ICICI Lombard: Leadership position supersedes other issues for investors

Higher investment gains continue to compensate for underwriting losses; improving product mix is positive

The stock of ICICI Lombard General Insurance has been a straggler unlike its peers in the insurance sector. While for the early part of 2020-21 (FY21), it was moderation in growth which played spoilsport — unlike life insurers helped by an unprecedented surge in demand for protection plans till August 2020 — recovery for general insurers, including ICICI Lombard, has largely been measured.

For instance, even in the October-December quarter (third quarter, or Q3) when the life insurance space saw 10–14 per cent growth in premiums, growth in the general insurance business was subdued. ICICI Lombard’s net premium grew 6.3 per