ICICI Prudential Life Insurance announces Rs 867 crore bonus for policyholders
ICICI Prudential Life Insurance has announced an annual bonus of ₹867 crore for all eligible participating policyholders for FY2021. The bonus declared is the highest ever by the Company till date and is also 10% higher than the bonus announced in the last fiscal.
All participating policies in force as of March 31, 2021, are eligible to receive this bonus and will be added to the policyholders’ benefits. A total of 9.8 lakh participating policyholders will benefit from this, taking them closer to their long-term financial goals.
What is a bonus?
Bonus is the share of profits generated by the Company’s participating policyholder’s funds which are added to their guaranteed maturity benefits, thus enhancing the corpus.
This is the 15th consecutive year the company has declared a bonus, underscoring its customer-centricity and long-term investment approach to deliver superior risk-adjusted returns to policyholders. The stringent investment philosophy of the Company has ensured zero defaults in its portfolio since inception and across market cycles. As of March 31, 2021, 96.8% of the fixed income portfolio is invested in sovereign or AAA-rated paper.
N S Kannan, Managing Director & CEO, ICICI Prudential Life Insurance, said, “We are delighted to announce that the annual bonus for FY2021 is the highest ever in the history of the Company. What gives us special satisfaction is the fact that it coincides with the 20th anniversary of our operations. It demonstrates our customer focus, resilience and ability to navigate through the unprecedented challenges posed by the pandemic.
What drives us in this challenging environment is the commitment to our vision of building an enduring institution that serves the protection and long-term saving needs of our customers with sensitivity.”
The Company’s entire range of traditional long-term products provides customers with the safety of capital and steady returns and the life cover provides the much required financial security to the family.