The general insurance sector continued its monthly growth and registered surge of 17.4% in gross direct premium income underwritten in February.
However, data from the General Insurance Council shows that private sector insurers continued to see higher growth in gross direct premium compared with public sector players.
For the general insurance industry as a whole, gross direct premium income underwritten in February was Rs 7,700.32 crore, against Rs 6,560.74 crore in February last year.
In the current financial year, gross direct premium income underwritten for the general insurance industry stood at Rs 86,418.72 crore, up by 14.1% compared with Rs 75,757.43 crore in the previous financial year.
The data from the General Insurance Council also indicates that public sector’s gross direct premium income underwritten in February grew by 13%. The premium for public sector insurers stood at Rs 3,523.49 crore in February 2015, compared with Rs 3,118.64 crore in the same month last year.
Private sector’s gross direct premium income underwritten in February grew 20.2%.
Officials in the industry said though other products such as marine and engineering categories saw some pick-up in the last few months, bulk of the growth continues to come from motor and health insurance. “Though the exact bifurcation is still not known for each of the categories for the month of February, we believe general insurance’s growth comes from fire, health and motor insurance. After many months, private general insurance companies are able to register better growth than public sector insurance companies,” said the CEO of a top general insurance company.
In the current financial year, private sector insurers has registered growth of 13.1%, while public sector insurance companies has seen rise of 12.1% in gross direct premium income underwritten up to February.
The general insurance industry is hopeful that it will be able to reach Rs 95,000 crore of gross premiums in 2015-2016 against the target of Rs 1 lakh crore.