Oriental Insurance bets on health, MSME products to drive growth

New Delhi: Oriental Insurance Company is betting on cost-effective MSME-focused products, a bigger surety-bond book and an expanded health insurance business to drive growth and improve its financial performance, while eyeing value unlocking from its stake in National Stock Exchange, chairman and managing director Sanjay Joshi said.

"We are among the original shareholders of the NSE, and the listing provides a good opportunity for unlocking the value," Joshi told ET.

The state-owned general insurer holds 35.2 million shares, representing a 1.42% stake, in the country's largest stock exchange that closed its ₹22,562-crore initial public offer (IPO) on Monday.


OIC has put about 4.96 million NSE shares on offer for sale through the IPO, valued at around ₹885 crore at the final offer price of ₹1,875 per share.

Also read | Gujarat floods trigger thousands of crores in insurance claims, prompting rate hikes for industrial risks

The sale will boost its liquidity and solvency ratio.

Focus on health insurance

OIC aims to deepen retail penetration by making health insurance accessible, and is focusing on strengthening provider networks, introducing preferential and standardised package rates, enabling faster and seamless cashless services, tightening fraud and leakage controls, expanding digital capabilities and improving grievance resolution, Joshi said. "There is a need to establish a sustainable healthcare ecosystem wherein hospitals receive fair and reasonable compensation: for quality healthcare, insurers are able to manage claims costs sustainably, and, most importantly, policyholders receive timely and quality treatment at predictable costs with minimum financial uncertainty and grievance," he said.

Health insurance coverage in India has expanded, with the share of rural people covered by at least one health insurance scheme rising to 47.4% in 2025 from 14.1% in 2017-18. Urban coverage increased to 44.3% from 19.1% over the same period.

New products, tech-led transformation "There is a need to have cost-effective insurance products to increase market penetration in the general insurance sector," Joshi said.

Also read | 7 years on, insurer ordered to pay Rs 8.06 cr to Swiss firm subsidiary in fire claim dispute

OIC is leveraging technology to improve service quality and is moving towards a scalable, secure, interoperable and API-driven technology architecture.

"We continue to strengthen digital capabilities through initiatives such as centralised litigation management, next-generation cyber security operations centre, API led system integration and enhancement of the customer portal and mobile application improving security, connectivity, efficiency and service delivery," he said.

The company also entered into the business of surety bonds with Oriental surety bond insurance cover, which caters to the requirement of bid bonds, performance bonds, advanced mobilisation bonds, retention bonds, custom bonds and court bonds.