New India net up 19%

State-owned general insurer New India Assurance saw a 19% rise in its first quarter net profit. The insurer posted profit after tax of Rs 311 crore for quarter ended June 30, 2014 as compared to Rs 262 crore in first quarter ended June 30, 2013.

The company collected total premium of Rs 4,020 crore in Q1 compared to Rs 3,548 crore in Q1 last fiscal. New India’s premium in India stood at Rs 3,398 crore for the period as against Rs 2,954 crore same period previous fiscal, seeing a growth of 15%.

The incurred claims ratio of the company went to 87.24% from 80.18% due a hike in property claims. The combined ratio stood at 115% compared to 110% in Q1 last year due to a large claim received in the property segment in the first quarter this fiscal. Due to this the underwriting losses for this period went up to about Rs 500 crore compared to about Rs 350 crore.
 

G Srinivasan, chairman and managing director of New India Assurance said that they are targeting a global premium (domestic plus overseas) of Rs 16,500 crore for this fiscal and they are on track to achieve this target. He also said that the insurer is planning to open a regional office in Dubai to cater to the needs of the people.
 
Insurance Information Bureau begins project on burning loss for different occupations

The Insurance Information Bureau of India (IIB), the research and analytics organisation for the insurance industry has undertaken a project to ascertain the burning loss risks for different occupations. IIB will be looking into the various occupations in India and the risk that they face from fire-related incidents.

G Srinivasan, chairman and managing director of New India Assurance said that this would enable insurers to make an appropriate system of pricing for the various professions, as per the risk they carry.