Icici Lombard General Insurance Co. Ltd. · NSE:ICICIGI
Icici Lombard General Insurance — 9M FY2022 Earnings Presentation
29 slides from Icici Lombard General Insurance's earnings presentation, Jan 19, 2022
Slide 1: Exchange filing cover letter for investor presentation
Ref. No.: MUM/SEC/245-1/2022 January 19, 2022 To, The Manager The Manager Listing Department Listing Department BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza, 5th Floor, Plot C/1 Dalal Street G Block, Bandra Kurla Complex, Mumbai – 400 001 Mumbai – 400
Slide 2: 9M2022 Performance Review
icici €Lombard 9M2022 Performance Review
Slide 3: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 4: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 5: 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 6: Key Highlights
Key Highlights F Particulars FY2021 9M2021 9M2022 Y (₹ billion) Actual Actual Actual 2 Gross Written Premium 143.20 107.60 135.62 Gross Direct Premium Income (GDPI) 140.03 105.25 133.11 GDPI Growth 5.2% 3.9% 26.5% Combined Ratio 99.8% 99.1% 111.0% Profit after Tax 14.73 11.27 9.59 Return on Average
Slide 7: Comprehensive Product Portfolio
Comprehensive Product Portfolio Product Mix 9% 9% 0% 9% 0% 0% Others 3% 3% 5% 3% 16% 17% 0% Crop 17% Marine 22% 22% 22% Fire 24% 23% Health, Travel & PA 22% Motor TP 26% 26% 22% Motor OD FY2021 9M2021 9M2022 Diversified product mix– motor, health, travel & personal accident, fire, marine, crop and
Slide 8: Comprehensive Product Portfolio - Motor
Comprehensive Product Portfolio - Motor ₹ billion 65.8% 63.6% 69.4% Motor GDPI Mix 70.20 51.48 58.15 Type 9M2021 9M2022 33.35 Motor 24.13 29.00 Private car 57.4% 55.4% 36.85 29.15 27.35 Two Wheeler 27.3% 27.3% FY2021 9M2021 9M2022 Commercial Vehicle 15.3% 17.3% Loss Ratio Motor Total OD GDPI TP GDPI
Slide 9: Comprehensive Product Portfolio – Health, Travel & PA
Comprehensive Product Portfolio – Health, Travel & PA ₹ billion 78.0% 77.3% 97.3% Health, Travel & PA GDPI Mix Health, Travel & PA -9.3% 27.3% -8.9% Type 9M2021 9M2022 Individual 24.9% 22.4% 30.21 29.07 Group – Others 23.2% 22.1% 22.84 Group Employer-Employee 51.9% 55.4% Mass 0.0% 0.1% FY2021 9M2021
Slide 10: Comprehensive Product Portfolio – P&C
Comprehensive Product Portfolio – P&C ₹ billion Market share in commercial lines 63.2% 66.4% 63.7% Property & Casualty (P&C) Market Share Property & Casualty 23.5% 22.0% 28.5% Product 9M2021 9M2022 Fire 11.0% 13.0% Engineering 13.6% 15.9% 39.29 39.34 30.61 Marine Cargo 16.3% 18.3% Liability 16.0%
Slide 11: Digital Opportunities
Digital Opportunities Service Excellence Policy Issuance Claims & Servicing Headcount Productivity* 21.2 Mn Policies sourced 1.7 Mn Claims honored 14.8% 13 year CAGR 79.9% in December 2021, (FY2008 to FY2021) 97.2% issued electronically Motor OD claims through (97.0% in FY2021) InstaSpect (60.8% in
Slide 12: 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 13: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 14: Financial performance
Financial performance ₹ billion Return on average Equity (ROAE) (% ) Combined ratio (% ) 21.7% 22.4% 111.0% 17.6% 14.6% 15.1% 104.5% 99.8% 99.1% 97.9% FY2021 Q32021 Q32022 9M2021 9M2022 FY2021 Q32021 Q32022 9M2021 9M2022 Profit before Tax (PBT) Growth Profit after Tax (PAT) Growth 14.73 -15.0% 19.54
Slide 15: Robust Investment Performance
Robust Investment Performance ₹ billion Realised Return (% ) Investment Book Investment Leverage2 4.09x 4.13x 4.27x 4.05x 4.23x 371.95 374.54 7.85% 1 308.92 1 291.62 298.92 5.94% 6.46% 1 1 1.96% 1.92% FY2021 Q32021 Q32022 9M2021 9M2022 FY2021 FY2021 H12021 H12021 H12022 H12022 9M2021 9M2022 Invest
Slide 16: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 17: Safeguarding environment
Safeguarding environment An overarching Policy on Environment Management Responsible Environment friendly Protecting the consumption business practices environment • Adapting methods to conserve natural • Reducing carbon footprint by integrating • Adopting green measures for resources and energy dig
Slide 18: 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 19: Strong Governance
Strong Governance Robust Structure Code of conduct Data protection • Optimum mix of Executive/Non-Executive • Dedicated Information Security • Conducting business with Directors as per Policy on Board Diversity Council highest standards of compliance and ethics • Performance evaluation of Board, • E
Slide 20: Agenda
Agenda • Company Strategy • Financial Performance • Update- Scheme of Arrangement • ESG Initiatives • Industry Overview
Slide 21: 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 Premium as a % of GDP (CY20) (US$) 9.00 5.20 India: US$ EAPAC*: US$ World: US$ 2.50 2.40 2.30 1.90 1.80 26.74 billion 361.80 billion 3489.61 billion 1.00 1.00 0.
Slide 22: Thank you
9 ICICI ELombard Thank you
Slide 23: Annexure
Annexure icici € Lombard Nibhaye Vaade
Slide 24: Loss Ratio
Loss Ratio Particulars FY2021 Q32021 Q32022 9M2021 9M2022 Motor OD 62.2% 63.2% 71.8% 61.7% 66.5% Motor TP 69.7% 65.5% 70.7% 65.7% 72.5% Health,Travel & PA 78.0% 74.6% 75.1% 77.3% 97.3% Crop 111.2% 112.5% 94.3% 111.2% 107.0% Fire 63.7% 56.5% 39.7% 73.9% 61.7% Marine 83.3% 79.7% 65.9% 79.9% 79.4% Engi
Slide 25: Abbreviations & Glossary
Abbreviations & Glossary: AI - Artificial Intelligence IoT – Internet of Things API – Application Programming Interface IRDAI – Insurance Regulatory and Development Authority of India AY – Accident Year ML- Machine Learning BOT- Built-Operate-Transfer NCLT- National Company Law Tribunal CAGR – Compo
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 10.6%** Cyclone Yaas* 2021 200.00 7.00 0.4%** Cyclone Amphan* 2020 1,000.00 15.00 8.1%** Maharashtra, Gujarat, Karnatak
Slide 27: Reserving Triangle Disclosure – Total
1 Reserving Triangle Disclosure – Total ₹ billion Incurred Losses and Allocated Expenses (Ultimate Movement) As at March 31, 2021 Prior AY 12 AY 13 AY 14 AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 End of First Year 75.77 22.53 27.97 35.96 34.16 39.13 49.49 52.41 65.27 72.72 70.56 One year later 76.31
Slide 28: Reserving Triangle Disclosure – IMTPIP
Reserving Triangle Disclosure Incurred Losses and Allocated Expenses (Ultimate Movement) – IMTPIP ₹ billion As at March 31, 2021 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 2.73 Three years later 5.81 4.49 3.98 2.73 Four years later 6
Slide 29: 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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