With pick-up on auto sales and launch of small-car Nano, Tata AIG General Insurance is looking at around 10 per cent growth in motor insurance business this fiscal.
“Motor insurance is an important part of our business.
We will be looking at more aggressively into this area in the current fiscal with the aim of growing by around 10 per cent,” Tata AIG General Insurance’s Managing Director Gaurav Garg said in Mumbai.
Motor insurance had contributed around 25 per cent of the company’s total premium income which stood at Rs 950 crore in the last fiscal. The growth in motor insurance sector was flat last fiscal, he said.
The auto industry had suffered badly last year due to lack of retail finance amidst high interest rates. The situation, however, started looking up after the Government announced two stimulus packages in December and January.
Auto sales started picking up from January itself. The industry posted impressive growth in sales in April led by car market leader Maruti Suzuki and biggest two-wheeler maker Hero Honda.
Garg said that Tata AIG General Insurance might soon come out with three more add-on covers in its motor insurance basket, Auto Secure, after securing approval from the Insurance Regulatory and Development Authoirty (IRDA).