Jiban Bima Corporation, the state-run life insurance provider in Bangladesh, has experienced steady growth in its subscriber base despite the lack of public trust in the industry. The company’s life insurance fund reached Tk 2,474 crore in 2022, showing an annual growth rate of over 6% for the past three years.
The main factor behind the increased life premium is the confidence people have in the state-run company’s ability to deliver funds without fraud. Jiban Bima Corporation’s total premium also rose by 15.43% to Tk 763 crore in 2022. The growth in premiums had been over 11% in the previous four years, except in 2020 when it fell to 4.04% due to the pandemic. Customers appreciate the benefits and satisfactory services offered by the state-run insurer, which has led to increased confidence and higher life fund amounts. However, the life insurance industry in Bangladesh still lags behind the average penetration rate of emerging markets.