Latest news with #SanjeevMantri
Time of India
21-07-2025
- Business
- Time of India
PSU insurers cover much more now
Mumbai: Public sector general insurers, including the listed New India Assurance , are slowly clawing back market share in retail segments such as motor and health insurance , after years of being outdone by more agile private peers. Improvements in settlement claims and higher loss ratios in certain pockets for private insurers have helped tilt the scales. The reversal, which began last year, is being driven by improvements in digital servicing and claims turnaround times, as well as pricing reset in the industry. Explore courses from Top Institutes in Select a Course Category Digital Marketing others Cybersecurity Artificial Intelligence MBA MCA Degree Project Management healthcare Operations Management PGDM Others Leadership Data Analytics Design Thinking Finance Data Science Data Science Public Policy Technology Product Management Management Healthcare CXO Skills you'll gain: Digital Marketing Strategies Customer Journey Mapping Paid Advertising Campaign Management Emerging Technologies in Digital Marketing Duration: 12 Weeks Indian School of Business Digital Marketing and Analytics Starts on May 14, 2024 Get Details Skills you'll gain: Digital Marketing Strategy Search Engine Optimization (SEO) & Content Marketing Social Media Marketing & Advertising Data Analytics & Measurement Duration: 24 Weeks Indian School of Business Professional Certificate Programme in Digital Marketing Starts on Jun 26, 2024 Get Details Four public sector insurers including New India Assurance and National Insurance saw their market share inch up by more than four percentage points to 35%. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Join new Free to Play WWII MMO War Thunder War Thunder Play Now Undo Public sector firms like New India Assurance and Oriental Insurance grew premiums by up to 15% in the June quarter, outpacing the industry average of 8-9%. The gains are coming after many years of steady market share loss to private competitors. Private sector insurers were gaining market share with quick service of claim settlement. Live Events "In FY25 Q3 and FY25 Q4, we have the PSUs, they have buckled the trend and they have gained significant market share also in motor segment," said Sanjeev Mantri MD and CEO ICICI Lombard 's who during an investor call in April. Private players, long aggressive in fire and commercial lines, are pulling back amid rising loss ratios and tighter reinsurance terms. "Fire used to run at a low loss ratio of around 50% which is now closer to 70% and that is the reason private sector insurers are not aggressive," said a senior executive of a general insurance company. "GIC Re has cracked down due to deterioration in this portfolio in the last two years, tightening capacity and so the private sector is going slow." Public sector insurers, once seen as slow, are regaining traction in group health and motor segments through pricing aggression. As a result of intense competition in the motor segment driven by PSU insurers , COR for motor (industry) increased to around 124% from 119% for FY24. ICICI Lombard, largest listed private non-life insurer, said in its earnings call that public sector players are winning business with aggressive pricing.
India Today
23-06-2025
- Automotive
- India Today
Your vehicle insurance is likely to go up. Know by how much
Vehicle owners may soon have to shell out more for third-party insurance, as a proposal is under consideration to hike premiums by 18–25% for the financial year 2025– to a report, the Ministry of Road Transport and Highways is reviewing a recommendation from the Insurance Regulatory and Development Authority of India (IRDAI) to revise these rates for the first time in four proposed revision includes an average increase of 18% in third-party (TP) motor insurance premiums, with steeper hikes of up to 25% suggested for specific categories of vehicles. A final decision from the ministry is expected soon. Third-party motor insurance is legally mandatory for all vehicles under the Motor Vehicles Act and covers liability for injury, disability, or death caused to a third party. The last significant increase in these premiums occurred between FY13 and FY18, with only marginal revisions of 2–3% allowed from FY19 to proposal comes amid rising claim costs and inflation, which have squeezed insurers' margins. While net claim ratios for TP insurance remained stable at around 82% in FY23 and FY24, ultimate claim ratios have increased to 88% and 91%, respectively. The insurance sector argues that the premium hike is necessary to maintain financial sustainability, especially with increasing compensation payouts in accident-related a March 2025 investor call, ICICI Lombard MD and CEO Sanjeev Mantri also indicated the likelihood of a premium revision in the upcoming fiscal year. Insurers like New India Assurance and Go Digit have already reported rising claim burdens, with incurred claim ratios climbing to 102% and 65%, respectively, in Q3 impact of the proposed hike will be felt across vehicle categories—from two-wheelers and private cars to commercial vehicles. For instance, the current third-party insurance premium for small cars (up to 1,000cc) could rise from Rs 2,100 to Rs 2,500, while for mid-sized cars (1,000–1,500cc), the premium may increase from Rs 3,400 to Rs 4, a parallel effort to boost insurance coverage in underpenetrated and rural areas, the regulator has also directed insurers to ensure adequate coverage for vehicles like tractors, goods carriers, and private to Auto Today Magazine
