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Premium growth driven by Retail Health & Motor OD segment

Crop business plummeted in Nov’23

? The industry's gross written premium (GWP) increased 9% YoY to INR209b in Nov’23. This is because the Motor OD segment grew 21% YoY, while the Retail Health segment grew 16.5% YoY. In Nov’23, Fire segment & Commercial Lines reported a YoY growth of 10% and 12%, respectively; however, the crop segment plummeted 25% YoY.

? During the month, PSU players reported flattish YoY growth to INR 65.1b. SAHIs outperformed industry growth by reporting a GWP of INR24.8b in Nov’23, up 23% YoY. Private multi-line players reported a growth of 9% YoY (INR 115.4b), which is in line with the industry growth.

? Among key players, ICICIGI grew 17% YoY in Nov’23 (on account of 21% growth in the Motor OD segment). STARHEAL also reported a GWP growth of 17% YoY. Bajaj Allianz declined 9% YoY (on account of exponential growth in Crop business in Nov’22). HDFC Ergo reported a growth of 3%, whereas New India/National India reported a decline of 1%/8% YoY.

Health business up 13% YoY, fueled by higher growth in Retail Health

The Health business jumped 13% YoY, with the Retail segment reporting 17% YoY growth and Group Health reporting 10% YoY growth. The overseas Health segment rose 11.2% YoY, whereas the government Health segment increased 15% YoY. Within the overall Health segment, SAHIs/Private multi-line players reported 24%/26% YoY growth. Within SAHIs, STARHEAL reported a 17% YoY growth with 17%/18% YoY growth in Retail/Group segments. Within Retail Health, Care Health surged 42% YoY; while within Group Health, Niva Bupa soared 108% YoY. ILOM grew 14% YoY in Retail Health and 34% YoY in Group Health. While PSU multi-line players posted 8% YoY growth in Retail Health, Group Health segment reported a 9% YoY decline (Group Health business for National India and New India declined 19%/12% YoY in Nov’23).

Motor segment clocks a healthy YoY growth of 12%

The Motor business grew 12% YoY, mainly driven by healthy growth in the Motor OD segment (up 21% YoY). Motor TP saw a muted growth of 7% YoY in Nov’23. Private multi-line players outperformed PSU players in both the Motor OD segment (up 25% YoY) and the Motor TP segment (up 7% YoY). ILOM underperformed peers (private multi-line players) in the Motor OD/Motor TP segments with up 22%/up 0% YoY growth. Bajaj Allianz posted a 9% YoY growth with 17% YoY growth in Motor OD, but lower growth in the Motor TP segment at 2% YoY. Acko General posted a strong 53%/27% YoY growth in the Motor OD and Motor TP segments. Go Digit clocked a strong growth of 54%/33% in the Motor OD/Motor TP segment.

YTD performances of key players

SAHIs/private multi-line players gained ~100bp/~260bp market share during Nov’23, while public players lost ~150bp share.

? ILOM reported a growth of 17% YoY (market share of 8.9% vs. 8.7%).

? Bajaj Allianz posted a decline of 9% YoY (market share of 7.5% vs. 6.3%).

? New India posted a decline of 1% YoY (market share of 13.0% vs. 13.6%).

? STARHEAL registered a growth of 17% YoY (market share of 4.8% vs. 4.6%)

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