Latest news with #ILPs
Business Times
6 days ago
- Business
- Business Times
Silver lining in insurance buyers' shift towards investment-linked plans
[SINGAPORE] Insurance participating funds, which provide investment returns for long-term whole life and endowment plans had a good year in 2024. The par funds managed by nine insurers delivered a positive return, based on my compilation for a column this week. That shouldn't be a surprise. Equity markets were in bull territory last year and continued to soar this year. Two things stood out in my research. First, insurers invest in private markets including private equity and debt for their par funds, and say they have been doing so for some time. This is interesting because of the intense interest in private assets lately. But the specific allocations, which are lumped together with equities, isn't publicly disclosed by almost all except HSBC Life. Without more disclosure it's hard to tell whether their private-asset exposure is sizeable enough to make a difference in terms of return enhancement or risk mitigation. In 2022, when stocks and bonds fell in tandem, par funds' losses ranged between 7 and 14 per cent. Second, Life Insurance Association data on new business indicates an apparently decisive shift from par products towards investment-linked plans (ILPs). Unlike par plans where premiums are pooled and invested collectively by the insurers, ILPs enable policyholders to make their own asset allocation and fund choices. Investors bear the risk of losses and do not depend on a 'smoothing' process for returns or dividends. Between 2022 and 2024, ILPs' share of new business rose from 25 to 39 per cent. The trend continues this year. In LIA's latest data for the six months to June, ILPs' share rose from 31 per cent in 2023 to 43 per cent in 2025. Traditionally, Singaporeans preferred par plans. Could the shift towards ILPs prove lasting? The puzzle, however, is this. Both vehicles may leave policyholders in limbo – still under-insured and with far lower net returns than illustrated. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Over the long term, returns from par products especially whole life plans were typically only slightly better than fixed deposits and may not keep up with inflation. As for ILPs, a substantial portion of returns may be eaten up by high annual costs – as high as 4 per cent a year based on my earlier research. As a result, the protection value and overall return may also fall short. Still, a trend towards ILPs suggests a greater awareness of the benefit of calibrating one's portfolio choices towards one's own risk appetite and objectives, and possibly a desire for greater transparency in returns. This is a good thing, especially at a time when choices for self-directed investors have burgeoned, even for the risk averse. Retail investors, for instance, have flocked towards Astrea's latest offering of private equity-linked bonds, which attracted applications worth more than S$3 billion. The popularity of platforms like Endowus, which onboards institutional funds with substantially lower fees than retail funds, is testament to rising awareness of the dilutive effect of high fees. Now what remains is for insurers to simplify their ILPs and lower the recurring costs. That would go a long way towards enhancing returns, which is paramount in helping policyholders to achieve their financial goals.
Time of India
6 days ago
- Politics
- Time of India
Naga students seek ILP ban on Assam evictees
Dimapur: Naga Students' Federation (NSF) has urged the Nagaland govt to immediately cancel all ILPs issued to people from Assam districts affected by the ongoing eviction drive that began on July 29, reports Bhadra Gogoi. In a representation to the chief secretary dated Aug 11, the NSF also demanded retroactive nullification of ILPs issued from that date onward to prevent enforcement loopholes. The eviction, described as Assam's largest to date, targets over 11,000 bighas of encroached forest land in the Rengma Reserve Forest under Uriamghat in Golaghat district, near the Assam-Nagaland border. The operation, involving thousands of personnel and heavy machinery, has led to mass displacement — predominantly of Bengali-speaking Muslim families from central Assam. Stay updated with the latest local news from your city on Times of India (TOI). Check upcoming bank holidays , public holidays , and current gold rates and silver prices in your area.
Hindustan Times
07-08-2025
- Politics
- Hindustan Times
170 without ILPs, 134 with expired permits found in Manipur after 2,412 checked
Imphal: Around 170 people were found without valid Inner Line Permits (ILPs), while 134 others were carrying expired documents during a special drive in Manipur, police said. The Manipur Police have verified around 2,412 people since last week. (Representative photo) 'The defaulters were taken to the Mao Gate ILP counter and made to acquire the required ILP passes. So far, no illegal immigrant has been detected,' a note issued by Manipur Police late Wednesday night read. Under the ILP system, which came into effect in the northeastern border state on January 1, 2020, outsiders, including people from other states of the country, need to take permission to visit. Also Read: Facial recognition system for inner line permit holders launched in Manipur The Manipur Police have verified around 2,412 people since last week. 'The drive was carried out in market areas, along National Highway-2, Maram-Peren Road, Tadubi-Tolloi Road and other inter-village roads in all PS (police station) jurisdictions by the Senapati district police task force, which was constituted for the above purpose. Also, thorough checking continues to be carried out at all border entry points. This special drive will be continued in the days to come,' a police officer said. Manipur became the fourth state after Arunachal Pradesh, Nagaland, and Mizoram where the ILP regime is applicable. The objective of the ILP system is to prevent the settlement of other Indian nationals in the states that come under it, so as to protect the indigenous population in terms of land, jobs, and other facilities. Also read: Manipur to implement Inner Line Permit from Jan 1 More than 9 lakh Inner Line Permit documents have been issued, and over ₹13 crore has been generated as revenue till December last year, when the state celebrated five years of successful implementation of the ILP system in Manipur. Manipur's five districts — Chandel, Kamjong, Tengnoupal, Pherzawl, and Churachandpur — share a 398-km-long international border with Myanmar.
Time of India
30-07-2025
- Politics
- Time of India
Papum Pare officers told to be vigilant while issuing ILPs
Itanagar: The Papum Pare district administration in Arunachal Pradesh has directed all administrative officers to strengthen vigilance while issuing both temporary and permanent Inner Line Permits (ILPs). The directive has been issued due to ongoing eviction drives targeting illegal migrants in neighbouring Assam. As part of the process, all applicants will now be required to submit voter ID card, Aadhaar card, and recent passport size photographs for both temporary and permanent ILPs, an official notification said on Wednesday. The administration has directed administrative offices across the district to conduct routine ILP checking drives within their respective circles and sub-divisions and work in coordination with police to constitute a special task force for ILP enforcement and random checking drive. These steps are a part of a broader effort to ensure that all individuals residing or working in the district are in compliance with the ILP norms, the notification said. Papum Pare deputy commissioner Vishakha Yadav emphasised that strict enforcement of ILP regulations is crucial to maintaining the district's security, demographic balance and administrative integrity, particularly given the porous border with the neighbouring state. She appealed to all residents and businesses to cooperate fully with the ILP enforcement teams and adhere to the updated procedures.
News18
30-07-2025
- Politics
- News18
Arunachal govt strengthens vigilance while issuing ILPs
Agency: Itanagar, Jul 30 (PTI) Arunachal Pradesh's Papum Pare district administration has directed all administrative officers to strengthen vigilance while issuing both temporary and permanent Inner Line Permits (ILPs). The directive has been issued due to ongoing eviction drives targeting illegal migrants in neighbouring Assam. As part of the process, all applicants will now be required to submit their voter ID cards, Aadhaar cards, and recent passport-size photographs for both temporary and permanent ILPs, an official notification said on Wednesday. Administrative offices have been directed to conduct routine ILP checking drives within their respective circles and subdivisions, and work in coordination with police to constitute a special task force (STF) for ILP enforcement and random checking drives. These steps are a part of a broader effort to ensure that all people residing or working in the district comply with the ILP norms, the notification said. Meanwhile, Papum Pare deputy commissioner Vishakha Yadav emphasised that strict enforcement of ILP regulations is crucial to maintaining the district's security, demographic balance, and administrative integrity, particularly given the porous border with the neighbouring state. She appealed to all residents and businesses to cooperate fully with the ILP enforcement teams and adhere to the updated procedures. PTI CORR UPL MNB view comments First Published: July 30, 2025, 14:30 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
