Skip to main content

Merger with HDFC Life Could Have Been a Great Marriage To Have: Rajesh Sud, Max Life Insurance


It has been a popular practice among corporate institutions to merge resources and manpower to increase profits and overall productivity when doing business alone does not yield expected or desirable profits.

One such potentially beneficial merger that was expected to happen was between HDFC Life Insurance and Max Life Insurance. While said merger did not reach completion, Rajesh Sud, Managing Director of Max Life Insurance, admits that it would have been a fantastic business opportunity for both parties involved, should it have been followed through to completion.

Max Life Insurance: Background

Established in the year 2000, Max Life Insurance Company has emerged as one of the most reputed and trusted private insurance companies in India. Max Life Insurance Company Limited is a joint venture of Max India Limited and Mitsui Sumitomo Insurance Company Ltd. While Max India Ltd is an Indian multi-business corporate institution, Mitsui Sumitomo Insurance Co. Ltd is a general insurer. Max Life Insurance Company effectively began its commercial operations in 2001, and has been a well-known name in the financial market ever since.

There are a multitude of reasons why one should invest money with Max Life Insurance, the most noteworthy of which include:

  • Max Life Insurance offers a wide range of comprehensive life insurances, which helps people from all age groups and financial status to find the life insurance that works just right for them.
  • Max Life insurance also offers a wide selection of retirement solutions for aged customers.
  • For the financial year 2013-2014, Max Life Insurance was observed to be the fastest growing insurance company.
  • As of March 2014, Max Life insurance is recorded to have over thirty lakh customers, which is at par with many of its contemporaries.
Merger with HDFC Life

Due to presence of evident synergy and common interest between Max Life Insurance and HDFC Life Insurance, there was a very clear reason and ambition behind the proposed merger between both the companies. Rajesh Sud, the managing director of Max Life Insurance, admits that there would have been countless benefits had the merger been completed, including the combined capability of both the involved companies to create a string of banks as partners.

However, as pointed out by Rajesh Sud, Max Life Insurance still retains a lot of its choicest strengths in place that enables it to be well-prepared for any other merger and/or consolidation opportunities should they arise in the future.

Future Plans for Max Life

According to Rajesh Sud, Max Life Insurance sees opportunities for merger with companies that are backed up by public sector banks. Even while the merger with HDFC Life was still in the works, Max Life Insurance has managed to grow its business in new areas and avenues, with persistency rates that have increased by over eighty percent in the past year.
Max Life Insurance is looking to consolidate with competitors that wish to focus more on their core banking franchise and divest their non-core assets. This would benefit them by providing them a chance to clean up their balance sheets.

Max Life Insurance has fought for the their reputation in the financial industry, and after the collapse of their merger with HDFC Life, they continue to do what they do best: serve people in this cutting edge market. They rely on their bancassurance partners, and on the strength of their agents.

Comprehensive Plans provided by Max Life

Keeping up with their almost two decades’ worth of goodwill and impeccable customer service, Max Life Insurance provides all its users with a large variety of comprehensive life insurance plans that provide protection to the policyholder as well as their family. Such plans include:

  • Max Life Online Basic Life Cover Term Plan
  • Max Life Online Life Cover Term Plan + Increasing Monthly Income
  • Max Life Premium Return Protection Plan
  • Max Life Online Life Cover Term Plan + Monthly Income Max Life Online Term Plan
  • Max Life Protect II Platinum
Max Life Insurance provides ULIP plans—insurance cum investment plans—to their customers as well. Such plans provide customers a chance to grow their money, while also providing them with flexibilities to manage their money and/or investments. Pensions plans provided by Max Life help customers be well-prepared for their old age, for their life after retirement, without compromising on anything at all.

The Max Life Promise

Max Life Insurance has thrived on the trust of their patrons for the past two decades, and their biggest strength is their transparency and flexibility of financial management. Although their merger with HDFC Life would have been a monumental leap for Max Life Insurance and their market stature, the collapse of that merger still does not shake the strong foundations on which the good name of Max Life Insurance is built

Comments

Popular posts from this blog

Postal Life Insurance and Life Insurance Corporation of India: What’s the Difference?

When we talk about insurance policies by government, Life Insurance Corporation (LIC) is the first organization that comes to our mind. But not only LIC, Department of posts too offer life insurance under name of Postal Life Insurance (PLI). PLI was launched on February 1, 1884 and is the oldest insurance service provider. Only people working in government organization or associated with it can be a part of the scheme. On the other hand LIC policies are available to every Indian citizen, thus making it more popular among Indian population.
What is Postal Life Insurance?Postal Life insurance is an insurance policy that is applicable for all the government employees, be it an employee of military force, financial institution, Deemed University etc. Any person from private sector cannot choose this policy. The entry age is 19-55 years for all plans except the child plan. Maximum entry age under children policy is 45 years; and the child should be between 5-20 years. The sum assured should…

5 Best Investment Options for Retirees

Retirement is the age when your earing period comes to end, either willingly or by force. Not everyone opts to end their earning period, some prefer to work even after their retirement age or some resign their job even before. It is up to a person, as to what sort of retirement they want, but sure everyone looks for a safe and secure retirement without worrying about expenses and bills.
As a retiree, everyone wants to keep their retirement fund away from any tax liability and get a regular income. But to build a retirement portfolio with a blend of fixed income and market linked investment is a big task for retirees. It is always better to plan your retirement in advance and invest carefully in various plans to have a safe, secure and fixed monthly income.
Here are 5 best investment options for retirees, to have a better retired and no earning period in their life. These investment plans provide for regular monthly household expenses and build a retiree portfolio which is a perfect mix…

HRA Exemption - Maximize Tax Benefit In India

We have already talked about what house rent allowance (HRA) is and how it can help you save money on rent as well as via tax return. Thanks to Section 10(13A), those who are salaried employees and are living in a rented accommodation an avail this exemption and save on money that they pay as rent on a monthly basis.
Even those who are not salaried or are self-employed can the benefits of house rent allowance under section 80CG, which is a similar law to 10(13A) but has certain conditions that have to be fulfilled. HRA exemption can be claimed for:
1.A set amount of HRA as received from the employer 2.Actual rent paid which is in excess of 10 per cent annual salary 3.50 per cent of basic pay if you live in metro cities and 40 per cent at non-metro cities Under the term ‘salary’ for which HRA exemption can be claimed, these can be included: 1.Basic salary 2.Dearness allowance if it is provided by employer 3.Any commission paid to the employee
Some Important Criteria To Be Fulfilled
 There are …