Professional Documents
Culture Documents
Eligibility
% of such excess
6 times
12.55 % +
7 .50 times
0.60% +
10 times
0.60% +
11 times
0.30 % +
12 times
0.25% +
15 times
0.30%
.
3
Example:
Annual Remuneration: 600000, Eligible Premium: 12500000
Cost Ratio: 4.80% ,
Qualifying Premium: 11500000
Slab
Premium Amount
Rate
BIB
Excess of 6 times
7900000
12.55%
991450
7000000
0.60%
42000
Excess of 10 times
5500000
0.60%
33000
Excess of 11 times
4900000
0.30%
14700
Excess of 12 times
4300000
0.25%
10750
Excess of 15 times
2500000
0.30%
7500
14.60%
1099400
Total
Modification in BIB
Addition /
Subtraction to BIB
> +30%
# of Dev. Offices
% of DOs in the
Group
43
+20% to 30%
246
+10% to 20%
541
0% to +10%
378
-10 % to 0%
109
-20% to -10%
44
-30% to -20%
14
< -30%
31
Source: CADW
86%
14%
Additional Incentive
Additional
Incentive
Up to 2%
4% of BIB
3% of BIB
2% of BIB
1% of BIB
and
0.5% of BIB
10
Additional Incentive
1% of BIB
Example:
12
Additional Incentive
+
New agent appointed in the AY
qualifies as DEEMED PRODUCTIVE
% of Productive
Agents
75%
Rs. 400
60%
Rs. 300
50%
Rs. 200
40%
Rs. 150
75 to 99
50%
Rs. 100
50 to 74
50%
Rs. 75
Recruitment of Agents
Basic Conditions
Additional Incentive
+
(i) 40 or more agents at the
beginning of AY, and
(ii) Growth of 10% or more in net
addition of agents.
Persistency of Agents
Organization of
agents
Persistency %
Additional
Incentive
90%
75 up to 99
90%
50 up to 74
95%
45 up to 49
95%
Rs 50 per agent
Persistency definition:
MDRT/COT/TOT/Corp. Club
Category Condition
Add. Incentive
Satakveer
MDRT
Corp. Club
COT
TOT
Notes: (i) Only one incentive for MDRT/Corp. Club/COT/TOT is payable. On acquiring higher
membership, difference in incentive is payable.
(ii) Incentive for Satakveer agent will be in addition to incentive for MDRT/ Corp.Club/ COT/TOT.
(iii) Maximum add. Incentive Rs. 40000
Add. Incentive
2% increase or part
thereof over 10%
Whichever is lower.
Maximum Rs. 25,000
Specified Plans: ULIP, Health plan and plans introduced after 01.09.2011
Rural Credit
Qualifying Condition
Add. Incentive
10 % of BIB
19
10 Points
1. Growth in eligible premium: 15%+ or 20%+
2. Cost ratio less than 8% (Performing DOs and service
>11 years)
3. Number of lives: more than 700
4. Productive agents: at least 40% or 50% subject to
minimum 18+
5. Qualify New agents as Deemed Productive
6. Recruitment at least 5+ or 8+
7. Persistency of agents at least 90% or 95%
8. MDRT/COT/TOT/Corporate Club
9. Premium under specified plan 10% or 10 lacs
10. Appointment of agents in rural areas.
20
How to Save
earned Incentive
5 Benchmarks
21
Up to 3%
Minimum
benchmark
NIL
Decrease in BIB on
failure to achieve
minimum benchmark
NIL
10% growth in
eligible premium
More than 8%
15% growth in
eligible premium
22
Decrease in BIB
10% of BIB
4% of BIB
Decrease in BIB
NIL
13 or 14
2% of BIB
8 to 12
5% of BIB
7 or less
10% of BIB
Recruitment of Agents
Number of Agents in the
beginning of AY
Minimum
benchmark
Decrease in BIB on
failure in achieving
benchmark
Recruitment of 5
agents
OR
39 in 1st year of scheme
44 in 2nd & sub. year of
scheme
Net addition of 1
agent
25
Reduction in BIB
NIL
26
5 Benchmarks
1. Growth in eligible premium
10% OR 15%
2. Number of Lives
600
15
4. Number of agents
45
5% of previous AY
27
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