MUMBAI/NEW DELHI:
Soon to be merged with ICICI Lombard General Insurance, Bharti AXA General Insurance has registered a net profit of Rs 95 crore in the first half of the financial year 2020-21 against the loss of Rs 90 crore in the corresponding fiscal period a year ago.
The combined ratio, a measure of profitability that takes into account claims and expenses as a proportion of premiums, stood at 111.5 per cent during the April-September 2020-21 against 122.1 per cent in the corresponding period of 2019-20.
The company reported the gross written premium of Rs 1,574 crore in the first half of the current financial year 2020-21 against Rs 1,586 crore in the corresponding period of the last fiscal,
The moderate drop in the premium income was owing to the impact of the ongoing COVID-19 pandemic, which resulted in flat growth in line with the non-life insurance industry, said Sanjeev Srinivasan, MD and Chief CEO , Bharti AXA General Insurance.
“As the headwinds followed the COVID-19 pandemic, subsequent lockdowns and restrictions, we shifted our focus towards ensuring that customers’ plight is better managed in these trying times. The judicious investment made formerly in tech solutions across all touch-points reaped immense benefits in this period and helped us respond with the required agility. Further, efforts were made towards ramping up adoption of self-service options, building pro-active connect with customers especially in cases adjudication of claims remotely and reimbursement claims. The quick adaptation to the new normal, driven by digital realities and changed customer needs helped build a better customer connect and strong performance during this period. With the economic and business activities picking up post-lockdown,''he said.
The health and personal accident segment saw a significant 47 per cent growth at Rs 226 crore in the first half of the current financial year as compared to Rs 153 crore in the same period of 2019-20.
‘’The expected outcome of the Covid-19 crisis is the behavioral change of people towards health insurance, as they realized the benefits of adequate protection and health coverage. This helped us serve the customers with our comprehensive health insurance plans and boost this segment,’’ said Mr. Srinivasan.
The company recorded strong double-digit growth in both commercial lines and crop insurance segments. While the company continued focusing on large corporates, it further strengthened its commitment towards SME and MSME segments which helped post 28 per cent growth at Rs 299 crore in the commercial lines segment during the April-September period of this fiscal against Rs 234 crore in the corresponding period a year earlier. Crop insurance yielded 18 per cent growth to Rs 551 crore in the first half of 2020-21 from Rs 467 crore in the same period of the previous fiscal.