.”
Customers should consider buying the AEGON Religare Save Guard Insurance Plan for the following reasons:
1. It provides a choice of two death benefit options:
a. Option 1 has an in-built accidental death cover, equal to that of the sum assured. It pays the additional benefit in addition to the sum assured in case of death due to an accident.
b. Option 2 simply offers the sum assured on death of the insured.
2. On maturity, it repays the total of all premiums paid.
3. It gives an option to add AEGON Religare Critical Illness rider that covers nine illnesses.
4. It provides tax benefits as per applicable tax laws.
The minimum age of entry is 18 years and the maximum is 55 years. The maximum age at maturity is 65, 70 or 75 years for a policy term of 10, 15 or 20 years respectively. The minimum sum assured is 2 lakh with minimum annual premium of ` 2,860. The policy term options are 10, 15 or 20 years. The premium payment term is equal to the policy term.
The steps to buy the plan are simple. One needs to choose the level of protection (sum assured) and the policy term. Depending on these factors, the annualised premium is defined which can be paid annually, semi-annually or monthly.
About AEGON Religare
Life Insurance Company
AEGON, an international life insurance, pension and investment company, Religare, a global financial services group and Bennett, Coleman and Company, India’s largest media house, have come together to launch AEGON Religare Life Insurance Company Limited (ARLI). This venture is dedicated to build a customer-centric business and provide a work environment that fosters excellence and innovation. This joint venture will adopt a local approach with the power of global expertise. ARLI launched its pan-India operations in July, 2008 following a multi-channel distribution strategy with a vision to help people plan their life better. The fulfillment of this vision is based upon having a complete product suite, providing customised advice and enhancing the overall customer experience.ARLI has launched a suite of products that are focused on providing the customer with the means to meeting their long-term financial goals. At the same time, product development has been founded on the tenet of providing the customer with great value. ARLI products such as iTerm, iMaximize, Future Protect and Rising Star have been ranked among the best in terms of value and have attracted many external accolades.
About AEGON
As an international provider of life insurance, pension and asset management, AEGON has businesses in over twenty markets in the Americas, Europe and Asia. With headquarters in The Hague, the Netherlands, AEGON companies employ over 25,000 people and serve more than 47 million customers across the globe. In total, the company oversees EUR 452 billion in revenue-generating investments. As a part of its strategy, AEGON is investing in new and upcoming markets like India, China and Brazil. AEGON is one of the largest insurance companies in the United States, and ranks first in the Dutch group pensions market and third in the UK individual pensions markets. The company’s shares are listed on two major stock markets: Amsterdam and New York. AEGON has more than 160 years of experience with its roots going back to 1844. AEGON holds 26% equity in
About Religare
Enterprises Limited
Religare Enterprises Limited (REL) is one of India’s leading diversified financial services groups and offers an integrated suite of financial services including asset management, life and health insurance, lending, broking, investment banking, and wealth management. Religare Enterprises is headquartered in New Delhi and is listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) in India. Religare is also building an Asia and emerging markets focused Institutional equities and Investment Banking business and a multi-boutique global asset management platform to tap the broader opportunities offered by the most promising emerging markets around the world. REL holds 44% equity
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.54.40 |
|
|
1 |
Rs.81.57 |
|
Euro |
1 |
Rs.71.24 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--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 |
YES |
|
--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 |
|
42 |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.