Financial Performance Highlights
Global Performance (FY 2025-26):
- Gross Written Premium (GWP): ₹47,174 crore (8.15% growth from ₹43,618 crore in FY25)
- Profit After Tax (PAT): ₹1,384 crore (40% growth from ₹988 crore in FY25)
- Q4 FY26 PAT: ₹558 crore (61% growth)
- Net Premium: ₹39,331 crore (8.30% growth)
- Solvency Ratio: 1.84x (above statutory requirement of 1.50x)
Domestic Performance:
- Gross Direct Premium: ₹42,831 crore (10.89% growth)
- Market Share: 12.74% (increased from 12.56%)
- Net Premium: ₹36,334 crore (9.47% growth)
- Combined Ratio: 122.42% (deteriorated from 116.71% in FY25)
- Basic EPS: ₹8.40 (FY25: ₹6.00)
Audit Qualifications and Key Matters
Qualified Opinion by Auditors:
- Unreconciled reinsurance balances of ₹50,369 million (Gross receivable: ₹96,578 million; Payable: ₹46,209 million)
- Balances relating to inter-office accounts and unadjusted banking transactions subject to confirmation
- Material weaknesses in internal financial controls requiring strengthening
- Non-provisioning for tax demands of ₹8,309.0 Crore under dispute
- Pending compliance with Section 128 of Companies Act regarding foreign branch accounting records
Corporate Actions and Dividend
- Board proposed final dividend of ₹1.50 per share (30% of paid-up capital)
- 107th AGM scheduled for July 27, 2026 to be held virtually
- Record Date: July 10, 2026 for dividend entitlement
- E-voting Period: July 24, 2026 (9:00 AM) to July 26, 2026 (5:00 PM)
Operational and Strategic Initiatives
Employee Cost Impact:
- Absorbed ₹3,525 crore for employee wage and family pension revisions
- Q4 FY26 alone absorbed ₹597 crore for family pension hike from 15% to 30%
Credit Ratings:
- AM Best: Financial Strength Rating B++ (Revised outlook to Positive from Stable)
- CRISIL: AAA/Stable (maintained since 2014)
Strategic Focus:
- GO Retail strategy emphasizing retail and MSME segments
- Digital transformation across customer journey
- Expansion into rural areas and Tier-II/III towns
- Participation in Bharat Maritime Insurance (BMI) Pool with ₹12,980 crore sovereign guarantee
Regulatory and Compliance Matters
SEBI Non-compliance:
- Penalties imposed by BSE and NSE for non-compliance with Regulation 17(1)
- Composition issues: Chairman is Executive Director and insufficient Independent Directors
- Board strength below minimum 6 directors requirement
IRDAI Compliance:
- Certificate of Registration renewed w.e.f. April 1, 2026
- Solvency margin maintained at 1.84x against 1.50x requirement
ESG and Human Resources
Workforce Composition:
- Total Employees: 10,405 (100% permanent)
- Male: 7,091 (68.15%), Female: 3,314 (31.85%)
- 99.44% of employees received performance reviews
- Female wages as % of total wages: 32.91%
CSR Initiatives:
- Total CSR Obligation: ₹1,040.49 lakhs (2% of average net profit)
- Key projects: Solar Energy for tribal schools, healthcare equipment, women skill development programs
- Unspent Amount: ₹391.70 lakhs transferred to Armed Forces Flag Day Fund
Subsidiary Performance and Investments
Subsidiaries:
- The New India Assurance (Trinidad & Tobago) Ltd: PAT TTD 2.65 million (₹3.53 crore)
- Prestige Assurance Plc, Nigeria: PAT Naira 1.30 million (₹0.08 lakh)
- The New India Assurance (Sierra Leone) Ltd: Business operations closed
Investment Portfolio:
- Total Investments: ₹77,053.90 Crore
- Non-Performing Investments: ₹150.29 Crore
- Investment Income Ratio: 12.35%
Future Outlook
- Continued emphasis on "GO Retail" strategy and digital transformation
- Implementation of Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025
- FDI limit increased from 74% to 100%
- Transition to Ind-AS accounting standards effective FY 2026-27