How big is the insurance sector of the country, this year the business was worth so many lakhs of crores. – Read

India’s insurance sector is growing rapidly. After being in loss for two consecutive years, the insurance sector has turned profitable this year in FY 24. This year, business worth millions has been done in this sector. General insurance companies, standalone health insurance and specialized insurance PSUs involved in non-life insurance had a combined profit of Rs 10,119 crore in FY24.

According to the annual report of Insurance Regulatory and Development Authority of India IRDAI for FY 24, this sector had suffered a loss of Rs 2,566 crore in FY 23 and Rs 2,857 crore in FY 22. This year there has been huge profit in this sector.

Who benefited how much?

Government general insurance companies had a profit after tax of Rs 157 crore, private general insurance companies had a profit after tax of Rs 5,983 crore, specialized insurers had a profit after tax of Rs 3,063 crore and stand-alone health insurance companies had a net profit of Rs 915 crore.

loss reduced

However, underwriting losses of non-life insurance companies fell to Rs 28,555 crore in FY24. This is 12.93 percent less than Rs 32,797 crore of FY 23. The share of public sector in underwriting losses of non-life insurance industry was 66 percent i.e. Rs 18,862 crore and the remaining share of private sector insurance companies was Rs 10,758 crore.

Similarly, underwriting losses of individual insurance companies increased to Rs 723 crore in FY 24 whereas it was Rs 529 crore in FY 23. The investment income of non-life insurance companies compensates for their underwriting losses. Underwriting profit of specialized insurance companies increased to Rs 1,788 crore in FY24 compared to Rs 1,747 crore in FY23.