Icici Lombard General Insurance Co. Ltd. · NSE:ICICIGI
Icici Lombard General Insurance — Q1 FY2024 Earnings Presentation
31 slides from Icici Lombard General Insurance's earnings presentation, 2023
Slide 1: Q1 2024 Performance Review
9 ICICI ELombard Q12024 Performance Review
Slide 2: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 3: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 4: ICICI Lombard General Insurance – Pillars of Strength
ICICI Lombard General Insurance – Pillars of Strength Consistent Market Diverse products Excellence in Risk Capital Leadership and and multi-channel Customer service Management Conservation growth distribution and Technology • Leading private sector • Comprehensive and • Leveraging on Artificial • P
Slide 5: Key Highlights
Key Highlights F Particulars FY2022 FY2023 Q12023 Q12024 Y (₹ billion) Actual Actual Actual Actual 2 Gross Written Premium 185.62 217.72 55.30 66.22 Gross Direct Premium Income (GDPI) 179.77 210.25 53.70 63.87 GDPI Growth 28.4% 17.0% 28.2% 18.9% Combined Ratio 108.8% 104.5% 104.1% 103.8%* Profit aft
Slide 6: Comprehensive Product Portfolio
Comprehensive Product Portfolio Product Mix 0% 9% 10% 10% 12% 4% 3% Others 3% 4% 2% 3% 5% 0% 4% 16% Crop 15% 21% 20% Marine 22% 27% Fire 28% 33% Health, Travel & PA 23% 21% Motor TP 17% 15% Motor OD 23% 20% 16% 14% FY2022 FY2023 Q12023 Q12024 Diversified product mix– motor, health, travel & person
Slide 7: Comprehensive Product Portfolio - Motor
Comprehensive Product Portfolio - Motor ₹ billion 70.9% 72.4% 73.8% 69.8% Motor GDPI Mix 82.80 85.82 17.82 18.75 Type Q12023 Q12024 Motor Private car 47.7% 48.7% 40.68 42.12 41.51 44.31 Two Wheeler 27.7% 30.3% 8.48 9.34 9.20 9.55 Commercial Vehicle 24.6% 21.0% FY2022 FY2023 Q12023 Q12024 Loss Ratio
Slide 8: Comprehensive Product Portfolio – Health, Travel & PA
Comprehensive Product Portfolio – Health, Travel & PA ₹ billion Health, Travel & PA GDPI Mix 91.7% 77.3% 73.7% 78.7% Health, Travel & PA Type Q12023 Q12024 Individual 15.9% 13.9% 40.07 55.92 Group – Others 22.9% 23.9% 20.73 Group Employer-Employee 61.2% 62.1% 14.95 Mass 0.0% 0.1% FY2022 FY2023 Q1202
Slide 9: Comprehensive Product Portfolio – P&C
Comprehensive Product Portfolio – P&C ₹ billion Property & Casualty (P&C) Market Share 59.4% 59.7% 60.3% 79.6% Property & Casualty Product Q12023 Q12024 Fire 13.4% 13.9% 50.24 59.73 Engineering 16.0% 18.5% 22.86 19.54 Marine Cargo 19.7% 20.5% Liability 15.2% 17.7% FY2022 FY2023 Q12023 Q12024 Loss Ra
Slide 10: Digital Opportunities
Digital Opportunities Service Excellence Policy Issuance Claims & Servicing ILTakeCare App 7.5 Mn Policies sourced 0.6 Mn Claims honored 5.6 Mn+ ILTakeCare user downloads (4.6 Mn 67 Claims NPS in Q42023 at March 31, 2023) 99.4% issued electronically (65 in Q32023 ) (96.7% in FY2023) Automation and S
Slide 11: Risk Management
Risk Management Underwriting Reinsurance Predictive ultimate loss model to improve risk selection Spread of risk across panel of quality re-insurers Diversified exposure across geographies and products Conservative level of catastrophe (CAT) protection Historically lower proportion of loss
Slide 12: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 13: Financial performance
Financial performance ₹ billion Combined ratio (% ) Return on average Equity (ROAE) (% ) 108.8% 17.7% 14.7% 15.0% 14.7% 104.5% 104.1% 103.8%* FY2022 FY2023 Q12023 Q12024 FY2022 FY2023 Q12023 Q12024 Profit before Tax (PBT) Growth Profit after Tax (PAT) Growth 25.5% 11.8% 11.8% 36.0% 21.13 17.29 ** 16
Slide 14: Robust Investment Performance
Robust Investment Performance ₹ billion Realised Return (%) Realised Return (%) Investment Leverage 2 Realised Return (% ) Investment Book 4.23x 4.15x 4.18x 4.16x 8.45% 449.05 7.50% 431.80 387.86 398.34 1 1.66% 1.86% 1 FY2022 FY2023 Q12023 Q12024 FY2022 FY2023 Q12023 Q12024 Investment portfolio mi
Slide 15: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 16: Safeguarding environment
Safeguarding environment An overarching Policy on Environment Management Responsible Environment friendly Protecting the consumption business practices environment • Insurance solutions enabling transition • Adopting green measures for • Adapting methods to conserve natural towards low carbon econom
Slide 17: Contributing the Social Way
Contributing the Social Way Addressing Creating value for Enabling community customer needs employees awareness and development • Hiring from diverse skill sets; Employee • Aimed at community well-being in areas of skill • Providing best-in-class friendly policies development, sustainable livelihood
Slide 18: Strong Governance
Strong Governance Robust Structure Code of conduct Data protection • Optimum mix of Executive/Non-Executive • Conducting business with highest • Dedicated Information Security Directors as per Policy on Board Diversity standards of compliance and ethics Council • Performance evaluation of Board, Com
Slide 19: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 20: India Non-life Insurance Market - Large Addressable Market
India Non - life Insurance Market - Large Addressable Market Massive growth opportunity in non-life premiums Significantly underpenetrated 9.0 Premium as a % of GDP (CY22) 5.8 India: US$ EA*: US$ World: US$ 2.4 2.3 2.2 31.54 billion 396.14 billion 1.9 1.9 3,969.20 billion 1.0 0.6 0.5 Non-Life Insura
Slide 21: Industry has witnessed steady growth
Industry has witnessed steady growth ₹ billion Industry CAGR 16.4%# 17.0%# IL CAGR 49.7% 51.4% Market Share of Private Players** 2,207.72 2,569.12 17.9%# 15.5% 18.9%# 12.9% 16.6% 53.3% 73.3%* 51.8% 642.32 36.6% 544.89 0.1% 294.98 100.87 FY2001 FY2008 FY2022 FY2023 Q12023 Q12024 Tariff era Non-Tariff
Slide 22: Thank you
49 Icici ELombard Thank you
Slide 23: Annexure
Annexure icici € Lombard Nibhaye Vaade
Slide 24: Loss Ratio
Loss Ratio Particulars FY2022 FY2023 Q12023 Q12024 Motor OD 68.1% 72.6% 73.6% 67.0% Motor TP 74.0% 72.2% 73.9% 72.4% Health,Travel & PA 91.7% 77.3% 73.7% 78.7% Crop 107.9% 80.1% 63.4% 102.1% Fire 53.1% 49.3% 57.7% 85.2% Marine 77.6% 72.4% 67.0% 76.7% Engineering 69.3% 55.1% 62.2% 98.6% Other 51.3% 6
Slide 25: Abbreviations & Glossary
Abbreviations & Glossary: AI - Artificial Intelligence App- Application ISO – International Organization for Standardization AY – Accident Year IT – Information Technology Banca – Bancassurance IMTPIP – Indian Third Party Insurance Pool BAGI – Bharti Axa General Insurance InvIT- Infrastructure Inves
Slide 26: Impact of catastrophic events: Historical snapshot
Impact of catastrophic events : Historical snapshot ₹ billion Economic Insured Our Share of Catastrophic Event Year Losses losses* Insured losses Cyclone Tauktae* 2021 150.00 15.00 8.5%** Cyclone Yaas* 2021 200.00 7.00 0.2%** Cyclone Amphan* 2020 1,000.00 15.00 8.0%** Maharashtra, Gujarat, Karnataka
Slide 27: Reserving Triangle Disclosure – Total
Reserving Triangle Disclosure – Total1 ₹ billion Incurred Losses and Allocated Expenses (Ultimate Movement) As at March 31, 2023 Prior* AY 14 AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 End of First Year 139.78 44.87 44.37 49.39 59.24 62.46 77.00 87.33 83.76 101.17 114.84 One year later 13
Slide 28: Reserving Triangle Disclosure – IMTPIP
Reserving Triangle Disclosure – IMTPIP ₹ billion Incurred Losses and Allocated Expenses (Ultimates movement) As at March 31, 2023 AY 08 AY 09 AY 10 AY 11 AY 12 AY 13 End of First Year 2.71 One year later 3.85 2.72 Two years later 4.49 3.85 3.54 Three years later 5.81 4.49 5.52 3.61 Four years later
Slide 29: Reserving Triangle Disclosure – Motor-TP (excluding IMTPIP)
Reserving Triangle Disclosure – Motor-TP (excluding IMTPIP)₹ billion Incurred Losses and Allocated Expenses (Ultimates movement) As at March 31, 2023 Prior* AY 14 AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 End of First Year 17.83 10.74 12.63 15.97 17.05 19.98 24.41 31.55 25.15 28.07 35.39
Slide 30: Reserving Triangle Disclosure – Total (excluding Motor-TP)
Reserving Triangle Disclosure – Total (excluding Motor-TP) ₹ billion Incurred Losses and Allocated Expenses (Ultimates movement) As at March 31, 2023 Prior* AY 14 AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 End of First Year 121.95 34.13 31.74 33.42 42.19 42.48 52.58 55.78 58.61 73.11 79.4
Slide 31: Safe harbor
Safe harbor: Except for the historical information contained herein, statements in this release which contain words or phrases such as 'will' , 'would' , ‘indicating’ , ‘expected to’ etc., and similar expressions or variations of such expressions may constitute 'forward-looking statements'. These fo
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