Future Generali India Insurance Company Limited (FGII), a joint venture between Future Group - the game changers in Retail Trade in India and Generali – a 184 year old global insurance group featuring among the world’s 50 largest companies* today reported a Profit After Tax (PAT) of Rs 60.29 crore for the year ended March 31, 2015 as compared to Rs. 39.62 crore recorded in the corresponding period last fiscal. This is the second consecutive year that the company has reported a profit since it started operations in the year 2007.
The Gross Written Premium (GWP) for the year stood at Rs 1,480 crore as compared to Rs. 1, 303 crore last fiscal, registering a growth of 14%.
Future Generali India Insurance sold more than 11.32 lakh policies as compared to 9.74 lakh policies sold last fiscal, registering an increase of 16% and settled over 1.84 lakh claims. The Asset Under Management (AUM) increased by 32% to Rs.1,975 crore as compared to Rs. 1, 494 crore as on March 31, 2015. The Net worth increased to Rs. 456 crore from Rs 395 crore in the last fiscal. The Solvency ratio, a measure of capital strength, increased to 1.66 as compared to 1.62 last fiscal, against the regulatory mandate of 1.5.
The Company’s business mix at the end of the fiscal year was 57% motor, 10% health, 14% fire & engineering and 19% comprise of others.
Commenting on the results, K.G. Krishnamoorthy Rao, Managing Director and Chief Executive Officer, Future Generali India Insurance Company Limited said, “Given the fact that the economy is still recovering, our performance has been satisfactory. Net combined ratio (COR) has not improved from previous year on account of higher claims ratio, which is due to continued pressure on pricing because of stiff competition in the market and the trend of higher court awards in Motor third party claims in addition to the impact of catastrophic events like Hud Hud cyclone in southern part of India. In the year under review, the insurance sector continued to face challenges in the form of sluggish growth in various sectors including auto segment. However, we are optimistic of greater opportunities due to various regulatory changes expected after the new Insurance bill comes into force. We plan to grow at a higher rate than last year and improve the net combined ratio through various positive measures.”
About Future Generali India INSURANCE Company LIMITED
Future Generali India Insurance Company Limited is a joint venture between Future Group – the game changers in Retail Trade in India and Generali – a 184 years old global insurance group featuring among the world’s 50 largest companies. The company was incorporated in September 2007 with the objective of catering to a country which was on the threshold of explosive expansion. Future Generali India has been aptly benefitting from the Indian expertise and network of Future Group and the global insurance insight in diverse product classes of Generali Group. It provides a comprehensive solution to customers and enterprises through retail, commercial, personal and rural product offerings. Having firmly established its credentials in this segment, Future Generali, effectively leveraging on the skill set of both its JV parents, has evolved to become a Total Insurance Solutions Company.
About Future Group
Future Group operates some of India’s most popular retail chains including Central, Big Bazaar, Food Bazaar, Home Town and eZone. Apart from its allied businesses in Life and General insurance, the Group is also present in the domain of logistics infrastructure and supply chain and brand development. The group operates over 17 million square feet of retail space in over 90 cities and towns and 60 rural locations across India. The group’s retail formats connect over 300 million customers to over 30,000 small, medium and large enterprises that supply products and services to its retail chains. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas, as espoused in the group’s core value of ‘Indianness.’ The group’s corporate credo is, ‘Rewrite rules, Retain values’.
The Generali Group is one of the largest global insurance providers with a 2014 total premium income of €70 billion. With 78,333 employees worldwide serving 65 million clients in more than 60 countries, the Group occupies a leadership position on West European markets and an increasingly important place in markets of Central Eastern Europe and Asia.