New India slips into red with 1,267 cr loss in Q2

New India Assurance Company reported a net loss of ₹1,267 crore in the September quarter, against a net profit of ₹63 crore in the corresponding period last year, as underwriting losses widened amid adverse claims experience in property, motor and health insurance.

Gross written premium rose 5.14% year-on-year to ₹11,083 crore from ₹10,541 crore, the state-owned general insurer said in its earnings release. "This second quarter has been one of the most challenging quarters for the company in recent times, more so while succeeding another equally challenging one for the entire industry," said Lavanya R Mundayur, chairman and managing director. "This quarter, GWP grew by only 5.14%, primarily due to the steep decline in property rates. The property segment suffered significant underwriting losses as well, due to multiple large-risk losses and flood claims in Gujarat, north India and northeast India."