BUZZ — India's HDFC Life Insurance falls on distribution reforms uncertainity

* Shares of India's HDFC Life Insurance fall 2.3% to 537.85 rupees * Jefferies says slowdown in agency annual premium equivalent growth to 6% from 21% Q/Q and fall in persistency of market-linked policies are key concerns * Cites negative impact of 7.4 billion rupees ($78.1 million) on embedded value growth from weak markets and higher shorter-tenor yields as key risks for insurer's future profitability * Kotak and HSBC say proposed distribution reforms could sharply reduce commissions in credit-protect business, risking the high-margin segments in near-term * HDFL Q2 profit rose 13.6% to 5.08 billion rupees from 4.47 billion rupees a year ago and net premium income rose to 217.27 billion rupees * Stock down 28.74% YTD ($1 = 94.7200 Indian rupees) (Reporting by Anushka Rajvedi in Bengaluru) ((mailto: anushka.rajvedi@thomsonreuters.com)