General Insurance: Average Quarter
In 3QFY20, industry Gross Direct Premium Income (GDPI) grew 13% YoY driven by crop (27% YoY), fire (20% YoY) and PA (16% YoY). Industry’s ex-crop growth moderated to 11% YoY in 3Q largely due to the TP segment. Higher CPA prices in 3Q impacted TP growth. Public insurers growth at 15% YoY was better vs. private (12% YoY) in 3Q.
- ICICIGI’s GDPI growth in Q3 was flat, however ex-crop growth was better at 8% YoY. Motor Own damage (OD) has shown signs of recovery with 14% YoY growth while TP declined by 3% YoY. Group health continued to drive growth with 69% YoY in 3QFY20. Retail health declined, however, total health grew robust 29% YoY.
- Bajaj Allianz reported a strong growth of 20% YoY largely led by crop (2.1x YoY) in 3QFY20. Ex-crop growth was relatively lower at 10% YoY. With their conscious decision, group health witnessed a slow-down (-5% YoY) while the retail health grew 20% YoY. OD and TP grew 5% YoY and 15% YoY respectively.
- Chola MSwitnessed a 3% YoY decline in Q3, however ex-crop was better at 11% YoY largely driven retail health (47% YoY), PA (31% YOY) and Fire (43% YoY). They have ventured aggressively in 2Ws business in current fiscal, from a negligible base in 2W. This is expected to deliver better than the industry average in the future.
- NIACL reported the growth of 13% YoY in Q3 driven by fire (30% YoY) and crop (83% YoY). Its struggle with motor business continued with 7% YoY decline in OD and small growth of 1% YoY in TP. Group Health grew 10% YoY in Q3, while retail grew 2% YoY.' -