The Oriental Insurance Company Ltd

M.L. Singla
FMS-DU
(Strictly for Limited & Private Circulation)

The Oriental Insurance Company Ltd. was incorporated at Mumbai on 12th September 1947. The
Company was a wholly owned subsidiary of The Oriental Government Security Life Assurance
Company Ltd and was formed to carry out General Insurance business. The Company was a
subsidiary of Life Insurance Corporation of India from 1956 to 1973 ( till the General Insurance
Business was nationalized in the country). In 2003 all shares of our Company held by the General
Insurance Corporation of India were transferred to the Central Government.

The Company is a pioneer in laying down systems for smooth and orderly conduct of the business.
The strength of the Company lies in its highly trained and motivated work force that covers various
disciplines and has vast expertise. Oriental specializes in devising special covers for large projects
like power plants, petrochemical, steel and chemical plants. The Company has developed various
types of insurance covers to cater to the needs of both the urban and rural population of India. The
Company has a technically qualified and competent team of professionals to render the best customer
service.

Oriental Insurance made a modest beginning with a first year premium of Rs.99,946 in 1950. The
goal of the Company was “Service to clients” and achievement thereof was helped by the strong
traditions built up overtime.

ORIENTAL with its Head Office at New Delhi has 29 Regional Offices and nearly 1800+ operating
offices in various cities of the country. The Company has overseas operations in Nepal, Kuwait and
Dubai and has a total strength of around 13500 employees. From less than a lakh at its inception, the
gross premium went up to Rs.58 crores in 1973 and at the end of the year 2018-19 the premium
figure stood at Rs.13199 crores.

OIC’s Corporate Mission:

• To be the most respected & preferred Non-Life Insurer in the markets we operate.

OIC’s Corporate Objectives:

• Act as a financially sound corporate entity with high business ethics

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 • Implement best human resource development practices to build a highly efficient, dedicated
and motivated workforce with high morale and moral values
• Optimally utilize the information technology infrastructure
• Provide excellent customer service
• Run the business profitably through prudent underwriting and efficient & proper claim
management
• Effectively manage our reinsurance operations
• Effectively manage our investments for optimising yield
• Have effective risk management systems
• Improve the penetration of non-life insurance by proper underwriting, innovation &
marketing
• To evolve as a vibrant & dynamic leading non-life insurer

OIC’s Financial Results:

(Amount in Rs.Lacs)
2008-09 2017-18 2018-19
Gross Direct Premium 407790 1145201 1319932
Net Premium 323510 1002823 1084539
305719 822122 1124808
Net Claims
(94.50%) (81.98%) (103.71%)
91444 260943 244864
Operating Expenses (28.27%) (26.02%) (22.58%)
Profit on Sale of Investments (Policy
-39651 19021 38310
Holders’)

Interest, Dividend and Rent ** 17197 119065 106512

Profit Before Tax -8842 138228 -42899
Profit After Tax -5266 150989 -29366
* % means percentage to net premium

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