Improved all-round performance drove the 2012-13 results of New India Assurance, recording a PAT of Rs. 8.44 billion, the highest in past five years. In 2011-12, it was Rs. 1.79 billion. The net worth of the company, largest among general insurers in India for many years, touched Rs. 77.37 billion growing from Rs. 70.58 billion in the previous financial year.
Company’s market leadership in Indian general insurance business, continues for more than 40 years as it crossed Rs. 100 billion in 2012-13 in India, consolidating the position with a commanding lead. Indian business reached Rs. 100.38 billion recording a growth rate of 18%. The foreign operations of the company, spread over 22 countries, generated a premium of Rs. 24.67 billion, up by 17.6%. The global business for the year was Rs. 125.05 billion, higher by 18 % than that of previous fiscal.
The total investments of the company rose to Rs. 315.59 billion from Rs. 286.27 billion in 2011-12. New India could mop up Rs. 27.91 billion from the investment operations which were 19.05% more than that of last year, Rs. 23.44 billion. The expenses of management ratio came down from 26.23% to 25.11%. The general insurance leader could bring down the incurred loss from 90.01% to 86.16%, as it implemented strong underwriting & claims management measures.
The Board recommended a dividend of 85% on its paid up capital of Rs. 2 billion, amounting to Rs. 1.7 billion.
The Company expanded its operations, by deepening its presence in unrepresented and new potential business places through its Micro offices. The insurer opened 383 new such offices to take the total number to 555. In the current fiscal the company has plans to open 500 more such offices across the country. The Large Corporate & brokers’ cells were delinked from the Regions and started directly reporting to corporate office, bringing in more efficiency and agility.
The Company is launching a major drive to settle motor Third Party claims through conciliations including Lok adalats during the year. There would be high focus on improving customer service including quicker settlement of claims.
G Srinivasan, Chairman cum Managing Director, New India Assurance, reiterated the intention to enter new markets in Qatar, Myanmar and Canada to broaden the foreign operations. The underlying theme would continue to be Leadership & beyond.