Five senior execs quit Tata AIA Life Insurance

per cent to achieve profitability. It saw a 33 per cent reduction in headcount in 2010-11, too, compared to 2009-10.

The company had, then, said this was because it was reworking its business model to suit the regulations which came into force in September 2010.

As part of this strategy, the company did not fill all the positions that became vacant mostly due to natural attrition. In September 2010, the Insurance Regulatory and Development Authority capped the charges and commissions on unit-linked products, and as a result of which, the average commission in Ulips as a percentage to premiums collected fell to four per cent in 2011-12, from 10 per cent in 2009-10.

The company has also seen a drop in premium collection by 44.3 per cent during April- September 2012, compared to the premiums collected during the same period in 2011.

According to Irda data, the company collected Rs 261.8 crore (Rs 2.61 billion) premium for the April- September 2012 period. The private life insurance industry also saw a drop in new premium collection by 5.7 per cent in April-September 2012, compared to the same period in 2011.