Royal Sundaram to accelerate health and commercial insurance

Private sector insurer Royal Sundaram Alliance Insurance would focus on growing its health and commercial portfolio in five years, a top official said today.
The company recently became the 100 per cent subsidiary of city-based non-banking finance company Sundaram Finance after UK-based insurer RSA Group sold its entire 26 per cent stake in it for Rs 450 crore, ending their 15-year long partnership.
Sundaram Finance holds majority stake at 75.90 per cent while other Indian shareholders have 24.10 per cent.
"Motor insurance continues to be our bread and butter. We want to accelerate growth in health and commercial segments in the next five years," Royal Sundaram Alliance Insurance Company, Managing Director, M S Sreedhar told reporters here.

He said, "Commercial will be increased to 25 per cent (11 per cent), health to 25 per cent (from 11 per cent)."
Asked whether the company would reduce the exposure on motor insurance which currently constitutes 74 per cent, he replied in the affirmative and said, "We will be bringing it down to 50 per cent in the next five years".
On the financials for the period 2015-16, he said, "The market grew by 10 per cent, we are expecting around same growth rate to Rs 1,750 crore for the current year."
Last year, Royal Sundaram registered gross written premium of Rs 1,573 crore. It manages assets of Rs 2,500 crore and has presence in 115 cities.