General Insurance Corporation (GIC) Re reported its Q2 results, revealing an underwriting loss of ₹38.77 crore, compared to a profit in the previous quarter. However, investment income remained strong, contributing to an overall operating profit of ₹215.56 crore. The company’s solvency ratio remains healthy at 3.85. These results reflect a challenging underwriting environment coupled with robust investment performance.
Financial Performance Overview
General Insurance Corporation of India (GIC Re) has released its financial results for the second quarter (Q2) of the fiscal year. A key highlight from the report is an underwriting loss of ₹38.77 crore. This figure is notably different when compared against results from Q1.
Key Financial Details
- Net Premium Earned: ₹892.48 crore
- Income from Investments (net): ₹254.33 crore
- Other Income: ₹36.32 crore
- Total Income: ₹1,183.13 crore
- Commissions & Brokerage (net): ₹223.61 crore
- Operating Profit: ₹215.56 crore
Analytical Ratios
The following analytical ratios provide further insight into the financial health of GIC Re:
- Solvency Ratio: 3.85
- Incurred Claim Ratio: 81.51
- Net Retention Ratio: 90.23
- Combined Ratio: 109.15
Segmental Performance
GIC Re’s business segments reported varied results, which can be found in the original disclosure, including figures for Net Premium, Investment Incomes, and Other Incomes for: Fire, Miscellaneous (Motor, Aviation, Engineering, W.C., Liability, Personal Accident, Health), Agriculture, and Marine.
Important Considerations
The report indicated that, due to the seasonality of the insurance industry, the results for the quarter and half-year ended are not necessarily indicative of the full year’s expected performance.
Source: BSE
