Icici Lombard General Insurance Co. Ltd. · NSE:ICICIGI
Icici Lombard General Insurance — FY2024 Earnings Presentation
36 slides from Icici Lombard General Insurance's earnings presentation, Apr 17, 2024
Slide 1: Cover letter to BSE and NSE
Ref. No.: MUM/SEC/18-04/2025 April 17, 2024 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 0
Slide 2: Performance for the Quarter and Year Ended March 31, 2024
April 17, 2024 PERFORMANCE FOR THE QUARTER AND YEAR ENDED MARCH 31, 2024 Gross Direct Premium Income (GDPI) of the Company stood at ₹ 247.76 billion in FY2024 compared to ₹ 210.25 billion in FY2023, a growth of 17.8%, which was higher than the industry growth of 12.8%. Excluding crop and mass heal
Slide 3: Operating Performance Review
o PAT grew by 18.9% to ₹ 5.20 billion in Q4 FY2024 from ₹ 4.37 billion in Q4 FY2023. The Board of Directors of the Company has proposed final dividend of ₹ 6.00 per share for FY2024. The payment is subject to the approval of shareholders in the ensuing Annual General Meeting of the Company. The ov
Slide 4: About ICICI Lombard General Insurance Company Limited
Notes: Combined Ratio = (Net Incurred Claims/ Net Earned Premium) + (Management Expenses – Commission on Reinsurance)/ Net Written Premium Management Expenses = Commission Paid Direct + Commission Paid on Reinsurance inward + Operating expenses related to insurance business Return on Average Equity
Slide 5: Disclaimer and contacts
For further press queries, please get in touch with Ms. Rima Mane +91 99877 87103 or send an email to rima.mane@icicilombard.com / corporate.communication@icicilombard.com For investor queries please get in touch with Mr. Sarvesh Agrawal +91 70450 91174 or send an email to sarvesh.agrawal@icicilomba
Slide 6: FY2024 Performance Review
icici @Lombard | Nibhaye Vaat Team FY2024 Performance Review
Slide 7: 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
Slide 8: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 9: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 10: Pillars of Strength
ICICI Lombard General Insurance – Pillars of Strength Consistent Market Diverse products Excellence in Risk Capital Leadership and and multi- Customer service Management Conservation growth channel and Technology distribution • Leading private sector • Comprehensive and • Leveraging on Artificial •
Slide 11: Key Highlights
Key Highlights Particulars FY2022 FY2023 FY2024 (₹ billion) Actual Actual Actual Gross Written Premium 185.62 217.72 255.94 Gross Direct Premium Income (GDPI) 179.77 210.25 247.76 GDPI Growth 28.4% 17.0% 17.8% Combined Ratio (CoR) 108.8% 104.5% 103.3%* Profit after Tax 12.71 17.29 19.19 Return on Av
Slide 12: Comprehensive Product Portfolio
Comprehensive Product Portfolio Product Mix 9% 10% 11% 4% Others 3% 4% 4% 3% 3% 16% Crop 15% 14% Marine 22% 27% 29% Fire Health, Travel & PA 23% 21% 20% Motor TP Motor OD 23% 20% 19% FY2022 FY2023 FY2024 Diversified product mix– motor, health, travel & personal accident, fire, marine, crop and oth
Slide 13: Comprehensive Product Portfolio: Motor
Comprehensive Product Portfolio: Motor ₹ billion 70.9% 72.4% 65.2% Motor GDPI Mix 82.80 85.82 96.34 Type FY2023 FY2024 48.94 Private car 49.9% 51.4% 42.12 44.31 Motor Two Wheeler 27.8% 26.7% 40.68 41.51 47.40 Commercial Vehicle 22.3% 21.9% FY2022 FY2023 FY2024 Loss cost driven micro-segmentation L
Slide 14: Comprehensive Product Portfolio: Health, Travel & PA
Comprehensive Product Portfolio: Health, Travel & PA ₹ billion Health, Travel & PA GDPI Mix 91.7% 77.3% 78.9% Type FY2023 FY2024 Health, Travel & PA Individual 20.0% 18.8% Group – Others 30.5% 30.6% 40.07 55.92 71.17 Group Employer-Employee 49.4% 50.6% Mass 0.1% 0.0% FY2022 FY2023 FY2024 Loss Ratio
Slide 15: Comprehensive Product Portfolio: P & C
Comprehensive Product Portfolio: P & C ₹ billion Market share accretion across commercial lines 59.7% 59.4% 68.6% Property & Casualty Property & Casualty (P&C) Market Share Product FY2023 FY2024 Fire 12.8% 13.1% 50.24 59.73 68.51 Engineering 15.4% 16.6% Marine Cargo 17.8% 18.9% Liability 16.6% 18.
Slide 16: Digital Opportunities
Digital Opportunities Service Excellence Policy Issuance Claims & Servicing ILTakeCare App 36.2 Mn Policies sourced 2.9 Mn Claims honored 9.3 Mn+ ILTakeCare user downloads (4.6 Mn 99.3% issued electronically 70 Claims NPS in Q32024 at March 31, 2023) (64 in Q22024 ) (96.7% in FY2023) Automation and
Slide 17: 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 18: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 19: Financial Performance
Financial Performance Combined ratio (CoR) (% ) Return on average Equity (ROAE) (%) ₹ billion 104.5% 17.7% 17.8% 104.2% 103.3% * 102.2% 17.2% 17.2% FY2023 FY2024 Q42023 Q42024 FY2023 FY2024 Q42023 Q42024 Profit before Tax (PBT) Growth Profit after Tax (PAT) Growth 21.0% 11.0%# 25.55 19.19 21.13 17.2
Slide 20: Robust Investment Performance
Robust Investment Performance ₹ billion Realised Return (%) Realised Return (%) 1 Realised Return (%) Investment Book Investment Leverage 4.15x 4.09x 7.98% 489.07 7.50% 431.80 FY2023 FY2024 FY2023 FY2024 Investment portfolio mix2 for FY2024 : Corporate bonds 41.3%, G-Sec 42.0% and equity 11.4% S
Slide 21: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 22: Safeguarding Environment
Safeguarding Environment • Measuring, Monitoring and reporting GHG footprint* Impacting Environment Positively • Deployment of Renewable Energy and use of energy efficient lighting fixtures in key offices No. of branches^ with Litres of rain water • Providing end-to-end digital solutions; that promo
Slide 23: Contributing the Social Way
Contributing the Social Way • Enabling community well-being in areas of skill Promoting inclusive Development development, sustainable livelihood, health care, road safety and wellness Lives Lives covered Lives covered No. of transacting • Building gender diversity and an enabling covered in Social
Slide 24: Strong Governance
Strong Governance • A comprehensive ESG Policy addressing material ESG issues • Climate Risk Management Framework covering core focus areas of the Board committees headed by Independent Company towards climate change management Directors including chairperson of the Board • Independent board with di
Slide 25: Agenda
Agenda • Company Strategy • Financial Performance • ESG Initiatives • Industry Overview
Slide 26: Non-life Insurance Market Large Addressable Market
Non - life Insurance Market Large Addressable Market Significantly underpenetrated 9.0 Premium as a % of GDP (CY22) 5.8 India: US$ EA*: US$ World: US$ 31.54 billion 396.14 billion 3,969.20 billion 2.4 2.3 2.2 1.9 1.9 1.0 0.6 0.5 Non-Life Insurance Density 4th largest non-life insurance market in A
Slide 27: Industry has witnessed steady growth
Industry has witnessed steady growth ₹ billion Industry CAGR 12.8%# IL CAGR 17.8%# 51.4% 53.5% Market Share of Private Players** 2,569.12 2,897.38 15.5% 13.1% 16.6% 73.3%* 36.6% 0.1% 294.98 100.87 FY2001 FY2008 FY2023 FY2024 Tariff era Non-Tariff era *IL CAGR FY2003 – FY2008 **Excluding Standalone H
Slide 28: Thank you
2 ICICI ELombard | Nibhaye Vaac Team Thank you
Slide 29: Annexure
Annexure ( 3 L Team icici @.ombard ‘Nibhaye Vaade
Slide 30: Loss Ratio
Loss Ratio Particulars FY2023 FY2024 Q42023 Q42024 Motor OD 72.6% 63.5% 69.4% 58.4% Motor TP 72.2% 66.8% 86.5% 73.4% Health,Travel & PA 77.3% 78.9% 75.5% 75.4% Crop 80.1% 88.4% -196.8% 46.9% Fire 49.3% 62.2% 50.3% 41.0% Marine 72.4% 73.4% 65.1% 67.2% Engineering 55.1% 63.8% 11.6% 23.1% Other 63.0% 7
Slide 31: Abbreviations & Glossary
Abbreviations & Glossary: ISO – International Organization for Standardization AI - Artificial Intelligence IMTPIP – Indian Third Party Insurance Pool App- Application InvIT- Infrastructure Investment Trust AY – Accident Year IoT – Internet of Things BAGI – Bharti Axa General Insurance IRDAI – Insur
Slide 32: Impact of catastrophic events: Historical snapshot
Impact of catastrophic events: Historical snapshot ₹ billion Economic Insured Our Share of Insured Catastrophic Event Year Losses losses* losses Cyclone Michaung 2023 120.00* 25.00 7.73%* North India Floods 2023 150.00* 12.00 7.84%* Cyclone Biparjoy1 2023 60.00-80.00 15.00 5.17%* Cyclone Tauktae* 20
Slide 33: Reserving Triangle Disclosure: Total
Reserving Triangle Disclosure: Total1 Incurred Losses and Allocated Expenses (Ultimate Movement) ₹ billion As at March 31, 2024 Prior* AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 AY 24 End of First Year 183.44 44.37 49.39 59.24 62.46 77.00 87.33 83.76 101.17 114.84 130.33 One year later 18
Slide 34: Reserving Triangle Disclosure: IMTPIP
Reserving Triangle Disclosure: IMTPIP ₹ billion Incurred Losses and Allocated Expenses (Ultimates movement) As at March 31, 2024 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 6
Slide 35: Reserving Triangle Disclosure: Motor-TP (excl. IMTPIP)
Reserving Triangle Disclosure: Motor-TP (excl. IMTPIP) Incurred Losses and Allocated Expenses (Ultimate Movement) ₹ billion As at March 31, 2024 Prior* AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 AY 24 End of First Year 28.60 12.63 15.97 17.05 19.98 24.41 31.55 25.15 28.07 35.39 38.07 One
Slide 36: Reserving Triangle Disclosure: Total (excl. Motor-TP)
Reserving Triangle Disclosure: Total (excl. Motor-TP) Incurred Losses and Allocated Expenses (Ultimate Movement) ₹ billion As at March 31, 2024 Prior* AY 15 AY 16 AY 17 AY 18 AY 19 AY 20 AY 21 AY 22 AY 23 AY 24 End of First Year 154.85 31.74 33.42 42.19 42.48 52.58 55.78 58.61 73.11 79.46 92.26 One
ICICI Lombard General Insurance Company — FY2024 Earnings Presentation on 6ix