New India Assurance Company Ltd Directors Report.

"To the Members: Your Directors have immense pleasure in presenting the Hundred and One Annual Report of the Company together with the audited statement of accounts and balance sheet for the year ended 31st March, 2020." 1. The snapshot of your Company Standalone financial performance is as below:


Rs in Crores

Fire Marine Misc Total
Gross Direct Premium Income India CY 3063.16 741.06 23008.91 26813.13
PY 2224.75 708.89 20976.52 23910.16
(% Growth) CY 37.69 4.54 9.69 12.14
PY 6.83 18.15 4.69 5.24
Outside India CY 823.78 42.92 2035.24 2901.94
PY 752.46 52.77 1892.60 2697.83
(% Growth) CY 9.48 (18.68) 7.54 7.57
PY 14.05 28.23 8.79 10.54
Global CY 3886.94 783.97 25044.15 29715.07
PY 2977.21 761.66 22869.12 26607.99
(% Growth) CY 30.56 2.93 9.51 11.68
PY 8.57 18.79 5.02 5.76
Reinsurance Premium Accepted CY 1174.47 63.50 290.82 1528.79
PY 1123.08 49.15 236.89 1409.11
Global Gross Written Premium CY 5061.41 847.48 25334.97 31243.86
PY 4100.29 810.81 23106.00 28017.10
Growth in Global Gross Written Premium CY 23.44 4.52 9.65 11.52
Reinsurance Premium Ceded CY 2303.32 414.01 4039.48 6756.81
PY 1983.16 366.77 3546.32 5896.25
Global Net Premium CY 2758.09 433.46 21295.50 24487.05
PY 2117.13 444.04 19559.69 22120.86
(% Growth) CY 30.28 (2.38) 8.87 10.70
PY 8.02 8.43 5.23 5.56
(% to Gross CY 70.96 55.29 85.03 82.41
PY 71.11 58.30 85.53 83.14
Addition / Reduction in Un-expired Risks CY (314.73) (4.16) (639.32) (958.21)
PY (226.23) (24.73) (382.30) (633.26)
(% to Net CY (11.41) (0.96) (3.00) (3.91)
PY (10.69) (5.57) (1.95) (2.86)
Earned Premium CY 2443.36 429.31 20656.18 23528.84
PY 1890.90 419.31 19177.38 21487.59
Incurred Claims Net CY 1860.13 292.11 19360.38 21512.62
PY 2138.08 345.44 18013.18 20496.70
(% to Earned CY 76.13 68.04 93.73 91.43
PY 113.07 82.38 93.93 95.39
Commission Net CY 432.18 72.71 1788.87 2293.76
PY 448.61 61.34 1689.03 2198.98
(% to Earned CY 15.67 16.77 8.40 9.37
PY 21.19 13.81 8.64 9.94
Operating Expenses CY 431.08 67.75 3328.40 3827.23
PY 386.14 80.99 3567.51 4034.64
(% to Earned CY 15.63 15.63 15.63 15.63
PY 18.24 18.24 18.24 18.24
U/W Results CY (280.03) (3.26) (3821.48) (4104.76)
PY (1081.94) (68.45) (4092.33) (5242.73)
(% to Earned CY (11.46) (0.76) (18.50) (17.45)
PY (57.22) (16.33) (21.34) (24.40)
Investment Income-Policy Holders CY 621.73 89.10 3806.89 4517.72
PY 497.17 79.98 3207.64 3784.79
Revenue (Policy Holder) Account Surplus CY 341.71 85.84 (14.59) 412.96
PY (584.77) 11.52 (884.69) (1457.94)
Investment Income-Share Holders CY 2247.89
PY 2101.03
Other Income less Outgo CY (1022.02)
PY 1.78
Profit before Tax CY 1638.83
PY 644.87
Provision for Tax CY 221.07
PY 65.08
Profit after Tax CY 1417.75
PY 579.79


(Rs in Crores)

2019-20 2018-19
A Gross Written Premium (India) 26999 24035
% change over previous year 12.33 4.70
Gross Written Premium (Foreign) 4245 3982
% change over previous year Gross 6.60 10.54
Global Premium 31244 28017
% change over previous year 11.52 5.50
Gross Written Premium (GWP) in India has increased from 24035 crore in 2018-19 to 26999 crore in 2019-20 recording a growth of 12.33% in 2019-20. The company continues to be the market leader in India.
B Net Premium 24487 22121
% change over previous year 10.70 5.56
The net premium income of the company grew by 2366 crore from 22121 crore to 24487 crore.
C Change in Unexpired Risk Reserve 958 633
D Earned Premium 23529 21488
% change over previous year 9.50 8.94
E Incurred Claims (Net) 21513 20497
Percentage to earned premium 91.43 95.39
F Commission (Net) 2294 2199
Percentage to Net premium 9.37 9.94
G Operating Expenses 3827 4035
Percentage to Net premium 15.63 18.23
H Underwriting Results (4105) (5243)
I Investment Income (Less Provision)
Apportioned to policyholders 4518 3785
Apportioned to Shareholders 2248 2101
Total 6766 5886
J Revenue (Policyholders) Account Results 413 (1458)
K Other Income/Outgo (1022) 2
L Profit Before Tax (PBT) 1639 645
M Profit After Tax (PAT) 1418 580
N Proposed Total Dividend 0.00 247.20
O Dividend Tax 0.00 50.81
P Paid-up Capital 824.00 824.00
Q Reserves and Surplus 16632 15121
R Total Assets 74609 79475
S Investments (at cost) 41133 36930
T Solvency Margin
i. Required solvency margin under IRDA regulations 6770 6332
ii. Available solvency margin 14296 13495
The companys Global solvency ratio is 2.11 times (PY 2.13 times)
U Compliance with Section 40C
i. Expenses prescribed under the act 8417 7277
ii. Actual expenses 5636 5538
iii. Difference 2781 1739


The Indian Economy grew at 4.2% in 2019-20. Despite macroeconomic challenges throughout the year culminating with the COVID-19 pandemic in the 4th Quarter of FY 20, India continues to be among the fastest growing major economies in the world. Indias foreign exchange reserves crossed US$

500 billion, according to data from the RBI as of 12th June 2020. During this Financial Year, inflation has remained largely stable, and Macro-economic factors continue to be positive. The nation-wide lockdown that began on 24th March 2020, was extended till the end of May. Subsequently, beginning 1st June 2020, various parts of the country began to re-open for Business. Strong rural growth and demand, particularly from

Tier 3 and Tier 4 cities could be the way forward for the Indian

Economy in the FY 2020-21.

Indian general insurance industry

The Indian General Insurance Industry grew by nearly 12% in FY 2019-20 and the total gross direct premium of the industry crossed 1.8 lakh crore. Motor, Health and Property remained the primary growth drivers of the industry. Good monsoon is providing a tailwind to the Kharif sowing activities and expected to boost the rural consumption.

The traditional lines like Property and Engineering where growth is linked to the general level of investment activity in the economy are also expected to fare better in the coming years. The Industry has experienced a rationalizing of rates in the property and Engineering Segment This is expected to improve the loss ratio of the property line of business.

IRDAI has initiated two major initiatives in the Health segment.

The first is a Standardized Health Insurance Product named "Arogya Sanjeevani", with a Sum Insured of up to 5,00,000 and standardized Terms and Conditions which every general insurance company has to offer. The second initiative,

Guidelines on Standardization of General Terms and Clauses in Health Insurance Policy contracts is expected to bring uniformity across the Insurance Industry, and reduce disputes on interpretation of the contract for the stakeholders involved.

The COVID-19 pandemic has increased the awareness of health insurance and the segment is expected to do well in the near to medium term.

While growth in FY 2020-21 remains a challenge, the insurance penetration in India continues to be low and the industry is expected to grow well in the medium term.


Gross direct premium in India has increased from 23910 crores in 2018-19 to 26813 crores in 2019-20 recording a growth of 12.14% during 2019-20. The growth is observed in all geographical segments as well as all classes of business.


Sr. No PARTICULARS 2019-20 2018-19
( in Crore) (%) ( in Crore) (%)
1 Gross Direct premium 26813.13 12.14 23910.16 5.24
2 Net premium 21444.06 11.21 19281.76 4.36
3 Change in unexpired risk reserve 872.78 - (289.65) -
4 Net earned premium 20571.28 8.31 18992.11 10.23
5 Commission 1595.98 7.44 1510.88 7.84
6 Incurred claims 19556.03 95.06 18366.87 96.71
7 Management expenses 3597.34 16.78 3813.98 19.78
8 Other income (net of outgo) (1024.49) (4.78) (2.38) (0.01)
9 Investment income 6596.44 30.76 5736.77 29.75

Note: Percentage shown in Sr. No. 1, 2 & 4 indicates the growth over previous year, percentage shown in Sr. No. 5, 7 to 9 is percentage to ‘Net premium and percentage shown in Sr. No. 6 is percentage to ‘Net Earned Premium


The Company commenced its foreign operations shortly after its formation in 1919. The London branch was opened in 1920. After that the Company saw a steady increase in presence abroad with Manila, Port Louis and Japan. Today New India has presence in 28 countries.

Today the company operates in the following countries:

Branches & Agency offices:
United Kingdom
Hong Kong

New Zealand


Fiji y Dubai

Abu Dhabi





Curacao of 73.31 crores Apart from these countries, the Company has subsidiaries in Nigeria (Prestige Assurance Plc.), Trinidad and Tobago (New India Assurance T&T) and Sierra Leone. The New India T&T also operates in countries such as St. Lucia, Dominica, St

Maarten, Guyana and Anguilla. The Company has opened a Representative office in Myanmar and is planning to open an office in SEZ, Myanmar. The Company also has its presence in Saudi Arabia (WAFA Insurance), Singapore (India International Pte, Singapore) and Kenya (Ken India Assurance Co. Ltd.,


The Companys foreign operations saw a gross written premium turnover in rupee equivalent of 3747.58 crores and a Net Premium of 3042.99 crores in FY 2019-20. The foreign operations recorded an underwriting profit and Profit After Tax was 214.91 crores.

New India Assurance has taken a license to operate in DIFC, Dubai through a regional office

2019-20 2018-19
Sr. No PARTICULARS ( in Crore) (%) ( in Crore) (%)
1 Gross Direct premium 2901.94 7.57 2697.83 10.54
2 Net premium 3042.99 7.18 2839.09 14.46
3 Change in unexpired risk reserve (85.42) - (343.61) -
4 Net Earned premium 2957.57 18.51 2495.48 0.03
5 Incurred claims 1956.59 66.16 2129.83 85.35
6 Commission 697.77 22.93 688.10 24.24
7 Expenses of management 229.89 7.55 220.65 7.77
8 Other outgo 2.47 0.08 4.16 0.14
9 Investment income 169.17 5.56 149.04 5.25

Note: Percentage shown in Sr No 1,2 & 4 indicates the growth over previous year, percentage shown in Sr. No. 6 to 9 is percentage to ‘Net premium and percentage shown in Sr. No. 5 is percentage to ‘Net Earned Premium


The Company had been consistently expanding its footprints by opening Micro Offices in remote areas and upgrading its Micro Offices to Branch becoming the cornerstone for better services to every length of the country.

As on 31st March 2020, the Company has a network of 31 Regional Offices, 7 Large Corporate Offices, 1 Auto Hub, 1 office at International Financial Services Centre, 1 Digital Hub, 474 Divisional Offices, 591 Branch Offices, 25 Direct Agent Branches and 1160 Micro Offices, totalling 2292 offices inclusive of Head Office y Foreign

The Company operates in 28 countries


The Company continues its endeavour to have an optimum protection commensurate with the Companys risk profile and Financial position. Renewal of all proportional and non-proportional treaties of both Indian and foreign offices was completed as per schedule This year 2020, the company was impacted by major Catastrophic losses. There were losses in Orissa in the month of May on account of Fani Cyclone. Then there were floods in a number of states in the months of July, August and September. On the global front, the major catastrophic events which impacted New Indias foreign Branches were Hurricane Dorian (Bahamas) and Typhoon Faxai (Japan) in September followed by Typhoon Hagibis (Japan) in the month of October. All these losses impacted the Reinsurance treaties/Covers taken by the Company.

Companys IFSC (GIFT city) which came into operations in October 2016 has posted an accretion of 30.6% .


. Techno Marketing is a specialized Department

Created at Corporate office to cater the needs of Large

Corporate clients for their operational Business units and construction projects of Large and Mid-segment customers. The company with its underwriting capacity, Technical Expertise, Market Reputation ,Market

Intelligence and Financial Strength continues to lead the Market in the Large Risk segment of construction and Operational covers.

Corporate clients in the Indian market with the implementationnew Technology and new business models are always looking for customized covers which is being addressed by the department by devising need based Insurance solutions with the expertise available in the department. Also, with the support of National and International Reinsurers, company has been able to design few Unique covers to fulfil of Corporate clients.

Seminars are organized for Large corporates at their work places to educate their employees and executives about the Large risk policies along with the claims modalities. In view of focus on the corporate strategy of Underwriting the risk with profitability, clients are educated about the Risk management practices, loss minimizing activities. Risks inspections for a few risks are conducted by International repute risk engineers.

The Company is equipped to face the challenges in this segment and aims to maintain the leadership in coming years as well.


The company continued its top-notch performance in the Property insurance segment. Moving higher than the growth in economy, the Fire premium rose from 2225 Cr to 3063 Cr and Engineering from 516 Cr to 558 Cr. The company continued its leadership position in this segment of the general insurance market. While the Fire premium grew at the record rate riding on the back of increased Fire premium rates across sectors, the

Engineering premium increased at the rate of economy. It is our constant endeavour to improve underwriting and claims management. During the year the company adopted stricter measures and enhanced rating for high claim policy renewals as a part of improvement in underwriting. The company also decentralized policy underwriting in a controlled manner at regional offices which improved the customer servicing and

The company conducted workshops on underwriting and claims management for the education of the technical teams in various offices. Apart from regularly conducted video conferences for better coordination with the technical teams.

The ICR of the company improved in Fire portfolio but took beating under the Engineering portfolio predominantly due to catastrophic events. Overall it didnt hamper the business performance. Tight claims control was achieved by optimum utilization of the resources and thrust on quicker claims settlement. This resulted in reducing the cost of claims and increased profitability. We aspire to maintain our leadership in the years to come by utilizing our proactive approach, technical competence & innovative techniques towards better underwriting & claims management.


The Company has completed premium of 9394 crores during the year FY 2019-20 as against the premium of 8254 crores with an accretion of 14%.

Major highlights in FY 2019-20 are :

1) Loss minimization measures to contain Incurred Loss Ratio in health and this has resulted in reduction of ICR in group mediclaim by 2%. the actual requirement

2) To boost the growth of retail health, lot of customer centric activities were carried out during the year.

Add on covers and option for enhancement of sum insured in the renewal notices incorporated thereby encouraging customers to have adequate health insurance.Cumulative bonus of 25% in the first claim free renewal and 50% in the second claim free year has been introduced in New India Mediclaim. This feature which was withdrawn in the year 2013 has been reinstated to promote retention of all our retail customers. We have also introduced various Add on covers viz Proportionate waiver clause, maternity benefit and Cataract benefit in New India Floater policy to meet the demands of insuring public. We have launched a specialized product viz New India Cancer Guard Policy. This product has received good response in the market.

As mandated by IRDAI, we have launched Arogya

Sanjeevani New India Assurance on 30/3/2020 and got approval for the same. This product will be available on all digital platforms and all distribution channels including

POS, web aggregators, CPSC will be utilized to promote the marketing of this product.

Our inhouse doctors too contribute significantly in product development, claim adjudication and audit and fraud control. This helps us to not only contain the ICR but also bring in professional adjudication of medical disputes and build in novel ideas into the products. Constant audit and visit to the hospitals/TPAs for surprise check is being carried out which has resulted in containing the ICR.

During FY 2019-20, we issued 17,09,366 number of efficiency health policies, number of claims settled were 46,02,958 with claims disposal ratio of 97%. Claims disposal ratio of 97% not only reflects the sound financial standing of the thecompany Company but also its operational efficiency.

As a part of the networking branch of the Health Insurance

Department, we would like to mention that the following operations have been undertaken for the growth of our Company:

PPN (Preferred Provider Network): It is a network of hospital and TPA arrangement for providing cashless facility to our clientele in collaboration with the other 3 PSUs and 26 TPAs. This network is available in the 12 major cities of our country.

New India Network of hospitals: The Company had taken the lead to extend this facility in cities other than the cities where PPN is available; to facilitate our policyholders. This is direct agreement between New India, TPAs and the hospitals. The other PSUs are not a party to it. Total number of hospitals under such direct agreement is 369.

Help Desk Facility: The Company started a hand holding initiative to our customers in the form of Help desks at major hospitals. The facility is managed with the help of lead TPA in the concerned area. Regular training sessions and workshops are carried out for marketing force, agents and agent managers for product knowledge updation for enabling better service and growth of the Health department.

The last quarter of this fiscal began turbulently with

COVID 19 problems which greatly impeded our marketing activities, especially March, which is a crucial one. Thousands of our customers could not remit their renewal premium due to lock down situation. Customer centric measures were undertaken for enabling premium remittance like SMS alert, payment link on mobiles, giving covers retrospectively etc.


The Company continues to maintain its leadership in the Marine Line of Business with the highest market share in Marine Cargo as well as Marine Hull in the Indian Market. The Company has 35.10% of market share in Marine Hull and 16.40 % in Marine

Cargo Insurance. The company achieved a Marine Cargo Domestic premium of Rs 437 Crores as against

Rs 394 Crores in the previous year. Marine cargo portfolio in FY 2019-20 remains profitablewith ICR approximately of 54.50%. As the leader in Marine Hull and Marine Cargo Insurance, the Company is committed to delivering best-in-the-business service to its clients. Initiatives are being undertaken for effective online marine solutions for issuance of Certificates/Policies through Customer/

Intermediary Portals and also for faster claims handling.

Effective claims management and risk management along with careful underwriting and vigorous recovery efforts have contributed to sustaining the profitability these Portfolios.

The Company insures major shipping lines of India, majority of Inland and Coastal vessels, sailing vessels and fishing vessels in the at major ports of India in the oil and energy segment, we have consistently been the market leaders since inception. We are the first insurance company to come up with a Protection and Indemnity cover. While we are still at a preliminary stage in this direction, our efforts shall ensure that India finally has

P&I club.

We are proud to announce that we bagged the prestigious "Samudra Manthan " Awards for the year 2019. Not only are we the pre-dominant insurer in India but also are one of the major players in the World Reinsurance

Market. As Reinsurers we give support to major upstream energy and Offshore construction projects all over the world - with our specific focus being Middle-east Asia, Central Asia, Asia-pacific and Africa. We continue to show a very healthy and profitable growth even during these hard times.


New India is the preferred insurer for Aircraft Manufacturers, R&D Organizations and various other

General Aviation Business.

With the advent of Government sponsored Regional Connectivity scheme, New India has been the fore-runner in the smaller airlines that have taken off under UDAN

(Udey Desh ka Aam Naagrik) Scheme.

The Company continues to be a preferred re-insurer in international market extending its support to around 100 Aviation Reinsurance Programme across the Globe.



During the FY 2019-20 the company entered into New tie ups. The Company has tie ups with motor dealers across India through partnership with major brands in the Indian market.

The companys Tie up network covers more than 5000 dealers. Besides more than 2800 dealers (other than

OEM Tie ups) of private cars, commercial vehicles and two wheelers have tied up with company offices directly for sale of motor insurance policies to their customers. Auto tie up has empowered the company to create a brand image of leading motor insurer in India who has been delivering value added services like; instant delivery of insurance policies & endorsements, seamless settlement of claim, TAT based delivery of services & cashless facility at dealer points etc.. This has been possible through intervention of IT; enabling our partner dealers to execute all such activities on portals available at each dealer point.


During FY 2019-20, the Automobile Industry sales has declined due to various factors such as the BS VI- Emission norms to become effective from April 2020, the Introduction and promotion for transition to electric vehicle etc. The Slowdown of Automobile industry has, had a direct impact on Motor Insurance Business. Also, the lockdown due to COVID-19 from March 2020 had an impact on business and claims servicing. The Industry growth of Motor Premium has been only 7.3%, with Own Damage (OD) premium growth at 0.2% and Third Party (TP) Premium growth at 12.1%.

During the year two new products were approved by the Regulator – IRDAI (Stand Alone Motor Own Damage

Policy for Two-Wheeler and for Private Car). Further, company is in process of filing new products in the coming year too, to augment the product range.

Claim Settlement in Motor Own Damage segment stands at 93.98%. There are 36 claims hubs, which handle the claims of 948 operating offices as on date. Company has tied up with over 1283 reputed motor workshop/garages to provide cashless service to retail customers.

During the financialyear 2019-20, the company has rolled significant IT enabled initiatives with an objective outafew of providing effortless service to customers. Automation of Motor OD claim process has been introduced on pilot basis in few Claim Hubs, auto appointment of surveyors for Private Cars and Two-wheelers has been initiated for Estimate upto 50,000/-, development of digital Survey

Reports which enables faster settlement of claims and helps in analysis. The Companys Core System has been integrated to Digi Locker for enabling verification of vehicle documents instantly in case of claims. These new initiatives are proposed to be implemented in all offices during the year 2020-21 with further improvements/ additional features.


The focus of the company is to settle maximum number of TP claims through conciliatory process and avoiding further litigation by filing appeals in high courts and Supreme Court. Company has settled about 35% of Total claims settled by way of compromise through Lok Adalat and other Conciliatory Mechanisms. Despite protest of

Advocates in major centres viz. Ernakulam, Bangalore, Chennai and Hyderabad during National Lok Adalat, we could compromise sizeable number of claims, best by any

General Insurance Company.

The number of claims outstanding is 151698; with the Settlement Ratio of 33% and Throughput Ratio of 90%. Due to spread of Covid-19 in the month of March, 2020, of claims for Company could not settle significant want of receiving compromise and regular awards.

With the aim of digitizing the medium of communication with our service providers and to get constant and instant follow-ups to track the case movement before the Court of Law, initiated work on Advocate Portal, Advocate App and

Investigator Portal.

2 Legal Hubs at Mumbai and Delhi and 48 Motor TP

. Delhi Legal Claims Hubs are efficiently

Hub works as the face of the company in Supreme Court and NCDRC Matters.


The Companys visibility in the Industry as pioneers in writing Event Insurance, Film Production Insurance continues and we are able to sustain these lines of business due to increase in premium rates and reinsurance support from international market.

We have had leadership in the Nuclear Pool for the year 2019-2020 and propose to continue the same in the coming years.

It has been our endeavour to continuously support our banking sector by providing them with Cyber Liability Insurance and Commercial Crime insurance which are the most critical cover in todays digital world where we are dependent on technology.

Efforts are being made to approach International Markets to bring newer products to Indian Market as per market needs so as to ensure stable economical growth.


The Companys Premium procured through Brokers

Channel during FY 2019-20 was 6908 Crores against the Previous Year completion of 5306 Crores in India. This has resulted in accretion of Premium by 30.21%.

Premium of 26.50 Crores through Insurance Marketing Firm (IMF) channel with a growth of 5% over previous year has been achieved by the Company.

In order to give stimulus to the online business, your

Company has been providing Broker/IMF Portals to the Intermediaries to facilitate quick issuance of policy and also to encourage the Intermediaries to use Digital

Payment methods. During this fiscal year,75 new Broker

Portals and 14 new IMF Portals have been provided.


Banks, with their geographical spread and penetration in terms of customer reach of all segments, have emerged as viable sources for the distribution of insurance products offering bank customers ease of purchase, competitive price, diverse products from different insurers and doorstep delivery.

In the financial year 2019-20, Company has been selected by India Post Payment Bank and IDBI Bank as its General Insurance business partners. Bancassurance department of the company contributed 352 Crs of premium during FY 2019-20, with a growth rate of 9.60%.

Various campaigns were launched during the course of the year, to increase the reach. Technology intervention is constantly being increased to improve availability, efficiency, speed and ease of service to mutual customers.

Portal integration with various Banks was implemented towards this end. Training of banks personnel engaged with insurance operations is also offered periodically.

Department is looking forward to mark companys presence in PSU Banks post-merger and tie-up with other Public sector Banks as also other large and small banks, in coming year, by offering a bouquet of Insurance Products to enable the last mile customers to avail Insurance of their choice.


The Agency channel has been a major channel of business for the Company contributing the largest share of Premium income with consistently favorable incurred claims ratio.The Premium procured by Individual agents during the FY 2019-20 was 10,124 crores & by Corporate Agents (other than Banks) 114 Crores. Recruitment of 8866 new agents during the year enhanced the strength of Agency. Various recognition and reward schemes implemented for motivating & recognizing agents, were reviewed and revised to encourage and reward agents and to motivate them to face market challenges.

A new initiative was launched to publish a quarterly Agents Magazine, named "PRAGATI" based on the articles, Poems and achievements by agents. Various other measures like sending text messages to agents on various occasions, Birthday, festivals etc, Celebrating "First Monday of every Month" as "Agents Day" honoring the top performer agent in every office etc are implemented.

The Company has one designated Officer in every operating office in the role of Agent manager for recruiting & training agents and providing them constant sales and service support.Training was imparted during the year, to 191 new Agent Managers in order to enhance their knowledge and skills for performing their role better in nurturing and supporting agents. Programs were alsoorganized for CMD club agents for enhancing their skills.

This year a record 8911 eligible agents were facilitated in Conventions held at RO & HO level under Agent Club Membership scheme based on 2018-19 performance. Agent portal & App facilitates quick issuance of policies on 24x7 basis.Agent portal & App were improved further to make them more user friendly for enhancing penetration and thrust in retail business. The Agent App with new features available in smart phone enables agents to quickly renew policies and better manage their renewals and claims. The Company made constant efforts supported by training for encouraging and motivating agents for usage of agent portal and App. During the year,

Portal access was enhanced to over 38597 agents and they issued 67 Lac policies generating Premium of 3517 Crores. The Premium through agent portal was 35% of total agency business as against 27% in previous year.


The Company as the premier Non-Life Insurance Company, in keeping with its rich traditions & strong social commitment of serving the rural mass has always been in the forefront of devising host of Rural Insurance Products. The Company has always been continuously striving to offer the needs & and requirements of Rural population. The company provides protection for various assets of rural community.

A wide variety of covers are now available for the rural areas to meet the specific needs of the Rural mass. To name a few Cattle Insurance, Agriculture pump set, Poultry Insurance, Brackish water prawn insurance, Janata Personal Accident, Plantation Insurance, Personal

Accident Insurance cover to Kisan Credit Card Holders

(KCC), are some of the products which have provided safety & security to rural populations. The Company is the pioneer in covering temple elephants which is one of the most valued possessions of the Temple Authority. Basing on the market requirements add on cover for treatment expenses of insured animals is in the pipeline. The Company has always shown keen interest in various Government sponsored Schemes and is actively participating in such schemes like Pradhan Mantri Fasal

Bima Yojana (PMFBY), Restructured Weather Based Crop Insurance Scheme (RWBCIS), Cattle/ Livestock

Insurance schemes under National Livestock Mission in various States, Rajrajeshwari Mahila Kalyan Yojana etc. for benefit of the rural population. The Company has opened up Micro Offices at remote & interior parts of the country to ensure smooth distribution of exclusive rural centric products. Our extensive network of rural Agency force has been provided with Portal for immediate issuance of policy even in remote corner of the country.

It has always been the objective of the Company for growth & promotion of micro insurance products for the Rural & marginalized population. The company has made the claim processing procedure simple & easy to popularize the micro products.

The company has believed in the philosophy that right product design and right pricing are essential to make the rural insurance products more attractive and meaningful to rural community. With more than 50 Rural Insurance

Products the Company has been doing its bit for sustained Rural development which is backbone of Indian Economy.


The Company has successfully implemented the Ayushman Bharat scheme launched by the Government in September, 2018 in place of earlier RSBY scheme.

There are States which are still continuing their own sponsored scheme like Bhamashah Swasthya Bima Yojana of Rajasthan and we extended our Services in these State as well. Under ‘Bhamashah Swasthya Bima Yojana the company has covered more than one Crore families. We are implementing a new Scheme in the State of Punjab for ‘Bhai Ghanhya Sehat Sewa Scheme.

We are the insurers providing the prestigious RuPay

>Insurance program under the umbrella Scheme of Pradhan

Mantri Jan Dhan Yojana (PMJDY) from the FY 2015-16 in association with NPCI. We have provided Personal best possible products customized according to Accident Cover to 52.8 Crore RuPay Card Holders.


Pradhan Mantri Suraksha Bima Yojana is one of the flagship schemes under the umbrella of Pradhan Mantri

Jan Dhan Yojana (PMJDY) launched in 2015. To achieve the motto of Financial Inclusion of Government of India,

Our Company has conducted various enrollment and awareness Campaigns for PMSBY and has provided Coverage to 2.07 Crore Subscribers. The Company has tied up with more than 283 banks and Cooperative societies.


Alternative Business Channel is a dedicated department to strategize and develop alternate channels for business procurement, and to support the Nodal Offices for effectively handling the Digital Operations. For this Financial Year it has contributed 4,917 Crs Premium which is 19.44% of the total. This has been achieved through the customer portals and tie ups with different partners e.g. Agency, Brokers, Web Aggregators, Corporate Agencies, IMF, POS, CPSC etc. With the arrival of new innovative technologies its scope and presence are going to grow manifolds. The awareness and acceptability factor for the New Age customers are also a driving force for the growth of our retail customers.


CSR Committee of the board was constituted in September 2014 with a mission to achieve our vision to strive to transform India into a "Risk Aware" society from being a "Risk-Averse" society and with a mission to "achieve our vision by integrating social, environmental and health concerns of the Indian society into Companys overall CSR Policy and programmes". The Companys

CSR Policy strives to achieve a balance between the expectations of the stakeholder and its social obligation as a socially responsible corporate.

The thrust of the entire gamut of CSR initiatives is on capacity building, empowerment of communities, inclusive socio-economic growth, environment protection, promotion of green and energy efficient technologies, development of backward regions and upliftment of the marginalized and under-privileged sections of the society. Procedures were formulated, and guidelines were issued to facilitate CSR activities.

In this year, The Company has utilized its CSR budget with presence in areas spanning Government and other social sectors working for the targeted beneficiaries in accordance with the Company CSR objective.

On the Government front, CSR investment included Central Government-backed initiatives like Armed Forces Flag Day fund for the benefit of our brave armed forces veterans, war widows and their dependents and funding Prime Ministers Citizen Assistance and Relief in Emergency Situations Fund (PM CARES FUND).

Other social sector CSR activities cover a broad swathe of sectors across different states in India in areas ranging from health to education to eradication of hunger to womens empowerment to environment protection to providing support to the specially-abled. To mention a few, The Company

(a) Rendered Financial Assistance to Ramkrishna Mission Aalo (Along) – Arunachal Pradesh for setting up Solar Plant.

(b) Provided Sponsorship of the Akshaya Patra Mid-

Day Programme for Underprivileged Govt School children as a CSR Activity.

(c) Co-Sponsored Puducherry Kitchen of Akshaya Patra foundation which runs worlds largest NGO-led mid- day meal program providing 1.6 million hot lunches to government school children.

(d) Financial assistance for construction of 10 Rooms for Old Age Home at Raipurs Vanprasth Ashram. (e) Financial assistance to Language and Learning Foundation (LLF) for Early Learning Improvement Programme at Durg District of Chhattisgarh.


Dedicated Customer Care Nodal Officers are working in all the operating offices throughout the country for extending quality service to the Policyholders and the prospects. Online information on the Companys products are provided in the website for the benefit of the public.

The Companys Call Centre forms an integral part of Customer Relationship Management activity. The toll free number of the company 1800-209-1415 is available to the customer 24*7 for enquiries on various Products, Claims and Grievances, both in Hindi and English. Service Requests for further follow up are replied/resolved by companys operating offices. This initiative and endeavor of ‘Customer Service is a key and vital element of our business strategy for a continuous and progressive growth in the General Insurance Industry, with value added products matching the Customers needs and requirements.

The Company has a Grievance Redressal Policy approved by the Board of Directors of the Company which lays down the guidelines for timely redressal of customer grievances maintaining a high level of quality. The Company also has a Policy for Protection of Policyholders Interests approved by the Board of Directors which formulates the high standard of service the Company aspires to extend to its Policyholders and the prospects.

Grievances received orally, over telephone or in writing are registered in the CRM Module. Customers can register their grievance through our website https:// The Company has a dedicated e-mail ID for getting customer grievances and service related issues and this is monitored by the Head Office. With a view to give special attention to the grievances and service related issues of the senior citizens, the Company has a dedicated e-mail address seniorcitizencare.ho@ which is also monitored by the Head Office.

Customer grievances received by IRDA gets registered in IGMS. Our CRM Module is integrated with IGMS on real time basis. We also receive customer grievances registered in Centralized Public Grievance Redress and Monitoring System (CPGRAMS) portal and National

Consumer Helpline portal. We resolve the grievances, intimate the customers and post the resolution through the portal.

The Grievance Redressal position for the period 01.04.2019 to 31.03.2020 is as under:

Source Outstanding as on 31/03/2019 Received From 01/04/2019 To 31/03/2020 Resolved From 01/04/2019 To 31/03/2020 Outstanding as on 31/03/2020 Disposal Ratio
ALL 34 5587 5601 20 99.64%


Enterprise Risk Management (ERM) vertical established at Companys Corporate office with its wings at all Regional Offices and Large Corporate Broker Offices represented by ERM Nodal Officers. Efforts are in swing to complete the ERM Project by implementing a suitable ERM software system. Business Continuity Management is a part of ERM function that focuses on mitigating the business continuity risk during exigencies.

1. All the Regional Officesand Large Corporates and Brokers Offices have conducted Fire Safety Audit of their offices to ensure safety of employees, systems and premises. Fire Safety Training was conducted at Head Office for staff for fire demonstration and escape chute.

2. Recovery Procedure Document, a single pager guide during the emergency times, have been implemented across all the ROs & LCBOs. The RPD is also in the final stage of implementation at Head office.

3. The Business Continuity Policy of the company was put to test in the current pandemic. This Policy has withstood the vagaries of the current pandemic and validated our strategy in this regard.

The following functions were also performed under -

ERM framework: -

• The Revised Corporate Anti-Fraud Policy and Standard Operating Procedure 2019 was approved by Board and adopted by our company.

• The Outsourcing Policy was approved by Board on 12th November 2018 as per Outsourcing Regulations 2017 and it is displayed on the website of our company under the head ‘Information and help.

• Information and Cyber Security is also a focal point in Risk management and is being addressed by various measures at people, procedures and technology levels in coordination with IT dept.

• Cyber risk workshop was organized for Senior Executives of the Company

• The Chief Risk Officer reports to the Risk Management Committee of the Board periodically to update on the progress of the ERM departmental activities.


The Company carried out the following activities in this vertical during the FY 2019-20

• Close monitoring of claims with an objective to bring down outstanding claims and increase settlement ratio.

• Effective monitoring of Catastrophic claims.

• Undertaken training of claim handing officials of Operating Offices focusing on improving their skills in handling customers, claims Management and Insurance Knowledge at the College of Insurance. Total 6 batches of training were held and 179 participants were imparted training.

• Implementation of the guidelines enumerated under the Surveyors Management Policy (SMP)adopted by Board on 13.10.2018. y During the year commenced claim automation process under Motor OD claims in Claim Hubs

Parameter Non-Suit Suit Total
Number of Claims OS as on 01.04.2019 155690 153864 309554
Number of Claims Intimated during 2019-20 5446116 86673 5532789
Number of Claims Settled during 2019-20 5372413 77777 5450190
Number of Claims OS as on 31.03.2020 229393 162760 392153
Parameter Non-Suit Suit Total
Claims OS for less than 3 months 129014 7417 136431
Claims OS for more than 3 months but less than 1 year 93765 30017 123782
Claims OS for more than 1 year 6614 125326 131940


Parameter 31.03.2018 31.03.2019 31.03.2020
No of claims O/s 126212 155690 229393
Amount of claims O/s 5097 cr 6210 cr 7437 cr
No of claim O/s for more than one year (Excl.GA and Coinsurance) 786 2361 6167
Non Suit Claim Settlement Ratio 97.32% 97.00% 95.91%


New India has once again perpetuated its supremacy in the insurance industry with a total of 14.10% market share. Our marketing team contributed to this triumph of New India with a remarkable share of premium by our Development Officers of 4380 crs. Our Business Associates have successfully contributed more than 832 crs premium for the FY2019-20. In all total share of premium by AO (D), AM (D) from all over India is 1537 crs.


Corporate Communication remained overactive throughout the year to increase visibility of our products and services through various promotion tools to create favourable opinion about our Company, our various

Products among our esteemed customers which helped to create new history of crossing 30,000 Crores Global premium. Wide coverage of our achievements, carried out by all the leading publications, boosted brand image of our company. Foundation day programme was successfully organised with , Shri Subhash Chandra Khuntia, Chairman, IRDAI , as Guest speaker along with a number of media persons who attended the event.

In addition to effective use of traditional outdoor media, Print Media; new methods like Digital Advertising on platforms such as DailyHunt and digital platform of magazines such as India Today, The Week, Value

Reasearch and Marathi newspaper Lokmat were also used to reach out to maximum customers. New Hoardings and Glow signs in around 12 locations/cities with around 240 displays have been placed at prominent

Airports, Road junctions, Highways, Railway stations and Bus stands/ Buses Express trains, throughout the country to increase our visibility Semi Naming Rights of Ashram Metro Station in Delhi with branding display area of around 22,000 sqft. Advertisements were also displayed on moving media like Mumbai, Delhi and Hyderabad Metro trains, Spicejet Aircrafts, Kolkata New Nano Trams, AC buses, containers and also on digital screens on railway platforms. Inside Airport branding was taken on all the major Airports (Existing 9 Airports) with addition of displays on 1 airports i.e. Lucknow Airport. Also branding inside 50 Spicejet Aircrafts done.

Effective use of electronic media - Through television to create Pan India awareness of our Brand through some of the niche channels i.e. Aaj Tak, ABP News, India TV, Times Now, Republic TV, CNBC TV 18, CNBC Awaaz, CNBC Bazar, Zee News, TV 9 Marathi, EPIC TV and India Today TV through wishing Ads, Aston Band Campaigns on Aaj Tak and ABP News and also through Show sponsorship on TV 9 Marathi and EPIC TV. Pan

India Radio advertisement campaign, staggered for a period of 10 weeks, was taken up on major radio stations like Big FM, Radio Nasha, Red FM, Fever FM, My FM,

Radio One & Radio City for Product Launch of New India Cancer Guard Policy and good wishes were conveyed on 101st Foundation Day to have greater mileage.

As part of completion of our Centenary year programme Tree Plantation drive and Blood donation drive were organised by our various Regional Offices.

Corporate Communication plays a vital role in promoting our global operations by sponsoring International Insurance summit like Monto Carlo, Baden Baden reinsurance &

Singapore International Reinsurance conferences and releasing advertisements in Asia Insurance Post and other Indian magazines.


In conformity with the grand objectives of the RTI Act.

The Central Public Information Officers (CPIOs) of 31 Regional Offices and 12 LCBOs / HUBs also contributed to the promotion of the ideals of the Act, under the umbrella of RTI Department at Head Office.

With a view to maintaining uniformity, consistency and improved standard of approach, the function of First Appellate Authority is centralized at Head Office. In compliance with the directive of CIC, our Company has appointed Transparency Officer in the rank of General Manager.

As per the directives of Ministry of Personnel, Public Grievances and Pensions, DoPT, New Delhi, we have extended the facility of RTI Web Portal w.e.f. 20.07.2016 under the administrative control of Department of Financial Services (DFS). It is a citizen interface which facilitates Indian Citizens to file RTI applications and First Appeals online and also to make online payment of RTI fees.

During the year 2019-20 the total (including online) number of RTI Applications received is 2252 and First Appeals is 324.

In compliance with the CIC guidelines / RTI Act, the Companys official website is up-dated from time to time disclosing and uploading maximum information under xvii points as mandated under the provisions of Section 4(1)

(b) of the RTI Act,2005.


The Company has strived to impart massive Training on Conduct, Discipline & Appeal (CDA) Rules, 2014 across the board to bring about awareness on Misconducts,

Prohibitions and Restrictions to ensure better IR climate in the Organization. During the year FY 2019-20, 4 Training Programmes for awareness of CDA rules were conducted at New Delhi, Mumbai, Kolkata and Bengaluru for North, West, East and South Zone Officers.

In order to ensure strict adherence to a climate of discipline, the Company has viewed all instances of Unauthorized Absences cases seriously and appropriate actions are taken.

The Companys Board has approved the policy on Prevention, Prohibition and Redressal of Sexual Harassment at Workplace. Internal Committee (IC), which consists of Presiding Officer (Women employed at Senior Level), two members amongst the employee committed to cause of women and one member from

NGO or Association at Head Office and all Regional offices has been set up to redress complaints received and to promote a work environment that is safe , secure and free of any form of harassment at Workplace. During the year FY 2019-20, 5 training programmes/workshops for awareness of POSH Act were conducted at New Delhi, Mumbai, Kochi, Kolkata and Bengaluru, which were attended by H.R.Officials, Internal Committee Members and other officials of the Company.

Submission of On-line Annual Property Returns have been further streamlined and has since achieved optimum efficacy.

There has been no labour unrest nor and any severe IR problem during the Financial Year due to proactive approach of Senior Management at Head Office as well as the Regional Offices.


The year FY 2019-20 has witnessed New Indias transformation into a technology driven conglomerate, with more than 23% premium coming from online channels, to the tune of 6,076 crore, as against 5,367 crore in the previous year with an accretion of 13.21%. The giant strides made in technology were clearly visible with

Agent Portal premium increasing from 2,697 crore in the previous year to 3,508 crore in FY 2019-20. The robust modern infrastructure in place also facilitated garnering a total Indian premium of 26,999 crore at a growth rate of 12.33%, while the Company crossed the much awaited and a glorious milestone of a global business of 30,000 crore.

Adoption of a robust business continuity plan allowed us to rely on our agile technology during the lockdown to support Work from Home, understand customer experience, monitor the availability of services, protection of our assets and, most vital, to ensure business continuity.

Our focus has always been to remain absolutely customer friendly and improving our services through technology. Our Customer portal and App have enabled our customers to go for online purchase of policies. Customers, now, have multiple options to lodge claims through mobile app, customer portal or call centre. Facilities like Automatic Surveyor appointment and Digital survey Report have been rolled out for Motor Own damage claims in a phased manner. The agent app has been upgraded to the latest technology stack with enhanced features and user-friendly design. Both agent app and agent portal, now, includes many more products than before for online issuance of policies. The entire process of insurance business stands completely digitized as on date.

We have taken a giant leap in the realm of real-time integrations at various levels policy sales and claim servicing. Our various Integrations of B2B, B2C, G2C and Bancassurance have proven to be a great platform with direct server to server talk between New India and the concerned entity for premium amount transfer and policy issuance. Real-time web service integration with TPAs ensures uninterrupted health claims processing and payment to customers. New India has always been pioneering revolutionary technology trends and acting as a diverse playground to test such technology and explore their mettle. Company has started its journey in the zones of RPA (Robotic

Process Automation) and eventually, will graduate to adopt RPA 2.0 and Hyper-automation. The company has been striving ceaselessly with an undying determination to bring the robot out of the human and thereby define a new level of productivity.

To enable instant information exchange with employees, customers and other stakeholders, we have created a multichannel communication infra which includes Cloud based Email, IP Telephony, SMS Gateways and Video Conferencing. In compliance of Regulators guidelines, we have successfully carried out the Planned NDR Drill, when our entire operation was moved to NDR for a week and return seamlessly.


In line with the tradition of keeping the interest of its employees foremost, the Company has continued to implement welfare schemes for its employees. Active as well as retired employees along with their dependent and non-dependent family members are covered under Group Staff Mediclaim Policy covering all kinds of diseases with minimal exclusions, Group Personal Accident Policy providing 24 hours cover to employees against accidental death or permanent disablement, Group Savings Linked Life Insurance, Group Term Life Insurance, Employees Deposit Linked Life Insurance, Lump sum payment for

Domiciliary Medical Treatment, Group Baggage Policy,

Education Advance Scheme for children of employees to pursue quality education, Housing Loan at subsidized rate of interest, Medical Check-up facility to Manager and above cadres, Directors Mediclaim Scheme for reimbursement of medical expenses of active as well as retired Directors along with their dependent family members etc.

The Company provides Ex-gratia relief scheme to its employees which provides for reimbursement of medical expenses beyond the Mediclaim cover. Special leave is sanctioned and medical expenses are reimbursed if employee meets with accident whilst on duty which is in addition to the 24 hours Personal Accident cover provided to employees. Special leave is also granted for participating in National & International sports events including Mountaineering, Expedition and Trekking events. Employees are encouraged for pursuing higher post graduate academic courses for which financial assistance is provided.

Other welfare schemes like Vehicle Loans at subsidized rate of interest, Leased accommodation to all cadres of employees, Retirement Benefit and Death Relief Schemes managed by Mutual Benefit Society for employees, Leave Travel Subsidy, Labour Welfare scheme are provided.

In order to facilitate more transparency and expeditious settlement, the Company has implemented online access for all its employees for availing the benefits and necessary training has also been imparted to them.


Employee strength as on 31st March 2020

Category of Employees Male Female Total
Class I 5458 2450 7908
Class II 635 30 665
Class III 5006 1652 6658
Class IV (Excluding Part Time Sweepers) 917 352 1269
Part Time Sweepers 6 - 6
TOTAL 12022 4484 16506


Number of employees recruited during 2019-20

Category of Employees SC ST OBC Total* Ex-Servicemen PWD
Class-I 35 24 75 304 0 12
Class-II - - - - - -
Class III 26 14 37 176 21 1
Class IV (Excluding Part Time Sweepers) 11 3 6 28 0 0
Part Time Sweepers - - - - - -
TOTAL 72 41 118 508 21 13

* Ex-Servicemen and PWD included in Total

Representation of Scheduled Caste and Scheduled Tribe employees under various cadres as on 31.03.2020

Category/Level Total

Number and Percentage

Number SC % ST % OBC# %#
Class-I 7908 1622 20.51% 662 8.37% 952 12.04%
Class-II 665 65 9.77% 34 5.11% 29 4.36%
Class III 6658 1301 19.54% 550 8.26% 1003 15.06%
Class IV (Excluding Part Time Sweepers) 1269 638 50.28% 117 9.22% 117 9.22%
Part Time Sweepers 6 4 66.67% 1 16.67% 0 0.00%
TOTAL 16506 3630 21.99% 1364 8.26% 2101 12.73%

# OBC reservation was introduced in 1993. The prescribed OBC reservation % is being maintained in all direct recruitments since then.

The Company Strictly adheres to Brochure provisions and Government DoPT guidelines regarding reservations and concessions in the matter of recruitment and promotion and safeguards the interest of employees belonging to sc/st/obc/pwbd and ex-servicemen.

Pre-promotional training programs were duly organised for all eligible SC/ST/OBC employees for promotion to various cadres. Regular training programmes are conducted on personality development, stress management, motivation etc. for SC/ST/OBC employees of various cadres.

Various benefits under Dr. B. R. Ambedkar Welfare Trust have been given to SC/ST/OBC employees. SC/ST/OBC employees have been nominated for NIA, Pune training programmes on a regular basis.

Pre-recruitment training programmes were also arranged for SC/ST/OBC candidates at various centres on all-India basis.

A separate reservation cell is actively functioning at Head

Office and Regional Office level for SC/ST/OBC/PWD/ Ex-servicemen employees. A Liaison Officer under the charge of Chief Liaison Officer manages this cell at Head Office, whereas, Assistant Liaison Officers head the at various Regional Offices.

A well-defined mechanism has been provided under which, on yearly basis, the Liaison Officer from the Head Office inspects the Rosters pertaining to recruitment and promotions at all Regional Offices. The inspection report with observations of Liaison Officer, are put up to the Chief Liaison Officer & General Manager (Personnel) for further directions and sent back to the respective

Regional Offices with necessary advices. Based on the inspection report, action is taken by the concerned Regional Offices in co-ordination with the Head Office rectify shortcomings in procedure, if any, observed by the Liaison Officer.

Special attention is given to complaints/grievances raised by SC/ST/OBC employees and they are resolved within shortest possible time-frame.

The Company is providing financial support on behalf of Dr. B. R. Ambedkar Welfare Trust, to various SC/ST/OBC welfare activities. On the eve of Mahaparinirvan Day i.e. December, 6th every year these welfare activities are supported to observe the death anniversary of Dr. B.R.

Ambedkar at Chaitya Bhumi, Dadar.


The Company has a strong women force and provides adequate opportunities for self and career development. A

31.03.2020, significant are holding senior positions in our Offices:

31st Mar. 2020
Director 01
General Manager 04
Deputy General Manager 05
Chief Manager/ Regional Manager 31
Divisional Manager/Sr. Divisional Manager 64
Branch Manager/Sr. Branch Manager 65

• Women executives are nominated for various programmes organized by Forum of Women in Public Sector (WIPS)

• Women Officers are also nominated in large numbers to the Programme for Women Managers conducted by National Insurance Academy, Pune

• Womens Committees are constituted at Head Office and various Regional Offices and are actively involved in resolving all gender-related issues/cases referred to them

• The International Womens Day was celebrated on March 8th, 2020 in all Offices across the country. Seminars were organised at various centers on topics such as

Women Entrepreneurship, Stress Management, Work-Life Balance, Mental & Physical Health, Nutritious diets, Rights of women under various laws of the country, and new law for protection of the women at workplace etc.


In the competitive scenario of the insurance industry of present times, it is of utmost importance to keep our employees abreast of the changes and to develop their insurance skills both in underwriting and claims settlement. Keeping this in mind, the Company conducts regular training programs. The Company also nominates employees for various training programs organized by external institutes from time to time. The focus of the trainings are on policy awareness, technical matters, specialized topics, marketing strategies, IT, personality development etc. Apart from emphasizing on mainstream training, the Company encourages nominations in alternate training programs, as arranged for homogenous group of employees. Women employees are also nominated to specialized training programs like the Women Managers Training Programme. Pre-promotional training is imparted to all eligible SC/ST/

OBC employees of all cadres. Pre-recruitment training is imparted to all SC/ST/OBC applicants desirous of availing the same. Based on our study of previous nominations, the system of Training Nominations have shifted from nomination-based to employees work profile based, i.e., the employee is nominated for training relevant to his line of working. Every effort is made to limit the training of an employee to two in a year, so that maximum number of employees get the opportunity to be trained.

Apart from above, various Departments at Companys office conducted homogeneous training programmes to respective employees based on their work profile.


The Official Language section of the Company works as per the guidelines issued by the Official Language Department of Ministry of Home Affairs and DFS. As per guidelines, all the officesof the company makes all possible efforts to increase Official Language Implementation work and explore in the area of Official Language. In these series, celebration of Hindi week/Hindi fortnight/Hindi month , Hindi workshops, Hindi Inspections and Official

Language Implementation committee meetings are held and symposium conducted at Head office as well as in the Regional Offices. One day Workshop cum training programs are organized for the Hindi Representatives of ‘B and ‘C Regions. Employees were felicitated under Cash Incentive Scheme for working in Hindi throughout the year. A collection of Hindi poems titled ‘New India and Hum was published on the companys centenary year. 104 employees who contributed to it through their poems were honored with cash prizes and certificates.Two issues of Corporate House Magazine ‘Arjan are published and Regional Offices also published their House magazine and e-magazine. The company received 74 Awards for official language implementation on All India level.

The Company is constantly working to play a key role in spreading Regional Language along with the Official Language.


Internal Audit has been playing a vital role towards strengthening the Corporate Governance and complying with management objectives to improve and strengthen internal controls. Internal Audit functions through Audit teams positioned at various Regional offices and supervised by Head office

A Annual audit program is drawn so as to ensure that all operating offices are audited at least once in the financial year. The Department has also conducted regular audits of their Regional Offices, Claims Hubs, Broker DO, LCBOs, Auto tie-up offices & HO Departments to ensure proper implementation of Corporate guidelines.

IAD has also helped in enhancing the performance of

Audit Compliance Cells at the various operating offices for speedy resolution of pending audit queries both internal and CAG.

IAD has conducted 17 HO level audit workshops, 99 RO level workshops and been able to resolve and close many queries.

At the end of the financial year, the observations of the

IAD is consolidated in the form of Annual Report and informed to the Board.

The Company has been complying with the Prevention of Money Laundering Act (PMLA) 2002 since it has been made applicable to insurance companies w.e.f. 01.08.2006. Amendments issued by IRDA are adopted by the Board from time to time. The Principal Compliance

Officer posted at Corporate Office monitors the compliance of AML guidelines.

IAD keeps control of expenses of the company by preparing budget for revenue and capital expenses. After the approval of the Board the budget is allocated to RO, LCBO and HO Department. Due care for budget utilization and review are being taken by IAD HO.


The Company has in place an SOP to streamline the process of dealing with NCDRC/Supreme Court and

Arbitration matters across all offices, Department has in place Standard Operating Procedure. Similarly the

Company has standing guidelines for quick disposal of consumer forum awards; avoidance of execution petitions and issuance of arrest warrants. The Company has been persistent in monitoring of the Execution cases wherein

Head Office Executives have been impleaded in the array of parties. Continuous follow up with ROs/DOs have resulted in better disposal of Execution cases.

The total settlement ratio is 28%.

The Company sustainably works towards achieving the twin objective of minimizing fresh reporting of cases and faster disposal of pending cases which will improve the customer satisfaction index of the Company.


The Companys Vigilance function is headed by

Chief Vigilance Officer. The focus is to create a sound vigilance culture with emphasis upon the Preventive Vigilance Mechanism which will bring not only systemic improvement but also raise the standard of corporate governance. It aims at identifying corruption / malpractices inside the organization and transparent process to deal with the same. Robust preventive vigilance measures with a sound vigilance culture across the organization would help in achieving organizational excellence. The Vigilance Committee at HO (VCHO) and the Preventive

Vigilance committees (PVC) at Regional Offices are also contributing on vigilance awareness and preventive vigilance. Internal Advisory committee ensure that there is fairness and justice in determination of vigilance angle and timely completion of disciplinary proceedings. During the year Surprise Inspections were conducted at 650 offices and Regular Preventive Vigilance Workshops were conducted at various offices and Head Office to educate and sensitize the staff about the importance of vigilance in public and personal life. Recommendations were also made for further improvement of the system. Vigilance awareness week was observed from 28th October 2019 to 02nd November 2019. The theme for the year was

"Integrity A way of life". During the Vigilance Awareness week various activities / events / competitions within and outside organization were organized to spread the message of building a corruption free and strong India.



1 PHILIP SCOTT 43 CHIEF UNDERWRITER (Facultative) 1,54,54,794.47 ACII 01.08.2011 63 Assicurazione Generali SPA LONDON
2 JAMES DAY 37 CHIEF UNDERWRITER (Treaty) 1,44,00,136.58 ACII 19.09.2011 57 Brit Insurance LONDON


During FY 2020, the Company was in compliance with the applicable Secretarial Standards issued by the Institute of Company Secretaries of India with respect to Board and General Meetings.

SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS IMPACTING GOING STATUS OF THE COMPANY AND ITS FUTURE OPERATIONS. passed by There are no significant the Regulators or Courts or Tribunals during FY 2019-20 impacting the going concern status of future operations of the Company.


All Independent Directors have given declarations that meet the criteria of independence as laid down under Section 149(6) of the Companies Act 2013, SEBI (Listing Obligations & Disclosure Requirements) Regulations 2015 and ‘fit and proper declaration as laid down under Corporate Governance guidelines of IRDAI. Executive Independent Directors have registered in the data bank in MCA.

Further Mr. Kuldip Singh Independent Director resigned on 2nd October 2019, as he was appointed as Insurance Ombudsman at Ahmedabad. Other than this, there is no material reason for his resignation.


The Evaluation criteria for evaluation of the Board, Directors and the Committees was approved by the Nomination and Remuneration Committee. Subsequently, evaluation of the Board, Directors and the Committees were carried-out for FY 2019-20.


The replies to the qualification made by the Statutory Auditors in their report is attached as Annexure to the Directors Report.


Pursuant to provisions of Section 204 of the Companies Act 2013 and the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014, the Company had appointed Mehta & Mehta, Practicing Company Secretary to conduct Secretarial Audit Report is annexed herewith as Annexure. There are no qualifications, reservation, adverse remark or disclaimer made by the auditor in the report save and except for observations disclaimer made by them in discharge of their professional obligation.


The Board has adopted policies & procedures for ensuring the orderly & efficient conduct of its business, including adherence to the Companys policies, the safeguarding of its assets, the prevention & detection of fraud, ever reporting mechanisms, the accuracy and completeness of the accounting records and the timely preparation of reliable financial disclosures.


The Company undertakes transactions with related parties in the ordinary course of business. The details of related party transactions are disclosed under Notes to

Financial Statements for FY 2019-20.

Board approved policy on Related Party Transactions has been hosted on the website of the Company and can be viewed at the below link: " pdf?guest=true".


During the year under review, there were no instances of fraud reported by the Statutory auditors and secretarial auditor under section 143(12) of the Act to the Audit Committee or the Board of Directors of the Company.


The Company being a General Insurance Company, its working and functions are governed by the regulations of Insurance Regulatory and Development Authority of India. The Accounts of the Company are drawn up according to the stipulations prescribed in the IRDA (preparation of Financial Statements and Auditors Report) Regulations 2002 and as amended from time to time.


AM Best Company has affirmed the Financial Strength Rating of B++ (Stable Outlook) and Issuer Credit Rating : bbb+ (Stable Outlook). CRISIL has assigned its Corporate

Credit Rating (CCR) of ‘CCR AAA/Stable.


The particulars of Foreign Exchange earnings/outgo as required by the Companies Act under Section 134(3)(m) is given below : Earnings: 645.83 crs. (previous year 624.62 crs.) Outgo : 1554.06 crs. (previous year 653.66 crs.)

The earnings included all receipts denominated in foreign currencies in respect of premium, recovery of claims outward commission and investment earnings. The outgo comprised all payments in foreign currency in respect of outward premium, claims on reinsurance accepted, commission and expenses of management.

Expenses on (a) Entertainment (b) Foreign tours and (c) Publicity and Advertisement amounted to 94,98,362 (P.Y. 1,04,40,855). 2,04,34,903 (P.Y. 1,74,63,104) and 52,40,41,287 (P.Y. 63,09,71,503) respectively.


The Profit after tax of the Company is at 1418 crore for the current year as against 580 crore for the previous year.

In the IRDAI circular Ref no. IRDA/F&A/CIR/ MISC/099/04/2020, the Regulator states the following: In view of the emerging market conditions, and to conserve capital with the insurance companies in the interests of the policyholders and of the economy at large, insurers are urged to take a conscious call to refrain from dividend pay-outs from profits pertaining to the financial year ending 31st March 2020, till further instructions. This position shall be reassessed quarter ending 30th September 2020.

In light of the above circular and the external macro conditions caused due to COVID-19, the Board of Directors of the Company had not proposed any dividend for FY 2020. In terms of Regulation 43A of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations 2015 ("Listing Regulations") the Dividend Distribution Policy of the Company has been hosted on Companys website and can be viewed at the below mentioned link: pdf?guest=true


Provisions regarding Financial Statements are laid down under Section 129 of the new Companies Act 2013. As per the provision of Section 129 (2) of the said Act, at every Annual General Meeting of a company, the Board of Directors of the Company shall lay before such meeting financial statements for the financial year. Section 129(3) of the Companies Act 2013 provides that where a company has one or more subsidiaries, it shall, in addition to financial statements provided under sub-section (2) of Section 129, prepare a Consolidated Financial

Statements of the company and of the subsidiaries in the same form and manner as that of its own which shall also be laid before the Annual General Meeting of the company along with the laying of its financial statements under Sub Section (2) of Section129.

The Company prepares Standalone Financial Statements and Consolidated Statements which are available in the Annual Report.


In accordance with the Listing Regulations, the Business Responsibility Report (BRR) forms part of the Annual Report.


The issued and paid-up equity share capital of the Company as on March 31, 2020 is 82.40 crore. The solvency margin position of the Company as at March 31,

2020 was 2.11 times as against the minimum solvency margin requirement of 1.50 times as prescribed by IRDAI.


The provisions of Section 186(4) of the Companies Act, 2013 ("the Act") requiring disclosure in the financial statements of full particulars of the loans given, investment made or guarantee given or security provided and the purpose for which the loan or guarantee or security is proposed to be utilised by the recipient of the loan or guarantee or security is not applicable to the Company.


All Independent Directors of the Company have given declarations that they meet the criteria of independence as laid down under Section 149(6) & (7) of the Act, the Companies (Appointment and Qualification of Directors) Rules, 2014 as amended from time to time and Regulation 16(1)(b) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("Listing Regulations").

All the Independent Directors of the Company have also confirmed that they have complied with Schedule IV of the Act and the Companys Code of Conduct for Directors and Senior Management.


During the year under review, the Company has not accepted any deposits under Section 73 of the Act.


Being an Insurance Company, the Company is not required to maintain cost records as specified by the Central Government under Section 148(1) of the Act..


All the transactions with related parties were in the ordinary course of business and on arms length basis and there were no material contracts or arrangement or transactions entered with related parties during the FY 2019-20.


Pursuant to Section 124 & 125 of the Act read with the

Investor Education and Protection Fund (Accounting, Audit, Transfer and Refund) Rules, 2016, the Company was not required to transfer any unpaid/unclaimed dividend amount to the Investor Education and Protection Fund in FY 2019-20.


In accordance with SEBI (Prohibition of Insider Trading)

Regulations, 2015 ("Insider Trading Regulations"), the Company has in place a code of conduct to regulate, monitor and report trading by its Designated Persons

("the Insider Trading Code") to the extent specified in the Insider Trading Code of the Company. The Insider Trading Code of the Company has been revised in line with the amendments in the Insider Trading Regulations, as amended from time to time.

The Company also has in place Code of Conduct to Regulate, Monitor and Report Trading by Insiders which is hosted on the website of the Company and can be viewed at : pdf?guest=true


Pursuant to Regulation 17(8) of the Listing Regulations, Certification by the Managing Director & CEO and the Chief Financial Officer of the Company on the financial statements and the Internal Financial Controls relating to financial reporting for FY 2019-20 has been obtained.