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New India Assurance, the country's largest general insurer, is looking to expand its portfolio with a new miscellaneous product. It will focus on the motor and health portfolios this financial year. G Srinivasan, chairman and managing director of New India, said they have set a target of Rs 18,000 crore global (India plus abroad) premium for FY16 and Indian premium of Rs 15,000 crore. According to him, the company will have reinsurance operations in GIFT City in Gujarat. In this special economic zone, New India will write business similarly to what it does in the London market where about half its business is in the reinsurance space. New India posted a 31 per cent increase in its net profit for FY15. The insurer had a net profit of Rs 1,431 crore for FY15, compared to Rs 1,089 crore in FY14. The global business (premium), including Indian and abroad, stood at Rs 16,050 crore - showing a growth of 12.2 per cent. The combined ratio of the company was at 115.19 at end of March 31, 2015.
As on March 31, 2015, the market share of the company stood at 16.44 per cent, up from 15.82 per cent at end-FY14. The company expects a 14 per cent growth in premium in FY16, with 10-12 per cent coming in from corporate business and 20 per cent from retail business.
New India has increased its foot prints globally, by opening a representative office in Myanmar and its Trinidad & Tobago subsidiary, expanding to Guyana as well. Currently, the company has presence in 27 countries, through direct operations, subsidiaries and its associates.
Srinivasan said the Dubai regional office of the company is getting formed and New India Assurance is approaching Qatar Financial Centre for licence to operate. The foreign operation's turnover (without subsidiaries and associates) grew to Rs 2,841 crore.
