New India Assurance slides as Q1 PAT slips 12% YoY

Total income rose 5.71% year on year (YoY) to Rs 9,865.29 crore in the quarter ended 30 June 2024.

Consolidated profit before tax stood at Rs 272.09 crore in June 2024 quarter, down 14.38% from Rs 317.80 crore in same quarter last year.

For the quarter ended 30 June 2024, the gross written premium was at Rs 1,188 crore, up 3.43% on YoY basis.

Net written premium was at Rs 9,630.09 crore in first quarter of FY25, registering a growth of 4.08% compared to same period a year ago.

Commenting on the Q1 result, Girija Subramanian, CMD said: “The gross written premium growth was muted at 3.74% as the company continued to rationalise its portfolio mix, in favour of lines where profitability is better. The incurred claim ratio was impacted by elevated loss ratio in the Motor segment, especially in the Motor third party segment where no premium increase has been notified yet.

Health segment loss ratio was adversely impacted by the government business segment which saw higher incurred claims, primarily due to seasonal factors, and this segment should see improved performance going ahead. Other segments performed well. The net worth of the company has increased from 44,704 Cr in March 2024 to 47,703 Cr in June 2024. Going forward, the company will be focusing on the retail segment and better performance can be expected in the coming quarters.”

The New India Assurance Company is the largest non-life insurance company in India headquartered at Mumbai and operates in 28 countries.