{"id":175,"date":"2019-07-23T07:52:55","date_gmt":"2019-07-23T07:52:55","guid":{"rendered":"http:\/\/localhost\/yearbook\/?page_id=175"},"modified":"2026-02-01T12:19:17","modified_gmt":"2026-02-01T12:19:17","slug":"underwriting-surplus-deficit","status":"publish","type":"page","link":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/?page_id=175","title":{"rendered":"3.8 &#8211; Underwriting Surplus \/ Deficit"},"content":{"rendered":"\n<p>The Underwriting Surplus\u2014calculated as the Net Earned Premium minus the total of Net Incurred Claims, Net Commission, Management Expenses, and other expenses or income\u2014remains negative for General Insurers. Specialized Insurers continued to perform strongly in FY 2024\u20132025, whereas Standalone Health Insurers reported negative underwriting results.&nbsp;<\/p>\n\n\n\n<p><\/p>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.1<\/span>Underwriting Results (Split by Type of Insurers)<\/h3><div id=\"Chart_43\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        basic_column_negative_chart(\"Chart_43\", {\"orientation\":\"false\",\"data\":{\"2023-24\":{\"General Insurers\":-29624,\"Standalone Health Insurers\":-721,\"Specialised Insurers\":1758},\"2024-25\":{\"General Insurers\":-30764,\"Standalone Health Insurers\":-1635,\"Specialised Insurers\":2111}},\"Title\":\"Underwriting Results (Split by Type of Insurers)\",\"xTitle\":\"Type of Insurers\",\"yTitle\":\"Losses (\\u20b9 in Crores)\",\"yAxisData\":{\"General Insurers\":\"General Insurers\",\"Standalone Health Insurers\":\"Standalone Health Insurers\",\"Specialised Insurers\":\"Specialised Insurers\"},\"colorCodes\":[\"#956D33\",\" #C98900\"]});\n                    });\n                <\/script>\n\n\n\n<p class=\"has-text-align-right has-small-font-size\">  <em> <strong>Source<\/strong>: Council Compilation<\/em> <em>as per source<br>data submitted by companies<\/em><\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.2<\/span>Underwriting Surplus\/Deficits (2015-2025)<\/h3><div id=\"Chart_170\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        column_chart(\"Chart_170\", {\"unit\":\"\",\"data\":{\"Pure underwriting losses\":{\"2015-16\":-15164,\"2016-17\":-21077,\"2017-18\":-16013,\"2018-19\":-24010,\"2019-20\":-23114,\"2020-21\":-19441,\"2021-22\":-31948,\"2022-23\":-33154,\"2023-24\":-28587,\"2024-25\":-30288}},\"Title\":\"Underwriting Surplus\\\/Deficits (2015-2025)\",\"xTitle\":\"Year\",\"yTitle\":\"Losses (\\u20b9 in Crores)\",\"xAxisData\":{\"2015-16\":\"2015-16\",\"2016-17\":\"2016-17\",\"2017-18\":\"2017-18\",\"2018-19\":\"2018-19\",\"2019-20\":\"2019-20\",\"2020-21\":\"2020-21\",\"2021-22\":\"2021-22\",\"2022-23\":\"2022-23\",\"2023-24\":\"2023-24\",\"2024-25\":\"2024-25\"},\"colorCodes\":[\"#C98900\"]});\n                    });\n                <\/script>\n\n\n\n<p class=\"has-text-align-right has-small-font-size\">  <em> <strong>Source<\/strong>: Council Compilation<\/em> <em>as per source<br>data submitted by companies<\/em><br><br><\/p>\n\n\n\nUnderwriting surplus\/deficit of Non-Life Insurance sector continues to be impacted by:<br><li> Intense competition in the Personal Lines of Business<\/li><li> Frequent natural calamities and disasters and attritional claims to net account<\/li><li> Increase in distribution costs across all channels.<\/li>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.3<\/span>Underwriting Results (2015-2025)<\/h3><div id=\"Chart_266\" class=\"chart-div\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        area_chart(\"Chart_266\", {\"unit\":\"\",\"data\":{\"Pure underwriting losses\":{\"2015-16\":\"-15164\",\"2016-17\":\"-21077\",\"2017-18\":\"-16013\",\"2018-19\":\"-24010\",\"2019-20\":\"-23114\",\"2020-21\":\"-19411\",\"2021-22\":\"-31948\",\"2022-23\":\"-33154\",\"2023-24\":\"-28587\",\"2024-25\":\"-30288\"},\"EOM + Net Commission\":{\"2015-16\":\"26538\",\"2016-17\":\"29397\",\"2017-18\":\"30752\",\"2018-19\":\"36299\",\"2019-20\":\"41517\",\"2020-21\":\"45477\",\"2021-22\":\"49385\",\"2022-23\":\"63836\",\"2023-24\":\"65080\",\"2024-25\":\"69232\"},\"Net Incurred Claims\":{\"2015-16\":\"64495\",\"2016-17\":\"80662\",\"2017-18\":\"85650\",\"2018-19\":\"101051\",\"2019-20\":\"108390\",\"2020-21\":\"111549\",\"2021-22\":\"140565\",\"2022-23\":\"149313\",\"2023-24\":\"172300\",\"2024-25\":\"188594\"},\"Net Earned Premium\":{\"2015-16\":\"75878\",\"2016-17\":\"88725\",\"2017-18\":\"100453\",\"2018-19\":\"113334\",\"2019-20\":\"126179\",\"2020-21\":\"137620\",\"2021-22\":\"158002\",\"2022-23\":\"179995\",\"2023-24\":\"208393\",\"2024-25\":\"227538\"},\"NIC + EOM + Net Commission\":{\"2015-16\":\"91033\",\"2016-17\":\"110059\",\"2017-18\":\"116402\",\"2018-19\":\"137350\",\"2019-20\":\"149907\",\"2020-21\":\"157026\",\"2021-22\":\"189951\",\"2022-23\":\"213149\",\"2023-24\":\"237380\",\"2024-25\":\"257826\"}},\"Title\":\"Underwriting Results (2015-2025)\",\"xTitle\":\"Year\",\"yTitle\":\"\\u20b9 in Crores\",\"yAxisData\":{\"2015-16\":\"2015-16\",\"2016-17\":\"2016-17\",\"2017-18\":\"2017-18\",\"2018-19\":\"2018-19\",\"2019-20\":\"2019-20\",\"2020-21\":\"2020-21\",\"2021-22\":\"2021-22\",\"2022-23\":\"2022-23\",\"2023-24\":\"2023-24\",\"2024-25\":\"2024-25\"},\"colorCodes\":[\"#F7E3B3\",\" #F2C66D\",\" #E3B24D\",\" #A66E00\",\" #CF8900\"]});\n                    });\n                <\/script>\n\n\n\n<p style=\"text-align:left\" class=\"has-small-font-size\"><em><strong>User Guide<\/strong>: Please keep cursor to the right to see exact values on the above graph. <span style=\"margin-left:170px;\"> <strong>Source<\/strong>: Council Compilation as per source\ndata submitted by companies<span><\/span><\/span><\/em><\/p>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.4<\/span>Underwriting Loss as percentage of NEP<\/h3><div id=\"Chart_45\" class=\"chart-div\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        multiline_chart(\"Chart_45\", {\"unit\":\"\",\"data\":{\"UW Loss as % NEP\":{\"2015-16\":\"-20\",\"2016-17\":\"-22.8\",\"2017-18\":\"-14.9\",\"2018-19\":\"-20.2\",\"2019-20\":\"-17.3\",\"2020-21\":\"-13.1\",\"2021-22\":\"-19.2\",\"2022-23\":\"-17.4\",\"2023-24\":\"-12.7\",\"2024-25\":\"-12.3\"}},\"Title\":\"Underwriting Loss as percentage of NEP\",\"xTitle\":\"Year\",\"yTitle\":\"U\\\/W Losses (%)\",\"yAxisData\":{\"2015-16\":\"2015-16\",\"2016-17\":\"2016-17\",\"2017-18\":\"2017-18\",\"2018-19\":\"2018-19\",\"2019-20\":\"2019-20\",\"2020-21\":\"2020-21\",\"2021-22\":\"2021-22\",\"2022-23\":\"2022-23\",\"2023-24\":\"2023-24\",\"2024-25\":\"2024-25\"},\"colorCodes\":[\"#c98900\"]});\n                    });\n                <\/script>\n\n\n\n<p class=\"has-text-align-right has-small-font-size\">  <em> <strong>Source<\/strong>: Council Compilation<\/em> <em>as per source<br>data submitted by companies<\/em><\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p><\/p><cite><br><br><\/cite><\/blockquote>\n\n\n\n<p>The combined ratio has risen in the current financial year as compared to previous year.<\/p>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.5<\/span>Combined Ratio - Overall<\/h3><div id=\"Chart_44\" class=\"chart-div\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        multiline_chart(\"Chart_44\", {\"unit\":\"\",\"data\":{\"Combined ratio\":{\"2015-16\":\"117.6\",\"2016-17\":\"122\",\"2017-18\":\"113.9\",\"2018-19\":\"119.3\",\"2019-20\":\"117.8\",\"2020-21\":\"112\",\"2021-22\":\"118.8\",\"2022-23\":\"116.1\",\"2023-24\":\"112\",\"2024-25\":\"112.6\"}},\"Title\":\"Combined Ratio - Overall\",\"xTitle\":\"Year\",\"yTitle\":\"Combined Ratio (%)\",\"yAxisData\":{\"2015-16\":\"2015-16\",\"2016-17\":\"2016-17\",\"2017-18\":\"2017-18\",\"2018-19\":\"2018-19\",\"2019-20\":\"2019-20\",\"2020-21\":\"2020-21\",\"2021-22\":\"2021-22\",\"2022-23\":\"2022-23\",\"2023-24\":\"2023-24\",\"2024-25\":\"2024-25\"},\"colorCodes\":[\"#c98900\"]});\n                    });\n                <\/script>\n\n\n\n<p class=\"has-text-align-right has-small-font-size\">  <em> <strong>Source<\/strong>: Council Compilation<\/em> <em>as per source<br>data submitted by companies<\/em><\/p>\n\n\n\n<p>The Combined Ratios\u2014calculated as the sum of the Net Incurred Claims Ratio, Net Commission Ratio, and Expenses of Management Ratio\u2014have remained above 110%, indicating unfavorable underwriting outcomes. Notably, these results are calculated prior to allocating any investment income attributed to policyholder funds. In the current financial year, the combined ratio is 112.6% as compared to 112.0% in the previous year.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p><\/p><cite><br><br><\/cite><\/blockquote>\n\n\n<h3 class=\"section-title\" style=\"font-size: 17px;\"><span style=\"background: #f6a192;border-radius: 8px;color: #fff;padding: 5px;font-size: 14px; margin-right: 10px;\"> Chart 3.8.6<\/span>Combined Ratio (Split by Type of Insurer)<\/h3><div id=\"Chart_46\"><\/div><script type=\"text\/javascript\">\n                    jQuery(document).ready(function () {\n                        basic_column_chart(\"Chart_46\", {\"orientation\":\"false\",\"unit\":\"\",\"data\":{\"2023-24\":{\"General Insurers\":115.3,\"Standalone Health Insurers\":98.8,\"Specialised Insurers\":74.6,\"Overall\":112},\"2024-25\":{\"General Insurers\":115.6,\"Standalone Health Insurers\":103,\"Specialised Insurers\":65.8,\"Overall\":112.6}},\"Title\":\"Combined Ratio (Split by Type of Insurer)\",\"xTitle\":\"Type of Insurers\",\"yTitle\":\"Combined Ratio (%)\",\"yAxisData\":{\"General Insurers\":\"General Insurers\",\"Standalone Health Insurers\":\"Standalone Health Insurers\",\"Specialised Insurers\":\"Specialised Insurers\",\"Overall\":\"Overall\"},\"colorCodes\":[\"#956d33\",\"#c98900\"]});\n                    });\n                <\/script>\n\n\n\n<p class=\"has-text-align-right has-small-font-size\">  <em> <strong>Source<\/strong>: Council Compilation<\/em> <em>as per source<br>data submitted by companies<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Underwriting Surplus\u2014calculated as the Net Earned Premium minus the total of Net Incurred Claims, Net Commission, Management Expenses, and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":529,"menu_order":8,"comment_status":"closed","ping_status":"closed","template":"page-templates\/full-width.php","meta":[],"_links":{"self":[{"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/pages\/175"}],"collection":[{"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=175"}],"version-history":[{"count":46,"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/pages\/175\/revisions"}],"predecessor-version":[{"id":4446,"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/pages\/175\/revisions\/4446"}],"up":[{"embeddable":true,"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=\/wp\/v2\/pages\/529"}],"wp:attachment":[{"href":"https:\/\/www.gicouncil.in\/yearbook\/2024-25\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=175"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}