The Hindu Business Line : New India Assurance profits jump 130 pc to Rs 4,046 cr

NEW India Assurance Company Ltd has recorded a gross direct premium of Rs 4,045.68 crore for the financial year ended 2003-04 as against Rs 3,921.24 crore in the previous year. Net profit jumped by 130.47 per cent to touch Rs 590 crore (Rs 256 crore).

The company has declared a dividend of 45 per cent as against a dividend of 40 per cent in the previous year, said a press release.

Outstanding claims liability increased to Rs 4,380 crore (Rs 3,929 crore). Total assets increased to Rs 17,507 crore (Rs 12,985 crore). Total investments in India were at Rs Rs 7,928 crore (Rs 7,348 crore). General reserves were at Rs 3,843 crore (Rs 3,302.89 crore).

During this period, the gross global premium earned by the company was Rs 4,921.47 crore, said a press release.

Investment income rose to Rs 1,250 crore (Rs 762 crore). Underwriting profit was at Rs 109 crore (- Rs 24 crore). Solvency margin improved to Rs 981.79 crore ( Rs 906.06 crore).

"The performance reflects the sound fundamentals on which the company is working", said the release.

New India Assurance is targeting a growth of 12 per cent in premium income to Rs 4,550 crore for the fiscal ended 2004-05 for Indian operations and a 5 per cent growth to Rs 920 crore for foreign operations, the release said.