NEW INDIA ASSURANCE

NEW INDIA Assurance PAT rises to
Rs 843.66 Cr in 2012-13 Declares
85 % dividend

Improved all-round performance drove the 2012-13 results of New India Assurance Co ltd, recording a PAT of Rs 843.66 Cr, the highest in past 5 years. In 2011-12 it was Rs 179.31 Cr. The net worth of the company, largest among general insurers in India for many years, touched Rs 7737.36 Cr growing from Rs 7057.61 Cr in the previous financial year.

Company’s market leadership in Indian general insurance business, continues for more than 40  years as it crossed Rs 10,000 Cr in 2012-13 in India, consolidating the position with a commanding lead. Indian business reached Rs 10,038 Cr recording a growth rate of 18 %. The foreign operations of the company, spread over 22 countries, generated a premium of Rs 2467 Cr, up by 17.6 %. The global business for the year was Rs 12,505 Cr, higher by 18 % than that of previous fiscal.

The total investments of the Company rose to Rs 31,559.06 Cr from Rs 28,626.53 Cr in 2011-12. New India could mop up Rs 2791.05 Cr from the investment operations which were 19.05 % more than that of last year, Rs 2,344.42 Cr. The expenses of management ratio came down from 26.23 % to 25.11 %. The general insurance leader could bring down the Incurred loss from 90.01 % to 86.16 %, as it implemented strong underwriting & claims management measures.  The Board recommended a dividend of 85 % on its paid up capital of Rs 200 Cr, amounting to Rs 170 Crores.
 

New India Assurance was showered with numerous awards and recognition during the year for its micro insurance schemes, IT implementation and other general performance. The Company was awarded SKOCH financial inclusion award for its micro insurance project, selected as the best health insurer by Outlook Money and received the Dalal Street Journal award for consistent performance in non -banking financial sector. The year 2012-13 saw the Company coming out with flagship Micro Insurance product, Jan Suraksha Laghu Bima Policy and 16 more other products. As part of its CSR activity, two villages in Tamil Nadu, Nenmeni & Tachakudi, were adopted for providing infrastructure facilities.

The Company expanded its operations, by deepening its presence in unrepresented and new potential business places through its Micro offices.  The insurer opened 383 new such offices to take the total number to 555. In the current fiscal the company has plans to open 500 more such offices across the country. The Large Corporate & brokers⠣ells were delinked from the Regions and started directly reporting to corporate office, bringing in more efficiency and agility.

The IT platform of the New India Assurance, CWISS, completely stabilized all lines of products in all its 1500 odd offices. The company also launched its online portals, branded as New India Assurance online. The Company has also added more products like, an android application named NEW INDIA Customer, which would help the customers to renew policies on mobile effortlessly. The application is already placed on Google store.

Mr. G Srinivasan, Chairman cum Managing Director told media that he is charting out for a target of Rs 15,000 Cr for the year 2013-14, aiming for a growth of 20 %.  The growth would be driven by retail business through a significant augmentation of its agency force. The newly launched online platform, opening of more micro offices in Tier III & IV towns, increased focus on Micro insurance and improved customer services are some other strategies devised to achieve the ambitious target.

Company is launching a major drive to settle motor Third Party claims through conciliations including Lok adalats during the year. There would be high focus on improving customer service including quicker settlement of claims.

He reiterated the intention to enter new markets in Qatar, Myanmar and Canada to broaden the foreign operations. The underlying theme would continue to be Leadership & beyond.