ICICI Lombard’s corporate presentation highlights its industry overview, strategy, financials, and ESG initiatives. The company emphasizes its leadership position, sustainable growth, and commitment to maximizing ROE. Key points include India’s underpenetrated insurance market, the company’s strategic pillars, diversified product portfolio, and robust risk management practices. It aims for sustained financial performance and enhanced customer engagement through technological innovation.
Industry and Market Position
The Indian insurance industry is characterized by significant underpenetration compared to global markets, indicating substantial growth potential. India is the 2nd largest non-life insurance market in Emerging Asia. Non-life insurance penetration in India is around 1/4th of the global average as of 2024.
Strategic Priorities
ICICI Lombard focuses on several strategic pillars:
- Profitable Growth: Ensuring sustainable growth while maintaining leadership.
- Comprehensive Product Portfolio & Diversified Distribution: Product innovation and using multiple channels.
- Customer Service & Technology: Optimizing processes and engagement.
- Risk Management: Underwriting and adequate reinsurance.
- Capital Management: Active management and conservative reserving.
Diversified Portfolio and Distribution
The company maintains a diversified portfolio:
- Distribution Network: Includes branches, brokers, direct channels, corporate agents and individual agents.
- Product Mix: Balanced across motor, health, fire, marine and crop segments.
Financial Performance Highlights
Key financial metrics include:
- FY25 GWP: ₹289.16 Billion.
- FY25 PAT: ₹24.19 Billion.
- FY25 Combined Ratio: 102.6%.
Commitment to ESG
ICICI Lombard emphasizes environmental, social, and governance (ESG) factors:
- ESG Rating: Upgraded to “AAA”.
- Practices: Minimizing paper use and sustainable investments.
- Social Initiatives: Building DEI culture and supporting SME and rural communities.
Future Outlook
The company aims to:
- Achieve 100-200 basis points higher growth than the industry.
- Maintain leadership across product segments.
- Deliver ROAE in the range of 18-20%.
Source: BSE