ICICI Lombard General Insurance Company Limited

Sanketh Godha

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Nidhesh Jain

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Nidhesh Jain

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Shreya Shivani

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Shreya Shivani

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Shreya Shivani

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Shreya Shivani

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Avinash Singh

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Avinash Singh

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Prakhar Sharma

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And to your other question in terms of where is the impact of cyclone losses largely sitting upon, it is predominantly in the property and the casualty line of businesses, which is in the fire and engineering line of businesses.

— Prayesh Jain

July 18, 2023 we gave as a part of the opening remarks, for this quarter, the net impact of claims on account of cyclone losses has been about ₹35 crore.

— Prayesh Jain

So, if you look at the current quarter it is actually lower, we don't see any significant pressure on the health loss ratio side.

— Prayesh Jain

So, as and when we get to see the impact of the cycle, we will actualize those numbers.

— Shreya Shivani

As Bhargav said, the price decline is a single digit number roughly in that range of, 5% to 7% decline in pricing and that's on expected lines.

— Avinash Singh

Now this has the impact of the XOL cost.

— Avinash Singh

It also has the impact of losses from cyclone as what I mentioned, very difficult to separately call out the impact of the XOL cost.

— Avinash Singh

But if I were to just exclude the impact of cyclone losses, the loss ratio on fire, which is at about 85%, will look like about 64%-65% and engineering, ICICI Lombard General Insurance Co.

— Avinash Singh

Till now, it doesn't look to be significantly an area of concern.

— Prakhar Sharma

Q

Gopal Balachandran: Prayesh, the breakup of the overall health loss ratio numbers that you see, which is 78.7% for Q1 FY2024, the breakup of that for employer- employee or the group health is at about 92.6%. Retail indemnity business is at about 64.2%. And to your other question in terms of where is the impact of cyclone losses largely sitting upon, it is predominantly in the property and the casualty line of businesses, which is in the fire and engineering line of businesses. A very small proportion of claims is there in motor, but predominantly a large part of the impact on the cyclone is in

Prayesh Jain

Any reason for very high loss ratios on the group side, is there a spike in terms of number of claims or frequency or severity? Gopal Balachandran: So, nothing specific; if you see what we have been speaking about it Prayesh, even in the past on the employer-employee segment, generally we have spoken about the loss ratios to stay in the range of around 95% threshold between 90% to 95%, because it primarily comprises of two books as what we have spoken, one is relatively large corporates which runs at a loss ratio anywhere ranging between 95% to 100%. And then we have SME, which is relatively s

Q

My question is around the Motor OD business. If I look at the loss ratio numbers, consistently it has been improving from Q2 or Q1 of FY2023. That number is around 67%, so just wanted to understand that this number of 67% is sustainable or what corrective measures you have taken, except for the choice of not seizing the market share, that has led to the improvement in the loss ratio in the Motor segment, OD segment rather. That is one thing and second, just wanted to again understand this IL TakeCare app which you said today probably contributes almost 1% of your GDPI in Q1, so want to underst

Sanketh Godha

Bhargav, there's just one clarification, is this IL TakeCare app you are able to manage cross-sell predominantly retail health at Rs 58 crores or 59 crores or it is other products also you have seen the traction? Bhargav Dasgupta: It's other mix of products. We are seeing Two-wheelers, Health, Private cars, employees of corporates buying policies on their own. So, it's a mix of most products that we have there. Got it. And finally, last one, Gopal, if you can explain the reason why the commission costs have boosted, overall expense has not changed, but the commission cost has gone up while the

Q

Thanks for the opportunity. Firstly, if you could break the digital business, what percentage of business is coming from our own website, plus IL TakeCare and how are the trends in that segment on Y-o-Y basis? Bhargav Dasgupta: So, if you look at the way we manage this business, there is the Digital One team which looks at, if you remember, we had said there are two objectives that they have. One is the website business growth and the other is working with the digital ecosystem partners and we look at it together, that growth for this quarter is about 37.8%. The IL TakeCare number as we said i

Nidhesh Jain

Because if you look at the annual disclosure, I think last year in the public disclosure, the data indicates that the growth from our own website has not been that strong. It has been flattening out. Growth is largely coming from the digital ecosystem. So, are those trends continuing in this quarter also and because the business coming from our own website will be much better quality, though low, though more profitable probably over a period of time. So, how we think about the strategy on the digital side, from sourcing business from our own website? Gopal Balachandran: So, Nidhesh, it is a co

Q

I have two questions. First is on the total Motor segment. So, if I compare Lombard’s both loss ratio and growth across the private peers, I will specifically look at the private general insurer. So, many of them would have just a few percentage point higher loss ratio on this segment, but they're delivering about 15% growth in this quarter as per the IRDAI data. So, what can we expect for the Lombard’s Motor segment for the full year and any guidance on the overall premium growth for FY2024, that's the first question? And the second question is on the crop loss ratio, it seems a little higher

Shreya Shivani

So, one just clarification I wanted, the retail indemnity loss ratio that you mentioned at 64.2%, this is 64.2% for the retail indemnity sold by agents or the one which is getting sold by ICICI Bank? Bhargav Dasgupta: Not the group, this retail indemnity is the individual retail indemnity. And what is the loss ratio of the ICICI Bank portion that is getting sold ICICI Bank? Bhargav Dasgupta: We are not giving that level of detail, that is not fair on the part of distributor also.

Q

Two questions. So, first one is more on Commercial lines. Particularly fire and engineering, so there were sort of multiple factors affecting the pricing and all. So, just I mean if you can give some color on that adjusting for your cyclone losses, if there has been sort of an impact on overall claims ratio because of the pricing environment or if you can quantify the price changes effectively that happened in this quarter? So, that's one commercial line. Second on group health or employer- employee part, if you can provide some sort of either quantify or some qualitative disclosure in terms o

Management

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Just wanted to get a pulse of this flooding in the Northern Indian part. How big is the business? How should we assess any potential loss? That's part one and just wanted to get a sense on, you know, the full year and next year combined ratio expectation, are we sticking to our earlier guidance, so these were my two questions. Thank you. Bhargav Dasgupta: So, the second one is easier to answer. Yes, we are sticking to it in spite of these losses that catastrophe losses that we had in this quarter and the North Indian floods will come in the Q2 because these even now, as we speak, the losses ar

Management

Q

Except for the historical information contained herein, statements in this release which contain words or phrases such as 'will' , 'would' , ‘indicating’ , ‘expected to’ etc., and similar expressions or variations of such expressions may constitute 'forward-looking statements'. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. These risks and ICICI Lombard General Insurance Co. Ltd. July 18, 2023 uncertainties include, but are not limited to our

Management