Profit and Loss of Indian Insurance Companies in 2007-08

[IndianInsurance]

Life insurance sector in the red in 2007-08, General insurers fare better; profits slump 80% for pvt players.

Chennai, March 3 The life insurance sector in the country is in the red, going by the figures released by the Insurance Regulatory and Development Authority in it annual report for 2007-08.

The losses posted by the private sector life insurance companies more than doubled to Rs 4,487 crore in 2007-08 compared with Rs 1,934 crore in 2006-07.

Only four private insurers among the 17 in the fray were able to report profits in 2007-08. SBI Life posted an improved performance with net profits of about Rs 34 crore as did Metlife with a profit of Rs 21 crore in that year.

The largest losses were posted by ICICI-Prudential Life Insurance at Rs 1,395 crore and Reliance Life at Rs 768 crore during 2007-08.

The public sector giant, LIC managed to post a modest growth in profits at Rs 845 crore in 2007-08 compared with Rs 774 crore in 2006-07.

The general insurance sector fared better than the life sector, although profits were down by 80 per cent for the private sector players.

Profits of 10 private players were down to Rs 44 crore in 2007-08 compared with 228 crore in 2006-07.

The biggest loss among private players as well as the industry was posted by Reliance General Insurance at Rs 165 crore.

The four public sector insurance companies saw their combined profits come down by about 24 per cent to Rs 2,205 crore.

While three of them saw their profits declining, United India Insurance managed to buck the trend and post a 19 per cent growth in profits during 2007-08.

(Attachment showing Profit & Loss of Indian Life Insurance Companies and Indian General Insurance Companies)