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Bharti AXA General Insurance, a private general insurer, has registered a 38 per cent increase in its premium income in the financial year 2019-20.
The Gross Written Premium grew 38 per cent to Rs 3,157 crore, up 38 per cent over Rs 2,285 crore in 2018-19.
This growth was driven by strong show in crop, commercial lines, motor and health insurance, Sanjeev Srinivasan, Managing Director and CEO, Bharti AXA General Insurance, said.
Crop insurance grew 59 per cent to Rs 828 crore (Rs. 519 crore in 2018-19). Commercial lines segment focused on SME and MSME to grow 49 per cent at Rs. 430 crore (Rs. 289 crore).
‘’We have grown much faster than the industry and maintained a steady growth performance across key matrices of the business in the financial year 2019-20. The expansion of the distribution network and partnerships, new business alliances along with improved business activations from the robust bancassurance accompanied by diversified product portfolio helped us achieve healthy premium growth at more than triple of the industry growth rate in the last fiscal,’’ Srinivasan said.
All distribution channels rose significantly, with motor, health and travel fuelling the growth for the retail channel which grew 33 per cent in its revenue to Rs 1,960 crore (Rs 1,472 crore). On the other hand, the corporate channel increased 25 per cent in its revenue to Rs. 368 crore (Rs. 294 crore).
Bancassurance
Bharti AXA General Insurance, which currently distributes through 9 banks and over 50 NBFCs and Cooperative Banks, also added a significant number of distribution partnerships in the financial year 2019-20. ‘’Our continued emphasis on increasing distribution footprint through focus on bancassurance and forging partnerships with Motor Insurance Service Providers has been instrumental in achieving the company’s overall growth in both retail and corporate business,’’ Srinivasan said.
He also said the company stood well capitalized with the solvency ratio at 1.63 as on March 31, 2020, and the shareholders stand fully committed to invest and grow the business.
Covid-19 pandemic
Srinivasan said that the current financial year looks challenging in view of the COVID-19 pandemic and disruptions caused by the nationwide lockdown. Focus on technology and automation of processes has helped the company operate seamlessly as it continue to service its customer and partners remotely, successfully managing business, servicing, surveys and claim settlement. “In 2020-21, we will pursue opportunities across channels with constant emphasis on customer centricity, focus on superior risk selections, prudent cost management, claims efficiency with investments in technologies and innovation to boost all lines of businesses”, he added.
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