Bajaj Allianz General Insurance, which has just completed 20 years of operations and never reported any annual losses, has reported a massive 33.2 per cent growth in net profit at Rs 1,330 crore for the year to March 2021 compared to that of Rs 999 crore in the previous year.
However, for the quarter ended March, net income declined by 10.3 per cent to Rs 277 crore, from Rs 303 crore, while gross written premium grew 5 per cent to Rs 2,787 crore, from Rs 2,655 crore.
However, premium income inched down 1.6 per cent to Rs 12,624 crore in FY21, from Rs 12,833 crore in FY20, managing director and chief executive Tapan Singhel told PTI on Monday.
The company said that Rs 237 crore of the Rs 1,330 crore net income is underwriting profit, the key measure of an insurance company. But for the fourth quarter, the same plunged to a mere Rs 6 crore from Rs 159 crore in last year. In FY20, the company had an underwriting loss of Rs 11 crore, he said.
Assets under management rose 23.5 per cent to Rs 23,150 crore from Rs 18,746 crore in FY20, Singhel said.
Since the beginning of operations on May 2, 2001, the Pune-based company has never reported losses, Tapan Singhel, the managing director director & chief executive of Bajaj Allianz General Insurance said, adding for FY21 we booked a net profit of Rs 1,330 crore and an underwriting profit of Rs 237 crore which is a 20. 3 per cent return on equity for the year. Our revenue stood at Rs 12,624 crore in FY21, Singhel said.
The solvency ratio stood at 345 per cent, up from 254 per cent in FY20, as against the regulatory mandate of 150 per cent.
“We were a startup 20 years ago and we are a start-up today as well with an additional edge of 20 years of experience,” said Singhel who was part of the launch team.
Today, Bajaj Allianz General employs 9,000 across over 1,000 locations, over and gas over 80,000 agents, over 240 bancassurance partners and close to 9,000 motor-dealer partners.
From a product perspective, Bajaj Allianz is a part of the various government schemes like Pradhan Mantri Jan Arogya Yojana, Pradhan Mantri Fasal Bima Yojana, and the Restructured Weather Based Crop Insurance Scheme, among others.