Max Life Insurance Company declares its first ever Half Yearly Dividend of 5.1% for its shareholders, almost 12 years after it had started it operations in the Indian Insurance Industry. This is quite a commendable feat since Max is now operating with it new partner in India.
Max Life Insurance Company Limited (formerly known as Max New York Life Insurance Company), one of the largest non-banking private life insurer, is a joint venture between Max India Limited, one of India’s leading multi business organizations and Mitsui Sumitomo Group Japan, a Fortune 100 Company.
Max Life Insurance has recently decided to distribute an amount of RS.115 crores. This figure has been based on the performance of the company for the first half of financial year 2012-13. The company will distribute RS 99 crores, post Dividend Distribution Tax(DDT) of Rs 16 crores, will be distributed as per holding of shares in the company as of November 1st.
From the Rs 99 Crores of Post Tax profit, Max Life Insurance will get a dividend payout of Rs 70 Crores, Mitsui Sumitomo Insurance will get a dividend payout of Rs 26 crores and the remaining Rs 3 crores would be paid to Axis Bank.
After Distribution of the Half Yearly Dividend, the Solvency Ratio would still stand at a strong 550% in excess of IRDA’s statutory requirement of 150% with a surplus in the Solvency Margin by Rs 1,500 crores. Max Life Insurance continues to remain fourth amongst private life insurance company by maintaining a private market share at 9.5%. Max Life Insurance is steadily increasing its business by increasing its recorded profits in the FY 2012 to Rs 460 Crores as compared to only Rs 194 crores in the FY 2010-11.
