ICICI Lombard expects to surpass industry standard in premium growth

ICICI Lombard’s gross written premium (GWP) grew by 20%, expects a premium growth of 2 – 3% higher than the industry average. According to Mr. Neelesh Garg, Executive Director – ICICI Lombard General Insurance Company GWP grew to Rs. 6,420 crores for the financial year ending March 2013. He attributed this growth to rise in premium amount in both retail and corporate segments.
He further quoted that the company expects the force of previous year to go forward in this year and that the company expects 2 – 3% higher premium than the industry average in the coming financial year. He also did not rule out the rise in prices of the premium amount depending on the inflation numbers.
Out of the total portfolio of the company, 55% comprises of retail business whereas balance 45% constitutes corporate. Further, out of the total premium, 75% of the premium amount comes from motor insurance, 20% from travel insurance and balance from health cover insurance.
With regard to motor insurance particularly, Mr. Garg said that growth in this segment depends on auto sales that will be made. However last year the industry witnessed good increase in business in the used vehicle space along with renewal premiums.
ICICI Lombard, who had settled around 50 lakhs claim last year, is a private sector general insurance company, is a joint venture between ICICI Bank and Canada based Fairfax Financial Holding. It has a range of products in its portfolio and has a history of launching 3 – 4 new products every year.