The SBI General Insurance has witnessed a significant growth of 17 per cent in its Gross Written Premium (GWP) from Rs 3,118 crores in the first half of financial year FY 2019-20 to Rs 3,658 crores in H1 FY 20-21, a company statement said here on Wednesday.
The company’s profit before tax (PBT) was also recorded at Rs 402 crore for the first half of the financial year FY 2020-21 compared to Rs 278 crore for H1 in FY 2019-20.
SBI General recorded an underwriting profit of Rs 56 crore in H1 FY 20-21. The solvency ratio for H1 FY20 -21 is 2.34 against 2.12 for the same period, last year.
Speaking about the growth, PC Kandpal, MD and CEO, SBI General Insurance Company Limited said, “Our strong distribution network and diversified products portfolio has enabled us to strike growth rate of 17 per cent against the industry growth rate of 1.6 per cent. Led by Health, we expect to close this year with an overall growth of 20 per cent. Since August, there has been an uptick in the motor segment. However, it will still be some time before the segment will come back to pre-Covid level. On the back of massive increase in the use of personal mode of commute due to the pandemic, we are expecting positive traction in the third-party cover business. In H1, our crop and fire segments have also contributed in our growth.”
Meanwhile, Rikhil Shah, CFO, SBI General Insurance Company Limited said, “Despite the pandemic, SBIG has managed steady growth in H1 of FY 20-21 and Health category has seen a growth of 57 per cent this year. SBIG has also recorded a healthy solvency ratio of 2.34 as against the regulatory requirement of a minimum of 1.50.”
He further added, “SBI General believes in offering varied products customised to customer needs. We are scaling up our product bouquet with instant insurance solutions for the ease of consumers.”
It is important to note that at the start of Quarter 2, SBI General had revamped its brand identity.
SBI General Insurance had closed the financial year 2019-20 with a Gross Written Premium of Rs 6840 cr at a YoY growth of 45 per cent, as per the statement.