Life insurance in its modern form come to India from England in the year 1818. The oriental life insurance company was started in Calcutta by Europeans as first life insurance company , later with the efforts of eminent people like Baba Muttylal , the foreign life insurance company started insuring Indian lives.
The perception for life insurance had been existing from the ancient time in India in different forms. Approximately 3000 years ago . the uses of insurance were also mentioned in the Rig-Veda by the Aryans. The origin of insurance has been in the form of marine insurance just like in other countries and there was a system of marine insurance for the safety from sea hazards. Religious and spiritual approaches of the people have been main hurdles in the way of top level development of life insurance. An organized effort for development of life insurance in India was started in 1870. In this year mutual life insurance society limited was established in Bombay. The Swadeshi (indigenous) movement of 1905 had also effected life insurance.
The first decade of 20th century was the period of fast development of insurance business and many new insurance companies were established in this period.
The development of life insurance business was also blocked during the time of the first world war but along with the changing circumstances during the war period, new insurance companies were established in which New India, Jupiter, and Lakshmi were prominent.
Author:- Dr. Nandini Sharma