Benefits of Merger

Enhancing the Solvency

Ratio –
An insurance company
should maintain an asset
value at 150%
of the liabilities.
According to the guidelines
of Insurance Regulatory and
Development Authority of
India, general insurance
companies
need to maintain a minimum
solvency ratio of 1.50. As on
March 31, 2019, the
solvency ratio of National
Insurance Co
was 1.04 and for Oriental
Insurance Co it was 1.57,
while
solvency ratio for United
India Insurance, as on Mar
31, 2018,
was 1.54.