Can anyone forget his first love?

 ha ha .......

Private players have grabbed a 34.72 per cent share in the general insurance business over the past decade, even as state-run firms have also seen their business grow, the parliament was informed on Friday.

In the case of life insurance, where state monopoly was abolished only some years ago, the share of private players stands at 18.08 per cent, Pawan Kumar Bansal, minister of state for finance, told the Lok Sabha.

In life insurance, the business of Life Insurance Corporation (LIC) has grown to Rs 562.23 billion in terms of first-year premiums in 2006-07 against Rs 97.01 billion in 2000-01.

Similarly, in case of the four public sector non-life insurance companies, the gross direct underwritten premium has grown to Rs 162.58 billion in 2006-07 as against Rs 97.99 billion in 2000-01.

Bansal said public sector insurance companies were re-orienting their operation by restructuring the business segments in which they operate, introducing new products, entering strategic alliances and upgrading their IT networks.

 

Source: (ET)

 

 

kulmanji, this is what i understand by float,

1) Float is the premiums received by the insurance company.

2) Claims are paid out by the amount of premium recd.

3) If claims are more than the premiums recd. then it is an underwriting loss, the reverse is underwriting profit.

4) The ratio of this loss to the premiums recd in a year is called as the cost of  float for that year.

5)  A negative cost of float means that the premiums received by the company is greater than the claims submitted and therefore a negative is profitable here. (source : The warren buffet way & 19.5degs.com)

6) Buffett used this float for investments. The income generated from these investments is kept by the insurance company.

7) Size of float : From 1967 to 2005, Berkshire's float increased from $20 million to $49 billion  (source : fool.com)