Icici Lombard General Insurance Co. Ltd. · NSE:ICICIGI

Icici Lombard General Insurance — 9M FY2018 Earnings Presentation

20 slides from Icici Lombard General Insurance's earnings presentation, Jan 16, 2018

  1. Slide 1: 9M2018 Performance Review

    9M2018 Performance Review January 16, 2018

  2. Slide 2: Agenda

    Agenda Company Strategy Financial Performance Industry Overview 2

  3. Slide 3: Agenda

    Agenda Company Strategy Financial Performance Industry Overview 3

  4. Slide 4: Strategy: Market leadership + Profitable growth

    Strategy: Market leadership + Profitable growth  Leverage our strong brand, competitive advantage and broad Leverage and Enhance network of distribution partners market leadership  Expand customer base and offerings  Focus on agency channel, retail health segment and SME Enhance product offerings

  5. Slide 5: Key Highlights

    Key Highlights Particulars FY2016 FY2017 9M2017 9M2018 (` billion, except per share) Actual Actual Actual Actual Gross Written Premium 82.96 109.60 82.50 96.30 Gross Direct Premium Income (GDPI) 80.91 107.25 80.59 94.31 GDPI Growth 21.2% 32.6% 33.8% 17.0% Combined Ratio 106.9% 103.9% 106.2% 100.4% P

  6. Slide 6: Comprehensive Product Portfolio

    Comprehensive Product Portfolio Product Mix 9% 7% 9% 9% 7% 4% 20% 20% Oth ers 20% 8% 3% 3% 3% C rop 7% 7% 8% 21% Marine 20% 19% 18% Fire 20% 17% 16% 17% Health & PA Motor TP 31% 26% 26% 25% Motor OD FY 16 FY 17 9M 2017 9M 2018  Diversified product mix– motor, health & personal accident, crop, fire,

  7. Slide 7: Comprehensive Product Portfolio: Motor, Health & PA

    Comprehensive Product Portfolio ` billion 80. 2% 79. 2% 80. 6% 77. 6% 9 .4% OD 1 6 .4% TP  Increasing focus on relatively profitable segments Motor 25.2 27.6 20.8 23.2  Continued growth from Long Term Two Wheeler 16.3 17.8 16.3 13.2 (LTTW) FY 16 FY 17 9M2017 9M2018 Loss Ratio Growth 83. 2% 90. 2%

  8. Slide 8: Comprehensive Product Portfolio: Crop, Property

    Comprehensive Product Portfolio ` billion 140.0% 84.2% 83.9% 110.7%  Diversification through strategic risk 1 7 .5% selection to mitigate region specific concentration Crop 263.0% 21.5 18.8 16. 0  Covered farmers in 7 states and 56 districts 5. 9 in Kharif season under PMFBY in FY18. FY 16 FY 17 9

  9. Slide 9: Digital Drive: Enabling business transformation

    Digital Drive: Enabling business transformation Risk selection Robotics / ChatBOTs Claims management File processing Artificial Intelligence Fraud detection Lean Innovation Operations Technology Dashboards for service & Analytics Customer portal excellence Data Driven decision Intermediary app makin

  10. Slide 10: Risk Framework

    Risk Framework  Predictive ultimate loss model to improve risk selection Underwriting  Diversified exposure across geographies and products  Historically lower proportion of losses from catastrophic events than overall market share  Spread of risk across panel of quality re-insurers  Entire pan

  11. Slide 11: Agenda

    Agenda Company Strategy Financial Performance Industry Overview 11

  12. Slide 12: Robust Investment Performance

    Robust Investment Performance Realised Return In vestment Book (` bn) 3.64X 3.88X 3.87X 3.89X 11. 1% 173. 2 149. 5 142. 9 10. 3% 10. 3% 115. 6 10. 0% FY 16 FY 17 9M 2017 9M 2018 FY 16 FY 17 9M 2017* 9M 2018* I n vestment Leverage#  Investment portfolio mix at 9M 2018 : Corporate bonds (44.49%), G-S

  13. Slide 13: Financial performance

    Financial performance C ombined Ratios (%) Return on Average Equity (%) 22.4% 20.3% 20.4% 20.3% 21.1% 106.9% 106.6% 106.2% 103.9% 16.9% 100.4% 96.0% FY 16 FY 17 Q3 2017 Q3 2018 9M 2017 9M 2018 FY 16 FY 17 Q3 2017 Q3 2018 9M 2017 9M 2018 Profit before tax (` bn) Profit After Tax (` bn) 2 8 .6% 3 7 .4

  14. Slide 14: Agenda

    Agenda Company Strategy Financial Performance Industry Overview 14

  15. Slide 15: Industry has witnessed steady growth

    Industry has witnessed steady growth ` billion 18.1% 15.8% 16.7% 1276 469 261 164 FY 04 FY 07 FY 11 FY 17 GDPI G DPI G rowth %  Industry has grown at CAGR of 17% in the last 15 years  Industry growth @ 32.4% for FY2017 & 18.9% for 9M 2018 15 Source: IRDAI

  16. Slide 16: India Non-life Insurance Market - Large Addressable Market

    India Non - life Insurance Market - Large Addressable Market Significantly underpenetrated Premium as a % of GDP (US$) (%) (CY16) 4.29 2.74 2.58  4th largest non-life World: 2.81 2.37 1.81 1.76 1.70 insurance market in Asia 1.36 0.77 0.51  GDPI growth at CAGR of 17% from FY 2001 to FY 2017  Non-l

  17. Slide 17: Thank you

    Thank you 17 /gicici Elombard \ J Nibhaye Vaade

  18. Slide 18: Annexure

    Annexure Icici Lombard % 1 Nibhaye Vaade

  19. Slide 19: Loss ratio

    Loss ratio Particu lars FY 2016 FY 2017 Q3 2017 Q3 2018 9M 2017 9M 2018 Motor OD 65. 6% 64. 2% 65. 4% 51. 1% 69. 2% 55. 5% Motor TP 97. 7% 97. 4% 96. 3% 106. 0% 94. 9% 105. 1% Health 84. 7% 97. 9% 93. 7% 73. 5% 99. 8% 77. 9% PA 64. 3% 41. 3% 44. 2% 30. 1% 50. 4% 30. 9% C rop 140. 0% 84. 2% 71. 2% 98

  20. Slide 20: 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 forwar

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