Bumper jump in premium collection of general insurance companies, impact of strong growth in health sector
The gross premium collection of general insurance companies increased by 13.8 percent to Rs 44,436 crore in the quarter ended June of the current financial year. The main reason for this was an increase of 31 percent in the health sector due to the Kovid-19 epidemic. According to the report released by Care Ratings, all the figures show that now this sector is returning to the level before Kovid-19. However, the major motor segment of the industry continues to lag behind and health is on the rise.
Premium in the June quarter
According to the report, the premium of health insurance companies during the June quarter of the financial year 2021-22 rose by 30.9 percent to Rs 17,497.1 crore. The health insurance sector was at the forefront of premium collection with a share of 39.4 per cent. Motor premium collection increased by 3.1 percent.
Single private companies’ stake stood at Rs 4,222.8 crore
Thus, the sector’s market share declined to 30.7 per cent in the June quarter, from 38.3 per cent in the same period a year ago. Apart from this, the share of single private companies in the total health insurance sales stood at Rs 4,222.8 crore, which is 55.5 per cent higher than the corresponding period last year. In the first quarter of the financial year 2021-22, the overall growth of the industry grew by 13.8 percent to Rs 44,435.9 crore. Which declined by 4.9 percent to Rs 39,054.8 crore in the same period a year ago.
How much was the collection in 2020-21
The Gross Direct Premium Written by general insurance companies grew by 5.2 percent to Rs 1,98,734.68 crore in 2020-21. According to the data of Insurance Regulatory II, the gross premium collection of all general insurance companies in the previous financial year 2019-20 was Rs 1,88,916.61 crore. The total premium of a total of 25 general insurance companies increased by 3.35 percent to Rs 1,69,840.05 crore in 2020-21 from Rs 1,64,328.20 crore in 2019-20 a year ago.
