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Liberty Videocon General Insurance Company Limited, a joint venture between Videocon Industries and Liberty Citystate Holdings Pte Limited, part of US-headquartered multinational Liberty Mutual Insurance Group, is looking at a 40 per cent growth in gross written premium, and hopes to cross the Rs 1,000 crore mark by fiscal 2018-19. It is also planning to tie up with public sector banks for bancassurance, said a top management official from the company.
The company has posted a premium of Rs 370 crore during the last fiscal year and is expecting this to grow 48 per cent to Rs 550 crore by the end of current fiscal year. The insurance firm, which started operations in 2013, has been growing at a compounded annual growth rate (CAGR) of around 30 per cent.
"We are expecting to grow at around 40 per cent over the next two years and expect to cross gross premium of Rs 1,000 crore during 2018-19," said Roopam Asthana, CEO and whole-time director, Liberty Videocon General Insurance Company Ltd.
As part of the strategy, the company is planning to enter new markets and is also in talks to tie up with public sector banks for bancassurance. At present, it has around 70 branches in the country, giving the company access to almost 83 per cent of the insurance market in the country.
"So far we have been in tie-ups with co-operative banks and some non-banking finance companies. But now we are in talks to tie up with some of the public sector banks. If you are not a player there, you will lose out," he added. Almost 20 per cent of the business in the industry comes from the bancassurance segment, and the company is looking at tapping this market.
Liberty Mutual Group has increased their stake in the insurance firm to 49 per cent earlier this fiscal year, investing around Rs 305 crore afresh into the JV. The paid up capital of the company stands at Rs 984 crore.