AN OVERVIEW

Nepal Life - Then & Now

1,834 Crores

20 CroresShare Capital 108.37 Crores

18 CroresInvestment

Year 2001 B.S. 2058* Year 2014 B.S. 2071#

1,725 Crores0.81 CroresLife Fund

2181 Crores1.1 CroresPremium Income

* As on 2058, Ashad End # As on 2071, Ashad End (July 2014)

14,55,5931415No. of Policies

10,865313No. of Active Agents

Note: 1 Crore = 10 Million

A Journey of Growth

First Premium Income(In NPR Crores)

First premium income is the total income generated through new business within the mentioned period.

Nepal Life achieved a FPI of NPR 271 Crores in the fiscal year 2070/71.

* As on end of Asad 2071 (July 2014)

Total Premium Income(In NPR Crores)

Total premium income is the accumulated premium income of the mentioned period.

Nepal Life achieved a TPI of NPR 568 Crores in the fiscal year 2070/71.

1 8 11 16

17 15 23

27 47

78

74

123 148

FPI - 271

1 919

3347

5877

96

135

198

232

320

390

TPI - 568

-

50

100

150

200

250

300

350

400

450

500

550

600

650

CR

OR

ES

Note: 1 Crore = 10 Million

* As on end of Asad 2071 (July 2014)

InvestmentSound investments by Nepal Life has been giving good profits which further has provided good returns to the insured & shareholders in terms of bonus and dividend respectively.

Presently Nepal Life has an investment of NPR 1,834 Crores as on end of Asad 2071.

Life FundLife Fund is the excess revenue income over revenue expenditure for an insurance company. Higher Life Fund signifies better financial robustness of the company.

Presently total life fund of Nepal Life stands at NPR 1,725 Crores as on end of Asad 2071.

18 28 57 83 107 158 229 276

386 549

883

1,123

1,440

1,834

-

500

1,000

1,500

2,000

2,500

1 8 22 49 88 132 197

276 393

553

765

978

1,374

1,725

-

500

1,000

1,500

2,000

A Journey of Growth

Note: 1 Crore = 10 Million

Market Share (FPI)Nepal Life’s market share has been growing sharply over the past few years.

Nepal Life presently has the highest market share of 41% based on it’s FPI as on end of Asad 2071.

* As on end of Asad 2071 (July 2014)

23%

19%

26%

33%

41%

15%

20%

25%

30%

35%

40%

45%

2066/67 2067/68 2068/69 2069/70 2070/71

Market Share (TPI)Nepal Life’s market share has been growing sharply over the past few years.

Presently Nepal Life has attained the highest market share of 31% on the basis of TPI as on end of Asad 2071.

17%18%

20%

23% 22%

24%25%

31%

15%

17%

19%

21%

23%

25%

27%

29%

31%

33%

A Journey of Growth

As on end of Asad 2071 (July 2014)

Total No. of PoliciesNepal Life has issued a total of almost 6 lakhs conventional and more than 8 lakhs foreign employment policies till date totaling to more than 14 lakh life insurance polices till date.

Conventional, 595,238Foreign

Employment, 806,596

No. of Policies

Conventional2,373

Foreign Employment608

Death Claims

Total No. of Death ClaimsNepal Life has issued a total of 608 claims of Foreign Employment Policies and 2373 claims of Conventional Policies till date.The number of claims as compared to the number of policies issued is very less thus signifying stringent underwriting process ensuring good quality of business.

A Journey of Growth

Note: 1 Crore = 10 Million

A Journey of Growth

As on end of Asad 2071 (July 2014)

Total ClaimsOut of more than 14 lakh policies amounting to 2,181 Crores, Nepal Life has issued death claims of around 73 Crores till date out of which 39 Crores is of Foreign Employment Policies and 34 Crores is of Conventional Policies.

Total PremiumNepal Life has collected a total of 180 crores from foreign employment policies and 2001 crores from conventional policies till date from more than 14 lakh (conventional and foreign employment).

Conventional, 2,001

Foreign Employment,

180

Total Premium Income in Crores

(Till End of Asad 2070)

Conventional, 34

Foreign Employment,

39

Death Claims in Lakhs

Note: 1 Crore = 10 Million

Comparative Market Share (TPI & FPI)

Market Share - FPIMarket Share - TPI

Market share of Fiscal Year 2070/71 as on end of Asad 2071 (July 2014)

Nepal Life Insurance41%

2nd Company20%

3rd Company13%

4th Company5%

5th Company5%

6th Company9%

7th Company1%

8th Company3%

9th Company3%

Nepal Life Insurance31%

2nd Company23%

3rd Company14%

4th Company10%

5th Company7%

6th Company7%

7th Company3%

8th Company3%

9th Company2%

Comparative Bonus

Nepal Life has been able to provide a bonus rate* of minimum NPR. 62 to maximum NPR. 82, which is the highest in the market. Apart from that a minimum of NPR. 65 is again the highest among all the companies for endowment policies.

Nepal Life has been providing the best returns to it’s policy holders by maintaining the highest bonus rate in the market since past few years.

Bonus rates mentioned are the declared bonus rates up to end of fiscal year 2069/70 per annum per thousand sum assured. (Source: as per published in national dailies)

Nepal Life 2nd Company 3rd Company 4th Company 5th Company 6th Company 7th Company 8th Company

Max 82 75 75 60 50 50 45 35

Min 62 61 61 31 32 25 30 35

62 61 61

31 3225 30 35

8275 75

6050

50 45 35

Bonus Growth and Shareholder’s Return

70% Bonus Shares + 28.5% Cash Dividend

Bonus RateThe trend signifies the growth of Bonus rate of Nepal Life over the past 12 years. Nepal Life has been able to provide the highest bonus rate to the insured, marked presently at NPR. 62 –82 per thousand per annum.

37 37 37

50 50 50

56 56 5660 60

62 62

44 44 44

50 50 50

71 71 71

80 8082 82

30

40

50

60

70

80

90Minimum Rate

Maximum Rate

DividendNepal Life provided a handsome dividend of 98.5% (70% bonus shares & 28.5% cash) to it’s shareholders in the fiscal year 2069/70.

Investment Portfolio

Mutual Fund0.1%

Staff Loan0.3%

Agent Loan1.4%

Ordinary Shares4.4%

Debentures4.5%

Call Accounts4.7%

Policy Loan7.9%

Government Bond11.3%

Commercial Banks65.6%

Major portion of the investments have been done in commercial banks amounting to 65.6% of the total investment. The graph below gives a clear picture of the investments made in various sectors as per the guidelines of the regulatory body Beema Samiti.

As on end of Asad 2071 (July 2014)

Business Overview

Segmentwise FPI

As on Asad End 2071 (July 2014)

Others, 3%

Anticipated 20 Yrs, 4%

Jiwan Jyoti, 7%Child Endowment, 9%

Endowment Assurance, 10%

Jeewan Sahara, 11%

Anticipated 15 Yrs, 56%

Contributing to Nation Building

GDP Contribution of Nepal Life

0.04%

0.06%

0.08%0.09%

0.11%0.12%

0.14%

0.17%0.17%

0.21%

0.23%

0.29%

0.00%

0.05%

0.10%

0.15%

0.20%

0.25%

0.30%

0.35%

059/60 060/61 061/62 062/63 063/64 064-65 065-66 066-67 067-68 068-69 069-70 070-71

As on Asad End 2071 (July 2014)

Sound Re-Insurance Support

Hannover Re, with a gross premium of around EUR 13.8 billion, is the third-largest reinsurer in the world.It transacts all lines of non-life and life and health reinsurance and is present on all continents with around 2,300 staff.The rating agencies most relevant to the insurance industry have awarded Hannover Re very strong insurer financial strength ratings (Standard & Poor's AA- "Very Strong" and A.M. Best A+ "Superior").

Nepal Life City Center - A Sound Investment

Nepal Life City Center, situated at Kamalpokhari, is the very first modern mall in Kathmandu. A unique creation and a sound investment by Nepal Life which contributes to the profit of the company thus helping to provide better bonus to the insured and dividend to the shareholders.

Winner of New Biz Award 2013 & 2014

Nepal Life Insurance was able to win the prestigious “Best Managed Life Insurance Company of the Year” award two years in a row, in the year 2013 and 2014, at the New Biz Awards being organized by New Business Age, a leading business publication of Nepal.

Product Portfolio

• Entry age from 18 – 60 years

• Premium payment to be done for only a certain period and policy to continue even after that till end of term.

• S.A. is reimbursed to the policy holder in four installments within the term of policy and total bonus amount is paid during the maturity of policy.

• Loan facility available immediately after 1 yr of policy enforcement.

• In case of death of an insured by any cause, the sum assured with an earned bonus payable without reducing the previously paid amount.

1. Naulo Dhanabarsha

• Entry Age - From birth till 18 yrs

• One policy, double risk coverage (Proposer & Child)

• Maturity amount received can be utilized for child's education

• In case of death of the proposer, regular fixed income will be provided to the child to ensure the child's education till maturity

• Loan facility available after 1 year of policy enforcement

2. Child Education Plan

Product Portfolio

• Unique Endowment product which allows flexible payment terms of One time, 5yrs, 10 yrs, 15 yrs.

• Premium Paying Terms is less than 5 yrs than Policy Term for other than single premium policy.

• Risk coverage for whole term.

• Guarantees the lowest premium.

3. Jeevan Jyoti

• Makes provision for the family of the insured in case of an early death during the policy term.

• S.A. is not available after the maturity as it covers risk in a very low premium.

4. NLIC Term Life Plan

• Triple Benefit Plan.

• On the maturity : Sum assured with bonus is paid.

• On untimely demise before maturity of the term

• normal death: double the S.A. with bonus is paid.

• Accidental death : Triple the S.A. with bonus is paid.

5. Jeevan Laxmi

• Enables employers to get their employees insured at very low cost.

• The risk coverage is given up at the time of retirement.

• Makes possible reach of insurance to the large scale of an eligible citizens.

6. Group Plan

Product Portfolio

• Composition of endowment and whole Life policy.

• Sum assured with bonus is paid after maturity and sum assured is paid again after the death of the life assured.

• In case of death of assured before maturity, sum assured with bonus is payable.

7. Jeevan Sahara

• Significant help for the better education , marriage and successful life of the children.

• PWB facility can be availed incase of purposer's untimely death.

• A tool to insure a child’s life.

8. Keta Keti Jeevan Beema

• Joint Life Policy for a couple.

• Both lives are covered with a policy.

• In case of death of any one spouse, bonus is payable to the alive spouse and remaining premium waived.

• In case of death of survivor before maturity, sum assured with bonus is payable to the nominee.

• Upon the maturity of policy, S.A with bonus paid to alive insured.

9. Jeevan Sarathi

Product Portfolio

• Risk coverage for whole term on a limited payment period.

• S.A. is paid in three installment within the term of policy and bonus is paid after the maturity of policy.

• After the 3 yrs of premium payment, surrendered amount and loan can be received.

• In case of death of an insured by any cause, the sum assured with an earned bonus payable without reducing the previously paid amount.

10. Jeevan Sambridhhi

• Specially designed for foreign employed workers.

• Single time premium payment.

• Includes body repatriation and even loss of income along with life risk coverage.

• S.A. is paid if insured dies within the policy terms once left the country for works.

• Guarantees the lowest premium.

11. Foreign Employment Term Insurance

•Enables employers to get their employees insured at very low cost.

•The risk coverage is given up at the time of retirement.

•Makes possible reach of insurance to the large scale of an eligible citizens.

12. Group Plan

Photo Feature

Branch Managers Conference 2014 Agency Felicitation Program 2014

Blood Donation Program Participation in Kantipur Marathon Participation in Corporate Futsal

Legend

Head office

Branches

Sub-branches

Offices

Sales centers

Reach

Nationwide Reach

Kathmandu Valley

Patan

Bhaktapur

Kathmandu

Region Phone Number

Kathmandu 01-4169218, 4169130

Biratnagar 021-528207, 537832

Birgunj 051-520712, 520743, 525570

Butwal 071-547922, 550329

Pokhara 061-536322, 541122

Banepa 011-663403, 660532

Narayanghat056-571939, 570560,

572072

Nepalgunj 081-525683, 527432

Birtamod 023-542717

Lahan 033-561738

Janakpur 041-525100, 528408

Mahendranagar 099-524797, 520797

Region Phone Number

Dang 082-562761, 563389

Hetauda 057-526050, 526792

Surkhet 083-524490, 524156

Phidim 024-520279

Urlabari 021-541971

Dhangadi 091-527070, 526088

Lalitpur 01-5520684, 5546317

Nuwakot 010-561712, 561713

Naxal 01-4435299, 4437940, 4434943

Chandranigahapur

055-540735, 540792

Region Phone Number

Dhangadi 091-527070, 526088

Lalitpur 01-5520684, 5546317

Nuwakot 010-561712, 561713

Naxal 01-4435299, 4437940, 4434943

Dharan 025-530637

Palpa 075-520934

Tinkune 01-4112344, 2001131

Gaur 055-521393

Balaju 01-4385056, 4390235

Post Box No. 11030, Heritage Plaza, Kamaladi, Kathmandu | Phone: +977-1-4169082 / 83 | Fax: +977-1-4169079Email: info@nepallife.com.npURL: www.nepallife.com.np | Facebook: www.facebook.com/Nepallife.Insurance