Iffco-Tokio revenue grows 79%

Iffco-Tokio General Insurance Co Ltd (ITGI) has announced its financial results for the year ended March 31, 2006.

The company has recorded premium revenues of Rs 896 crore for 2005-06, compared with Rs 501 crore in the corresponding period last year registering 79 per cent growth. However, the insurance company has not recorded any rise in its net profit this year.

The net profit in 2005-06 has been Rs 15 crore which is same as 2004-05. The profit before tax in 2005-06 is Rs 24.1 crore compared with Rs 23.6 crore in 2004-05. ITGI increased its share capital by infusing Rs 120 crore last year, taking the total share capital to Rs 220 crore.

As per the latest IRDA figures, ITGI has a market share of 4.4 per cent against 2.88 per cent last year . In the last financial year, urban areas accounted for 91.25 per cent of the total income, while rural areas accounted for 8.7 per cent.

Retail sector, which is the fastest growing segment in the insurance space, accounted for 55 per cent of total portfolio.

"In the last year, ITGI has sold 16 lakh policies and settled 1.4 lakh claims with an average claim settlement ratio of over 90 per cent. We take on an average seven days to settle a claim after submission of required documents," Ajit Narain, managing director and CEO.