New India Assurance to double overseas business in 2-3 years

The public sector general insurer, The New India Assurance Company, has set a target to double its business from overseas in the next two-three years. The company said it would conclude an acquisition in a foreign country to support its business target.

Speaking to Business Standard, Chairman and Managing Director M Ramadoss said overseas business contributed around Rs 1,200 crore to the total, which the company intended to double in the next two-three years.

He added the overseas business offered good opportunity for the company, since the combined ratio was around 90 per cent, as compared to 125 per cent in India.

 

At present, the company has 19 branches outside India. The company would strengthen its presence in West Asia by opening a branch in Qatar.

“We haven’t put any numbers, since we are also looking at inorganic growth for our global business,” said Ramadoss.

The target countries would be Nigeria, West Indies, Africa and the Gulf countries where solvency margin was good, he added.

The company has a subsidiary in Trinidad and Tobago in the Caribbean region through which it will route the acquisition. The acquisition in Africa will be through the company’s subsidiary in Nigeria.

“The first acquisition will be concluded by the end of this year,” he said but declined to share other details like the size of the acquisition and the name of the country.