(Additional Charge - CMD)

Dear Stakeholders

Every country across the globe has faced grave concerns due to the unprecedentedchallenge and long lasting impact of the Coronavirus. The impact has been felt in everysector and in everyday life. Despite several uncertainties the Company has acted as asource of strength for individuals the communities in which we operate and the economiesthat depend on us. Around 14000 colleagues of the company worked tirelessly asindividuals and as teams to deliver to all our stakeholders. The Company once againdemonstrated its strength the resilience dedication and commitment of its employees.

It gives me immense pleasure to share with you the highlights of the performance of NewIndia Assurance Company during the financial year 2021-22. During the course of FY22 thegross premium written by non-life insurers reached Rs.220772 crores (US$ 28.14 billion)an increase of 11.1% over the same period in FY21. Company's gross direct premium incomein India grew by 14.08% which was higher than the industry growth rate. The Companycontinued to be the market leader with over 14.75% market share.

The company settled about 3760 Cr worth of COVID claims during the year. The surge inincurred claims due to the Coronavirus pandemic adversely impacted the financialperformance. However the operating performance in FY22 excluding the COVID claims remainssatisfactory.

One-time initial provisions towards employee benefits due to SVRS and sick leavetotalling 121 Cr also negatively affected the results. The foreign business suffered asetback because of additional provisions required in the UK operations due tounprecedented inflation and some adverse claim development on a few largesized losses inthe Dubai operations.

The solvency ratio was 1.66x higher than the IRDAI-mandated control level solvencymargin of 1.5x. The Company continues to be debt free and well capitalised. With the COVIDsituation improving we can look forward to improved performance in the coming year.

The non-life insurance industry has grown at a CAGR of approximately 17% for the last18 years. While the development has been impressive there is ample headroom for furthergrowth as non-life insurance penetration in India is about 0.93% against the world averageof 2.80%. India's favorable demographic divide with 65% of the population below the ageof 35 is a strong driver of growth for the coming years.

New India way:

At New India New Indians never sit back on the laurels of the past. They have alwaysrewritten the growth story with renewed enthusiasm and dedication. As the Company looks atits vast resources of customers who are the face and arms of the Organization the onusand burden is more on the Company's workforce to take this message in letter and spirit.It is our bounden duty to explore re-explore ourselves our work culture our work ethicsand performance parameters to check or rather introspect ourselves towards fulfilling themission of the Company in the art of servicing the customers.

With a sound base of solvency and capital adequacy New India stands taller than therest in terms of leadership insurance expertise and technical talent. A moment has nowcome to reinvent ourselves revisit our way of doing business with the common man whoneeds tailor made covers to suit his life and work style. As we take new initiatives inthe wake of competition and redraw our strategies reflecting on the ethos of the Nation;New Indians take their glorious legacy forward to reach further heights that others fearto dare!

Prudent underwriting ensuring Profitable growth coupled with Policyholder delightremains the goal for the Company. Transforming the Company by adopting the righttechnologies coupled with people processes and operations to adapt quickly todisruptions and opportunities is the path for New India.

I am tempted to quote Alvin Toffler who said "The illiterate of the 21st Centurywill not be those who cannot read and write but those who cannot learn unlearn andrelearn".

I take this opportunity to greet every New Indian past and present who has been partof this saga of New India and it is our obligation to re-plan re-energize and re-orientourselves and dare to walk on the unchartered path towards Success.

Finally I would like to thank all our beloved customers and all Stakeholders andassure you that New India Assurance shall live up to its legacy and continue to lead theway in creating value for every stakeholder associated with the Company.

I would like to reassure you that your Company will strive to retain the leadershipposition and grow strongly and profitably in the coming years. I wish to thank all theStakeholders for their continued support and co-operation throughout this long successfuljourney.

Madhulika Bhaskar

GENERAL MANAGER (ADDITIONAL CHARGE-CMD)