Bajaj Allianz General Insurance has posted its profit after tax at Rs 747 crore for the first half of 2022-23, against Rs 788 crore in H1 of 2021-22.
The non-banking finance company’s gross written premium increased by 5 per cent to Rs 7,900 crore in the reviewed half-yearly, against Rs 7,529 in the year-ago period. The NBFC’s assets under management (AUM), represented by cash and investments, stood at Rs 26,052 crore as on 30 September 2022, against Rs 24,070 crore in the year-ago period – an increase of 8 per cent.
Excluding tender-driven crop and government health insurance premiums, BAGIC’s gross written premium increased by 16 per cent to Rs 6,097 crore in H1/2022-23 from Rs 5,261 crore in H1/2021-22.
The combined ratio, which measures the performance of the insurance operations, stood at 102 per cent in H1/2022-23 against 100.5 per cent in H1/2021-22.
A significant sequential improvement was seen in the September quarter of 2022-23 with the combined ratio moving down to 99.8 per cent even with the one-time impact from the court order with respect to Osmanabad Kharif 2020 crop season, the company said.
Bajaj Finserv Chairman and Managing Director Sanjiv Bajaj said in the company statement, “Increase in policy rates has resulted in higher cost of funds for lenders.
The general insurance sector was characterized by intense price competition in the motor segment, while the life insurance sector recorded growth of 19 per cent in individual-rated new business. In this environment, our companies continued to do well.”