ICICI Lombard General net profit at Rs 310 cr, up 7.1 %, in Q1 FY2020
Combined ratio of the company stood at 100.4 per cent in Q1 FY2020, up from 98.8 per cent in Q1 FY2019, primarily on account of long-term motor policies and losses from cyclone Fani,for which it has paid total claims of Rs 16 crore said the company.
The profit after tax (PAT) of ICICI Lombard General Insurance, the largest private sector geneeral insurer, grew by 7.1 per cent to Rs 310 crore in Q1 FY2020 as against Rs 289 crore in Q1 FY2019.
The company's profit before tax (PBT) grew by7.2 per cent to Rs 475 crore in Q1 FY2020 compared to Rs 4.43 crore in Q1 FY2019 on account of lower investment income .
Combined ratio of the company stood at 100.4 per cent in Q1 FY2020, up from 98.8 per cent in Q1 FY2019, primarily on account of long-term motor policies and losses from cyclone Fani, said the company.
Combined ratio would be at 99.7 per cent in Q1 FY2020 excluding the impact of cyclone Fani of Rs 16 crore.
The company's gross direct premium income (GDPI) stood at Rs 3487 crore in Q1 FY2020 as compared to Rs 3774 crore in Q1 FY2019, de-growth of 7.6 per cent, due to withdrawal from the crop insurnace business.
Excluding crop segment, the company’s GDPI increased to Rs 3488 crore in Q1 FY2020 as compared to Rs 2964 billion in Q1 FY2019, registering a growth of 17.7 per cent. This was higher than the industry growth (excluding crop segment) of 13.6 per cent, said the company.
It has an overall market share of 8.50 per cent in the domestic general insurance market.
Despite losses from cyclone Fani,the company's underwriting losses came down to Rs 44.93 crore in Q1FY20 compared to Rs 69.87 crore in the year-ago period.
The investment income of the company was lower by 29.6 per cent at Rs 138 crore in Q1 FY2020 compared to
Rs 196 crore in Q1 FY2019.
Among segments, motor insurance underwriting losses rose to Rs 94.16 crore in Q1FY20 from Rs 23.20 crore in the year-ago period. Group health posted an underwriting profit of Rs 26.54 crore compared to loss of Rs 102.94 crore in the year-ago period. Fire business losses also jumped to Rs 7.55 crore in Q1 from Rs 7 lakh a year ago.
The company's Return on Average Equity (ROAE) was 23.0% in Q1 FY2020 compared to 24.7% in Q1 FY2019.
Solvency ratio of the company was 2.20x at June 30, 2019 as against 2.24x at March 31, 2019 and higher than the minimum regulatory requirement of 1.50x.