hopes to break even in the next two years, a top company official said.
This standalone health insurer, which started its journey in July 2012, also plans to raise additional capital of Rs. 100 crore this fiscal to fund business growth, Anuj Gulati, Managing Director & CEO, RHICL, told Business Line.
As on date Reliance Health is capitalised at Rs. 475 crore. In July 2012, this company had initial capital of Rs. 175 crore.
While Religare Enterprises (a listed entity) holds 90 per cent stake in RHICL, both Union Bank of India and Corporation Bank have 5 per cent stake each.
From about Rs. 38 crore in 2012-13, RHICL’s premium income has been growing at a scorching pace: to Rs. 150 crore in 2013-14, Rs. 276 crore in 2014-15, and Rs. 503 crore in just ended fiscal.
“We believe in this industry we will start to break even in about two years from now. By end-March 2018, we will start to break even on annual basis. On a run-rate basis it should happen a little earlier,” Gulati said.
Fast growing segment
Health insurance has been one of the fastest growing segments in the insurance industry. From an annual premium of Rs. 17,000 crore in 2012-13, the aggregate premium collected by health insurance industry has grown to Rs. 27,000 crore in 2015-16. Gulati said that RHICL is a “very young company” in the insurance industry and would continue to build “trust” with customers on the service delivery front.
