Company Overview

ICICI Lombard General Insurance Company Limited is one of the leading

private sector general insurance companies in India. It is engaged in general
insurance, reinsurance, insurance claims management and investment
management. The company has a Gross Written Premium (GWP) of Rs 126
billion (FY 2018). The firm offers policy insurance and renewal through its
intermediaries and website. It markets assurance products including Car
Insurance, Health Insurance, International Travel Insurance, Overseas
Student Travel Insurance, Two Wheeler Insurance, Home
Insurance and Weather insurance. ICICI Lombard has 253 branches spread
across the nation.
History
Established in 2001, ICICI Lombard General Insurance Company is a joint
venture between ICICI Bank- India’s second largest bank and Fairfax
Financial Holdings Limited- a financial services company based
in Toronto. ICICI Bank had 64% stake in the venture while Fairfax had 36% in
the joint venture. ICICI Lombard General Insurance is the largest private sector
general insurance company in India.
Product and Services
 ICICI Lombard Motor Insurance
 ICICI Lombard Health Insurance
 ICICI Lombard Travel insurance
 ICICI Lombard Home Insurance
 ICICI Lombard Specialty Lines Insurance
 ICICI Lombard Property Insurance
 ICICI Lombard Marine Insurance
 ICICI Lombard Liability Insurance
 ICICI Lombard Crop/Weather Insurance

Management

Bhargav Dasgupta (aged 51) is the MD and CEO of the Company since May,
2009. He has a bachelors’ degree in mechanical engineering from Jadavpur
University and a PG diploma in business administration from IIM, Bengaluru.
He has experience in project finance and corporate banking, e‐commerce and
technology management, international banking and life insurance. Previously,
he worked with ICICI Ltd from May, 1992 and with ICICI Pru Life as ED from
October, 2006 till April, 2009.

Alok Kumar Agarwal (aged 50) is an ED since January, 2011 and Chief
Marketing Officer (Wholesale) of the Company. He has a bachelors’ degree in
chemical engineering from Jadavpur University and a PG diploma in
management from IIM, Calcutta. He has experience in the banking and
insurance sector. Previously, he worked with Reliance Petrochemicals
Limited as an engineer from July, 1989 to April,1991. Subsequently, he worked
with ICICI Ltd from April, 1993 to October, 2004.

Gopal Balachandran (aged 41) is CFO and CRO of the Company and
associated with the Company since March, 2002. He has B Com degree from
Mumbai University and member of ICAI. He has work experience in the field
of finance and taxation, secretarial compliance and enterprise risk. Previously,
he worked with ICICI Bank, prior to which he has worked with N. A. Shah
Associates LLP, CA as the assistant manager ‐ direct tax from July 1998 to
December 1999.

Industry Overview

Introduction

The insurance industry of India consists of 57 insurance companies of which 24

are in life insurance business and 33 are non-life insurers. Among the life
insurers, Life Insurance Corporation (LIC) is the sole public sector company.
Apart from that, among the non-life insurers there are six public sector insurers.
In addition to these, there is sole national re-insurer, namely, General Insurance
Corporation of India (GIC Re). Other stakeholders in Indian Insurance market
include agents (individual and corporate), brokers, surveyors and third party
administrators servicing health insurance claims.

Out of 33 non-life insurance companies, five private sector insurers are

registered to underwrite policies exclusively in health, personal accident and
travel insurance segments. They are Star Health and Allied Insurance Company
Ltd, Apollo Munich Health Insurance Company Ltd, Max Bupa Health
Insurance Company Ltd, Religare Health Insurance Company Ltd and Cigna
TTK Health Insurance Company Ltd. There are two more specialised insurers
belonging to public sector, namely, Export Credit Guarantee Corporation of
India for Credit Insurance and Agriculture Insurance Company Ltd for crop
insurance.

Market Size

Government's policy of insuring the uninsured has gradually pushed insurance

penetration in the country and proliferation of insurance schemes.

The domestic life insurance industry registered 10.99 per cent y-o-y growth for
new business premium in 2017-18, generating a revenue of Rs 1.94 trillion
(US$ 30.1 billion).

Gross direct premiums for non-life insurance industry increased by 17.54 per
cent y-o-y in FY18.

Investments

The following are some of the major investments and developments in the
Indian insurance sector.

Insurance sector companies in India raised around Rs 434.3 billion (US$ 6.7
billion) through public issues in 2017.

In 2017, insurance sector in India saw 10 merger and acquisition (M&A) deals
worth US$ 903 million.

India's leading bourse Bombay Stock Exchange (BSE) will set up a joint
venture with Ebix Inc to build a robust insurance distribution network in the
country through a new distribution exchange platform.
ICICI Lombard Focus and Objectives

Strategy
Market Leadership+Profitable Growth
Government Initiatives

The Government of India has taken a number of initiatives to boost the

insurance industry. Some of them are as follows:

National Health Protection Scheme will be launched under Ayushman Bharat to

provide coverage of up to Rs 500,000 (US$ 7,723) to more than 100 million
vulnerable families.

Over 47.9 million famers were benefitted under Pradhan Mantri Fasal Bima
Yojana (PMFBY) in 2017-18.

The Insurance Regulatory and Development Authority of India (IRDAI) plans

to issue redesigned initial public offering (IPO) guidelines for insurance
companies in India, which are to looking to divest equity through the IPO route.

IRDAI has allowed insurers to invest up to 10 per cent in additional tier 1 (AT1)
bonds that are issued by banks to augment their tier 1 capital, in order to expand
the pool of eligible investors for the banks.

Road Ahead

The future looks promising for the life insurance industry with several changes
in regulatory framework which will lead to further change in the way the
industry conducts its business and engages with its customers.

The overall insurance industry is expected to reach US$ 280 billion by 2020.

Demographic factors such as growing middle class, young insurable population

and growing awareness of the need for protection and retirement planning will
support the growth of Indian life insurance.

Exchange Rate Used: INR 1 = US$ 0.015 as on March 30, 2018

Source:IRDAI
Industry Product Mix

Industry Public and Private Insurers

Opportunity for the Growth of the General Insurance Industry in
India

Image source:IRDAI

Industry Snapshot
ICICI Lombard Building Blocks

Source:ICICI Lombard General Insurance Website

Business performance of ICICI Lombard General Insurance

ICICI Lombard General Insurance Ltd. Is No 1 private insurer since year 2004
Business Mix of ICICI Lombard General Insurance

Business Mix: The mix of a business's different types of activities or customers

ICICI Lombard during its inception had started its business as wholesale,
As wholesale includes less margin, ICICI Lombard General Insurance has
transformed more into retail in the recent years.
Presently its into 70% retail and 30%wholesale business mix

Source : company website

Robust Risk Management:

Our business environment is constantly changing—technologies improve,

regulations are modified, competition increases, and demand evolves. Effective
risk management grants an ability to adapt to these changes.
Multi Channel Distribution

Many businesses begin with single-channel distribution. That sole channel

could be a brick-and-mortar store or an e-commerce website. In either case, all
sales flow through one outlet.

The advantage of a single-channel distribution management system is

simplicity. There’s only one channel to manage, one channel to stock, and one
channel to market to customers. As a business expands, however, the single-
channel model can limit growth.

Therefore for good growth of business ICICI Lombard General Insurance has
various Distribution channels
Customer Centricity

Customer centric is a way of doing business with your customer in a way that
provides a positive customer experience before and after the sale in order to
drive repeat business, customer loyalty and profits.

And a customer-centric company is more than a company that offers good

service.
Technology as enabler for efficient customer service
Technology plays an important role to amplify customer service.

Undoubtedly, technology has always been the prime mover behind the progress
of this human civilization. Thankfully, you don't have to re-invent the wheel for
branding the unparalleled power of it. Similarly, the role of technology in
amplifying customer service is not undeniable.

Technology as Enabler –Lean Operations

Investment Performance and Capital Management

Investment performance is the return on an investment portfolio.

The investment portfolio can contain a single asset or multiple assets.
The investment performance is measured over a specific period of time and in a
specific currency. Investors often distinguish different types of return.

Capital Management is an accounting strategy that strives to maintain sufficient

and equal levels of working capital, current assets, and current liabilities.

Premium as a percentage of GDP

Strength of ICICI Lombard General Insurance

Awards and Recognitions

Financial Highlights

Financial Performance of the company

Conclusion

The company has been doing great since inception and as Insurance Industry is
still in the blooming stage in India, we can predict that the future of ICICI
Lombard General Insurance Company Ltd. is good.