Mumbai:
Led by the state owned New India Assurance(NIA), the Indian general insurance industry has logged a total premium of Rs 1, 50, 615.32 lakh crore, up17.50 per cent in 2017-18, according to figures published by the IRDAI on Wednesday..
The industry, that has seen three more players joining the fray and taking the total number of players to 33, had recorded R1,28, 215 crore, up 30 per cent in 2016-17.
Among the portfolios, motor, health and crop insurance have contributed maximum to the growth of of the industry.where three more players have joined the fray during 2017-18, said industry players.
Six stand alone health insurers have posted the highest growth of 42 per cent to achieve a total premium of Rs 8,300 crores in 2017-18.
The private sector general insurers (excluding standalone health insurers) saw a higher rate of growth at 21.6 percent compared to the four public general insurers’ growth of 13 percent. State-owned insurers including New India Assurance, National Insurance, Oriental India Insurance and United India Insurance collected gross direct premium of Rs 67,921.17 crore compared to Rs 65,427.16 crore collected by private sector insurers.
In terms of market share, public sector general insurers held 45.07 percent share while private general insurers held 43.41 percent share. The rest was held by standalone health insurers (5.50 percent) and specialised insurers (6.01 percent).
In another noteworthy development, private sector ICICI Lombard General Insurance – with a premium of Rs 12, 357 crore, up 15 per cent- has overtaken public sector Oriental Insurance Company(OIC)- with a premium of Rs11, 452 crore, up six per cent – as the fourth largest player during the year.
NIA, as reported by Asia Insurance Post on March, 31(http://asiainsurancepost.com/non_life-news/new-india-assurance-achieves-global-premium-rs-26000), has mobilsed a total domestic premium of of Rs 22, 695 crore , up 19 per cent , and has maintained a market share of 15.07 per cent during 2017-18.
K Sanath Kumar, CMD, National Insurance
K Sanath Kumar, CMD, National Insurance said ,“We have crossed Rs 16,400 crore in total premium, which includes Rs 70 crore coming from our operations in Nepal. We had collected a total premium of Rs 14,200 crore a year ago. ‘’
The company which is one merger candidates in government scheme to merger three psu general insurers, is likely to cross Rs 200 crore of profit in 2017-18, said Kumar.
Pushan Mahapatra , MD & CEO, SBI General Insurance
Pushan Mahapatra , MD & CEO, SBI General Insurance, said his company at Rs 3,544.20 core has recorded a growth of 36 per cent against a industry growth of 18 per cent.
“We would like to maintain a similar growth in 2018-19,’’ said Mahaptra.
The other general insurers who have crossed Rs 5,000 crore of premium during 2017-18 are- United India Insurance (Rs 17,300 crore up eight pc) Baja Allianz General Insurance(Rs 9,445 crore, up 24 pe), HDFC Ergo General Insurance (Rs 7,290 crore, up 18 pc), IFFCO Tokio General insurance(Rs 5,634 crore, up 1,25 pc), Reliance General Insurance( Rs 5,069 crore, up 3.37 pc), Tata AIG General Insurance((Rs5437 crore, up 30 pc). and Agriculture Insurance Company (Rs 7,823 cr , up 10 pc).
What is noteworthy in the ongoing performance of the Indian general insurance industry is that it has taken four and half decades since 1972, when the four state owned general insurers were formed after nationalisation of over 200 private sector general insurers, to achieve a total premium Rs 1 trillion- the industry had Rs 97,000 crore of premium in 2015-16- but just two years to reach Rs 1.5 trillion mark in premium income. The industry was once again privatised in 2000 and another 28 new general insurers including including six specialised health insurers have joined the fray since then.
“This may be beginning of high trajectory trend in the Indian general insurance industry as implementation of nationwide National Health Protection Scheme(NHPC) and setting up of health infrastructure facilities, during the current fiscal, will provide a tremendous boost to health insurance business and overall premium kitty of general insurance industry.'' said analysts.