Mumbai: Canara HSBC Oriental Bank of Commerce Life Insurance Company Limited announced their financial results for the financial year 2016-17 reporting a net profit of Rs 111 crore in its 9th year of operations, thereby, maintaining more than Rs 100 crore profits consistently for the 3rd consecutive year.
Key Highlights 2016-17:
– 39% growth in retail on weighted premium income (WPI) from the previous financial year (Retail business on weighted premium income is at Rs 613 crs against Rs 442 crs in the previous financial year). This is a step towards the company’s vision of 1% penetration of customer base of the distributor banks & 1 million customers by the year 2020.
– 9% growth in renewal business from Rs 1201 crs in 2015-16 to 1312 crs in 2016-17
– The company has improved its persistency to 83% at a portfolio level.
– The company maintains its operating expense ratio at 14%
– AUM (Assets under management) stood at ~ Rs 11,280 crs as on March 31, 2017. All funds have generated significantly higher returns vs their benchmarks.
– Claims settlement ratio is of 95.53% in FY 17 against 92.99% in FY16
During the year, the company had launched 8 new products catering to multiple customer needs spanning across retirement accumulation and guaranteed lifetime income, savings for child education, comprehensive protection through online and offline plans, savings for multiple needs through guaranteed endowment, and customized investment solution for high net worth individuals. The company’s product portfolio is complete with range of products providing solutions across all customer segments and channels.
Announcing the Company’s financial results, Anuj Mathur, Chief Executive Officer, Canara HSBC Oriental Bank of Commerce Life Insurance said, “I am delighted to announce that our Company continues on a profitable growth trajectory. With the support of all our shareholders, we continue to progress towards providing life insurance solutions to the bank customers. We are positive about the opportunity that the country provides and are taking steps to ensure that we provide customized solutions to each customer segment. We are targeting a growth upwards of 30% for the year and are confident of the continuing support from the customers & stakeholders.”
Mathur further added, “We operate our business on the core philosophy of ‘Treating customers fairly’. This ensures that the Customer will always be first in every initiative that we take. We remain committed to enhancing the policyholder wealth and financial security through consistent and steady long term performance. Our processes are designed to provide our customers a hassle-free claims experience and we are committed to provide the best in class service experience. Financial inclusion is an important agenda of the Government of India. Through the distribution strength of three partner banks, we have been able to reach out to the customers in tier 2 & 3 cities and we continue to expand business growth in these cities.”