The New India Assurance Company (NIACL) Q4 24/25 earnings summary

Executive summary

• Achieved record Gross Written Premium (GWP) of ₹43,618 crore in FY25, up 3.86% year-over-year, maintaining a 12.6% market share and leadership in non-life insurance.

• Operational efficiency improved, with the combined ratio reduced to 116.78% from 119.88% in FY24.

• Net profit after tax declined to ₹988 crore in FY25 from ₹1,129 crore in FY24, impacted by one-time provisions for legacy reinsurance balances.

• Maintained strong credit ratings and solvency ratio improved to 1.91x from 1.81x, reflecting robust financial health.

• Focus for FY26 is on profitability, innovative product launches, and digital transformation targeting retail and MSME segments.

Financial highlights

• Gross Written Premium grew to ₹43,618 crore in FY25 from ₹41,996 crore in FY24; net earned premium reached ₹35,368 crore, up from ₹34,028 crore.

• Net profit after tax was ₹988 crore in FY25, impacted by a one-time provision of ₹802 crore for legacy reinsurance balances.

• Investment income for FY25 was ₹8,034 crore, down from ₹9,241 crore, mainly due to lower capital gains amid volatile equity markets.

• Assets under management exceeded ₹98,000 crore at year-end.

• Q4 FY25 saw an underwriting loss of ₹1,143 crore, offset by net investment income of ₹2,339 crore, resulting in a Q4 PAT of ₹347 crore.

Outlook and guidance

• Targeting a combined ratio of 110 in the near future, with a long-term aspiration to bring it below 100.

• Plans to launch innovative products, especially for retail and MSME sectors, and enter new lines such as parametric insurance.

• Continued focus on profitable growth, risk selection, and digital initiatives to improve operational efficiency and loss ratios.

• No immediate plans for further health insurance price hikes; monitoring performance before revising rates.

• Special initiatives to boost insurance penetration in Gujarat and improve global credit rating.