General Insurance Corporation of India (GIC Re) reported 6 per cent increase in net profit at ₹2,848 crore for the financial year ended March 31, 2016, against ₹2,694 crore in the previous year.

The national re-insurer, a wholly-owned company of the government, wrote gross global premium of ₹18,436 crore, up 21.42 per cent over the previous year (₹15,184 crore).

The premium split between the domestic and the overseas business during 2015-16 was 55 per cent (57 per cent last year) and 45 per cent (43 per cent), respectively.

In the long run, GIC Re wants have to an equal split in premium from domestic and overseas markets. In the domestic market it leads all the mega-risk policies, including the largest refineries and offshore projects.

Claims incurred On the domestic business front, the Corporation reported 17 per cent increase in incurred claims at ₹8,046 crore (₹6,885 crore). However, on the overseas business side, GIC Re reported decline in incurred claims to ₹4,853 crore (₹5,006 crore). Incurred claims as a percentage of earned premium in the case of domestic business rose to 97.3 per cent (95.1 per cent last year). The same in the case of overseas business declined to 70.3 per cent (79.2 per cent).

Operating profit in domestic business declined sharply to ₹230 crore (₹631 crore). Operating profit in foreign business (including branches) jumped to ₹1,390 crore (₹999 crore).

The Corporation has proposed a dividend of 200 per cent (126 per cent last year).

The Corporation, in a statement, said with the introduction of the New Pradhan Mantri Fasal Beema Yojana, it is now a major agricultural re-insurer globally. During 2015-16, GIC Re operationalised the India Nuclear Insurance Pool for the Indian nuclear power industry.

GIC Re is looking to open branch offices in the US and China in two-three years.

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