Private general insurance company ICICI Lombard General Insurance on Tuesday posted a 5.2 percent rise in its third quarter with a net profit of Rs 231.8 crore. The gross direct premium of the insurer rose to Rs 2494 crore in the quarter ended December 31, 2017, showing a 17.8 percent growth on a year-on-year basis.
The insurer’s combined ratio, which is a measure of their underwriting performance, improved to 96 percent in Q3 of FY18 from 106.6 percent a year ago. For the nine months ended December 31,2017, the insurer had a gross direct premium income of Rs 9431 crore, showing a 17 percent growth over the same period previous fiscal.
In terms of the product mix, motor own damage constituted 25 percent, followed by 20 percent each of crop insurance and property. The mandatory motor third party constituted 17 percent while health and personal accident came in at 18 percent.
The solvency ratio was at 2.21 at end of December 31,2017 as against the regulatory requirement of 1.5. Their return on average equity (ROE) was at 22.4 percent in Q3 FY18 compared to 20.4 percent in Q3 FY17.
Investors in the stock cheered the numbers as the stock soared nearly 6 percent intraday.
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