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  • Insurance General insurance premium collection growth dips to 7 percent in April-May 2014

    General insurance premium collection growth dips to 7 percent in April-May 2014

    Non-life insurers registered 7% growth in new business premium collection in April-May 2014 compared to 20% growth in the corresponding period last year.
    Team Cafemutual Jul 18, 2014
    Non-life insurers registered 7% growth in new business premium collection in April-May 2014 compared to 20% growth in the corresponding period last year.

    The new financial year has started on a slow note for non-life insurance companies. Non-life insurers clocked 7% growth in new business premium collection in April-May 2014 compared to 20% growth in April-May 2013.

    IRDA data shows that the 28 general insurers have collected Rs. 7,984 crore in April-May 2014 as against Rs. 7,379 crore in the corresponding period last year. Experts attributed this dip in growth to slackness in automobile industry and stalled infrastructure projects.

    In May, the non-life insurers mopped up Rs. 6,118 crore compared to Rs. 5,662 in the corresponding period last year, a growth of 8%.

    Private sector

    IRDA data shows that private non-life insurers have registered a growth of 6%, collecting Rs. 6,555 crore in April-May 2014 as against Rs. 6,173 crore in the corresponding period last year.

    Among private insurers, ICICI Lombard General Insurance has topped the premium chart by registering a growth of 13% with new business premium collection of Rs. 1,363 crore while Bajaj Allianz stood at second position with new business premium collection of Rs. 778 crore (6% growth) in April-May 2014.

    Meanwhile, Liberty General Insurance has witnessed a growth of 524% in terms of new business premium collection, albeit from a small base. It collected Rs.47 crore as new business premium.

    Public sector

    The public sector insurers witnessed an 8% growth by collecting Rs. 7,984 crore in April-May compared to Rs. 7,379 crore in the corresponding period last year.

    Among the PSU insurers, New India Assurance collected the highest premium of Rs. 2,431 crore followed by United India Insurance which reported a new business premium collection of Rs. 1,966 crore.

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