Financial Performance Overview

ICICI Lombard reported strong financial results for FY2026 with Profit After Tax (PAT) increasing 10.5% year-over-year to ₹27.72 billion. Gross Direct Premium Income (GDPI) reached ₹287.12 billion, representing 7.0% growth, while Net Written Premium stood at ₹233.74 billion (12.6% growth). The combined ratio on '1/n' basis was 103.4% compared to 102.8% in FY2025. Total assets increased by 10.1% to ₹761.11 billion, with investments growing to ₹584.21 billion and the solvency ratio remaining strong at 2.67 times the regulatory requirement.

Dividend Declaration and AGM Details

The company declared an interim dividend of ₹6.5 per equity share (65% of face value) aggregating ₹3.23 billion during FY2026 and recommended a final dividend of ₹7.0 per equity share (70% of face value), maintaining a total dividend payout ratio of 24.3%. The 26th Annual General Meeting is scheduled for June 19, 2026, to seek shareholder approval for the final dividend, re-appointment of directors, appointment of B S R & Co. LLP as Joint Statutory Auditor, and revision in remuneration for MD & CEO Sanjeev Mantri.

Strategic Initiatives and Operational Highlights

Key strategic initiatives included Project Orion technology transformation program, migrating major product lines to the Artemis platform built on TCS Bαncs suite. The company expanded its distribution network to 341 branches across 28 States & 7 Union Territories, with 15,008 employees and 157,101 individual agents. Digital service transactions increased to 69% in March 2026 from 40% in March 2025. The company issued 39.3 million policies and processed 3.4 million claims during FY2026.

Regulatory Compliance and Accounting Standards

The company implemented new Labour Codes effective November 21, 2025, and decided to avail one-year forbearance for Ind AS implementation, deferring adoption to April 1, 2027. Contingent liabilities stood at ₹48.64 billion, primarily from disputed tax matters including ₹13.98 billion in Income Tax matters and ₹34.66 billion from Service Tax/GST authorities. The company maintained robust risk management framework covering Credit Risk, Market Risk, Underwriting Risk, and ESG Risk.

Related Party Transactions and Governance

Material Related Party Transactions with ICICI Bank Limited and ICICI Securities Primary Dealership Limited up to aggregate ₹12,772 crores each during FY2028 are proposed for shareholder approval. The Board consists of 8 Directors including 5 Non-executive Independent Directors. Shyam Srinivasan was appointed as Additional Director in category of 'Non-executive, Independent Director' effective April 15, 2026 for five-year term.

Investment Performance and Cash Flow

Total investment assets stood at ₹584.21 billion as of March 31, 2026, with investment leverage (net of borrowings) of 3.48x. The portfolio achieved total return of 9.46% with 88.1% invested in sovereign and AAA rated securities. Net cash flows from operating activities improved significantly to ₹26.22 billion for fiscal 2026 from ₹11.47 billion in fiscal 2025.

Reference Documentation

The document includes comprehensive glossary of insurance industry terminology defining key concepts, metrics, and regulatory terms relevant to general insurance business in India, serving as a reference guide for understanding operational and financial reporting terminology.