ICICI Lombard General Insurance Q3 Results: Net profit rises 68% to ₹724 crore, gross premium drops marginally | Stock Market News
ICICI Lombard General Insurance Q3 Results: ICICI Lombard General Insurance Company Limited announced its latest October-December quarter results for fiscal 2024-25 (Q3FY25) on Friday, January 17, reporting a rise of 67.9 per cent in net profit to ₹724.4 crore boosted by growth in capital gains, compared to ₹431.5 crore in the corresponding period last year.
The gross premium dropped marginally by 0.3 per cent to ₹6,214 crore, compared to ₹6,230 crore in the year-ago period. This was primarily due to a regulatory shift implemented by the insurance regulator Insurance Regulatory and Development Authority of India (IRDAI) in October 2024.
ICICI Lombard General Insurance Q3 Results: Key Metrics
“With effect from October 1, 2024, Long-term Products are accounted on a 1/n basis, as mandated by IRDAI; hence Q3 & 9M FY2025 are not comparable with prior years,” said ICICI Lombard in a regulatory filing today.
The return on average equity (ROAE) was 21.5 per cent, compared to 15.3 per cent in the same period last year. ICICI Lombard General Insurance’s premiums earned in its retail health insurance and corporate health insurance units grew nearly 25 per cent and 12 per cent, respectively.
Motor insurance premiums, ICICI’s largest segment, grew 17 per cent to ₹2,560 crore. The insurer did not give a breakdown of the premiums earned from the insurance of new and old vehicles. The solvency ratio was 2.36x as of December 31, 2024, compared to 2.65x in the preceding September quarter and higher than the minimum regulatory requirement of 1.50x.
The combined ratio, an insurance company’s losses and expenses divided by the premium it earned, eased to 102.7 per cent from 103.6 per cent a year earlier. A lower ratio indicates that the insurer is earning more through premiums relative to its claims paid and operating expenses incurred. ICICI Lombard’s claims paid rose 19 per cent year over year (YoY).
