New India Assurance (NIA), the largest general insurer in the country, has achieved a total global premium of Rs 26,000 crore, up 17 per cent during fy 2017-18.
The general insurance multinational, having operations in 28 countries, had set a target of Rs 26,000 crore, had recorded a premium of global premium income to Rs 22,279 crore.in 2016-17.
In its domestic operations, the company with over 15 per cent of market share – till Feb 2018- has posted a premium income of Rs 22,800 crore, up 19.20 per cent during reporting period.
NIA’s premium income from the overseas markets during 2017-18 is pegged at Rs 3000 crore, almost same as previous year.
“ The great performance is largely due to the brand of the company, high level of customer service, distribution reach of the company and very high financial strength we bring to the table including International A-(Excellent) Rating,’’ said G Srinivasan, CMD, NIA.
Aided by drop in claim and expense ratios, NIA, that got listed in the Indian bourses recently, had reported a net profit of Rs 617 crore for the third quarter ending December 2017, compared to a loss of Rs 24 crore in same quarter last fiscal.
“The results of the company have improved substantially due to improvement in combined ratio. The drop in combined ratio was aided by lower claims ratio and operating expense ratio due to various steps taken by the company.” Srinivasan had said while announcing the results of the company.
Combined ratio – a key parameter of general insurance company reflecting the financial health of the company- of the company, for the reporting period came down to 109.13 per cent from 123.95 per cent posted during year ago period, while incurred claim ratio dipped to 82.82 per cent from 95.61 per cent recorded in year-ago period.
The combined ratio of the company would further come down to 105 per cent during next fiscal.
“We are targeting a combined ratio of 100 by 2020,’’ he said.