MIRA
INFORM REPORT
|
Report Date : |
14.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
BAJAJ ALLIANZ GENERAL INSURANCE COMPANY LIMITED |
|
|
|
|
Registered
Office : |
Ge Plaza, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
19.09.2000 |
|
|
|
|
Com. Reg. No.: |
11-015329 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.1102.273 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U66010PN2000PLC015329 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
PNEB02323G |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCB5730G |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is in the business of underwriting general insurance policies relating to fire, marine and miscellaneous segments. |
|
|
|
|
No. of Employees
: |
Information denied by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (76) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
Maximum Credit Limit : |
USD 50212000 |
|
|
|
|
Status : |
Excellent |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is a well-established and reputed company, it is one of the
strongest players in the global insurance industry having fine track record. Financial position of the company is sound and healthy. Fundamentals
of the company’s are strong. Trade relations are reported as fair. Business is active. Payments
terms are reported to be regular and as per commitment. The company can be considered good for normal business dealings at
usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like messaging
service Weibo Corporation has filed to raise $ 500 million via a US initial
public offering. Alibaba, which owns a stake in Weibo is expected to raise
about $ 15 billion New York this year in the highest profile Internet IPO since
Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation
raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon
rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Claims Paying Ability (IAAA ) |
|
Rating Explanation |
This rating indicates highest claims paying ability
of the company and fundamentally strong position. |
|
Date |
March, 2014 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DENIED
MANAGEMENT NON CO-OPERATIVE (91-20-66026666)
LOCATIONS
|
Registered/ Head Office : |
Great Eastern Plaza, 1st Floor, Airport Road, Yerawada, Pune –
411006, Maharashtra, India |
|
Tel. No.: |
91-20-66026777/ 6666 |
|
Fax No.: |
91-20-66026789/ 6667 |
|
E-Mail : |
milind.choudhary@bajajallianz.co.in
nitin.satarkar@bajajallianz.co.in |
|
Website : |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Sanjiv Bajaj |
|
Designation : |
Director [Also MD, Bajaj Finserv Limited, Bajaj Holdings and Investment
Limited] |
|
|
|
|
Name : |
Mr. Rahul Bajaj |
|
Designation : |
Chairman [Also Chairman, Bajaj Auto Limited, Bajaj Finserv Limited,
Bajaj Holdings and Investments Limited] |
|
|
|
|
Name : |
Mr. Niraj Bajaj |
|
Designation : |
Director [Also Chairman and MD, Mukund Limited] |
|
|
|
|
Name : |
Mr. Ranjit Gupta |
|
Designation : |
Director [Also President (Insurance), Bajaj Finserv Limited] |
|
|
|
|
Name : |
Mr. Manuel Bauer |
|
Designation : |
Director [Also Member of the Board of Management, Growth Markets,
Allianz SE] |
|
|
|
|
Name : |
Mr.
Kamesh Goyal |
|
Designation : |
Director
[Head Global Planning and Controlling Allianz SE] |
|
|
|
|
Name : |
Tapan Singhel |
|
Designation : |
Managing Director and CEO (w.e.f. 1st April 2012) |
|
|
|
|
Name : |
Mr. Dipak Poddar |
|
Designation : |
Director [Also Executive Chairman, Poddar Developers Limited] |
|
|
|
|
Name : |
Mr. Sanjay Asher |
|
Designation : |
Director [Also Partner, Crawford Bayley and Company] |
|
|
|
|
Name : |
Mr. Suraj Mehta |
|
Designation : |
Director [Also Former CEO, Nabil Bank Limited] |
|
|
|
|
Name : |
Mr. S. H. Khan |
|
Designation : |
Director [Also Former Chairman, IDBI Limited] |
|
|
|
|
Name : |
Mr. Manu Tandon |
|
Designation : |
Director [Also Former MD, Elantas Beck India Limited] |
KEY EXECUTIVES
|
Name : |
Mr. Milind Choudhari |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Dr. (Mrs.) Asha Joshi |
|
Designation : |
Appointed Actuary |
|
|
|
|
Name : |
Mr. Onkar Kothari |
|
Designation : |
Company Secretary and Compliance Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2013
|
Names of Shareholders |
No. of Shares |
% of Holding |
|
Promoters |
|
|
|
Indian |
|
|
|
Bajaj Finserv Limited |
81568168 |
74.00 |
|
Foreign |
|
|
|
Allianz SE |
28659085 |
26.00 |
|
|
|
|
|
Total |
110227253 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is in the business of underwriting general insurance policies relating to fire, marine and miscellaneous segments. |
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management |
|
|
|
|
Bankers : |
Standard Chartered Bank |
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name 1 : |
BSR and Company Chartered Accountants |
|
|
|
|
Name 2 : |
Kirtane and Pandit Chartered Accountant |
|
|
|
|
Holding Company : |
¨ Bajaj Finserv Limited |
|
|
|
|
Group Association : |
¨ Bajaj Finserv House Owners Association |
|
|
|
|
Group Company : |
¨ Bajaj Auto Limited ¨ Bajaj Holdings and Investments Limited ¨ Bajaj Allianz Financial Distributors Limited ¨ Bajaj Electricals Limited ¨ Bajaj Finance Limited ¨ Bajaj Allianz Life Insurance Company Limited ¨ Bajaj Financial Solutions Limited ¨ Allianz Cornhill Information Services Private Limited. ¨ Allianz Insurance Management Asia Pacific ¨ Allianz Insurance Co Lanka Limited ¨ Allianz Investment Management Singapore Pte ¨ AGCS Marine Insurance Company ¨ Allianz Global Risks US Insurance Company ¨ Allianz Global Corporate and Speciality AG, Canada ¨ Allianz Global Corporate and Speciality AG, SpainGroup ¨ Allianz Global Corporate and Speciality AG, UK ¨ Allianz Global Corporate and Speciality AG, Netherlands ¨ Allianz Global Corporate and Speciality AG, Italy ¨ Allianz Global Corporate and Speciality AG, Australia ¨ Allianz Global Corporate and Speciality AG, Switzerland ¨ Allianz Global Corporate and Speciality Denmark - Nordic Region ¨ Allianz Global Corporate and Speciality – Malaysia ¨ Insurance Joint Stock Company Allianz Russia ¨ Allianz Global Corporate and Speciality AG, Munich ¨ Allianz AG Reinsurance, branch Asia Pacific ¨ Allianz Hongkong - Name changed from Allianz China ¨ Allianz Marine and Aviation Versicherungs AG ¨ Allianz Ins Company of Singapore – PTE ¨ 36 Allianz Belgium ¨ Allianz Elementar Versicherungs – Austria ¨ Allianz Global Corporate and Speciality – France ¨ AGA International S.A ¨ Allianz Risk Transfer AG ¨ Euler Hermes Deutschland [Formerly known as Euler Hermes Cr Insurance (S) Limited.] ¨ Allianz CP General Ins Company Limited ¨ PT ASURANSI Allianz Life Indonesia ¨ Allianz Risk Consultants, LLC ¨ Allianz Services (UK) Limited ¨ Allianz Global Corporate and Speciality AG Singapore ¨ Allianz Managed Operations and Services SE ¨ Allianz China General Insurance Company Limited ¨ AGA Assistance (India) Private Limited ¨ AGA Services (India) Private Limited ¨ Euler Hermes Services India Private Limited ¨ Allianz Insurance Company Egypt (Non-Life) ¨ AZT Automotive GMBH |
|
|
|
|
Enterprise where
key mgmt. personnel is having significant influence : |
¨ Mukand Engineers Limited ¨ Mukand Limited ¨ Hind Musafir Agency Limited |
|
|
|
|
Shareholder : |
¨ Allianz SE, Germany |
|
|
|
|
Subsidiary of Joint
Venture Partner : |
¨ Allianz SE India Liaison Office |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
125000000 |
Equity Shares |
Rs.10/- each |
Rs.1250.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
110227250 |
Equity Shares |
Rs.10/- each |
Rs.1102.273 Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
SHAREHOLDERS FUNDS |
|
|
|
|
Share Capital |
1102.273 |
1102.273 |
1102.273 |
|
Reserves and Surplus |
11450.790 |
8499.988 |
7263.447 |
|
Fair Value Change Account |
-- |
(15.007) |
(9.666) |
|
Borrowings |
-- |
-- |
-- |
|
Total |
12553.063 |
9587.254 |
8356.054 |
|
|
|
|
|
|
APPLICATION OF
FUNDS |
|
|
|
|
|
|
|
|
|
Investments |
47130.849 |
38656.891 |
33094.874 |
|
Loans |
-- |
-- |
-- |
|
Fixed Assets |
|
|
|
|
Gross Block |
4395.789 |
3351.292 |
2826.456 |
|
Less:- Accumulated Depreciation |
1589.530 |
1454.846 |
1367.694 |
|
Net Block |
2806.259 |
1896.446 |
1458.762 |
|
Capital Work In Progress including Capital advances |
2841.335 |
2080.825 |
101.971 |
|
|
2841.335 |
2080.825 |
1560.733 |
|
Deferred Tax Asset |
407.070 |
376.010 |
417.520 |
|
Current Assets |
|
|
|
|
Cash and Bank Balances |
11316.053 |
8926.625 |
6655.917 |
|
Advances and Other Assets |
3677.160 |
3749.648 |
2736.575 |
|
Sub-Total (A) |
14993.213 |
12676.273 |
9392.492 |
|
|
|
|
|
|
Current Liabilities |
34.755 |
29.084 |
23104.101 |
|
Provisions |
18063.910 |
15118.500 |
13005.464 |
|
Sub-Total (B) |
52819.404 |
44202.745 |
36109.565 |
|
Net Current Assets (C) = (A - B ) |
(37826.191) |
(31526.472) |
(26717.073) |
|
Miscellaneous Expenditure |
-- |
-- |
-- |
|
Total |
-- |
-- |
-- |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
|
|
|
|
|
Operating Profit/ (Loss), as per Revenue Accounts of |
|
|
|
|
|
(a) Fire Insurance Business |
1132.012 |
542.760 |
372.386 |
|
|
(b) Marine Insurance Business |
205.638 |
152.611 |
99.468 |
|
|
(c) Miscellaneous Insurance Business |
1982.882 |
480.513 |
(493.357) |
|
|
|
3320.532 |
1175.884 |
(21.503) |
|
|
Income From Investments |
|
|
|
|
|
(a) Interest, Dividends and Rent -Gross |
831.906 |
722.120 |
626.032 |
|
|
(b) Amortisation of Discount/(Premium) |
22.020 |
25.391 |
2.572 |
|
|
(c) Profit on sale/redemption of investments |
18.851 |
5.624 |
15.211 |
|
|
Less:- (Loss) on sale/redemption of investments |
(26.956) |
(7.508) |
(10.795) |
|
|
|
845.821 |
745.627 |
633.020 |
|
|
Other Income -
Miscellaneous Income |
61.345 |
32.110 |
26.003 |
|
|
Total(A) |
4227.698 |
1953.621 |
637.520 |
|
|
|
|
|
|
|
|
Provisions (Other than taxation) |
|
|
|
|
|
(a) For diminution in the value of
investments |
-- |
-- |
-- |
|
|
(b) For doubtful debts |
1.478 |
(0.669) |
3.282 |
|
|
(c) Others (to be specified) |
-- |
-- |
-- |
|
|
Other Expenses |
|
|
|
|
|
(a) Expenses other than those directly related to the insurance
business |
10.804 |
14.398 |
15.104 |
|
|
(b) Bad debts written off |
-- |
-- |
-- |
|
|
(c) Preliminary Expenses written off |
-- |
-- |
-- |
|
Less |
Total (B) |
12.282 |
13.729 |
18.386 |
|
|
|
|
|
|
|
|
Profit before tax |
4215.416 |
1939.892 |
619.134 |
|
Less |
Provision for taxation |
|
|
|
|
|
Current Tax |
1295.674 |
661.841 |
225.451 |
|
|
Deferred Tax expense |
(31.060) |
41.510 |
(39.040) |
|
|
|
1264.614 |
703.351 |
186.411 |
|
|
Profit after |
295.802 |
1236.541 |
432.723 |
|
|
Profit available for appropriation |
2950.802 |
1236.541 |
432.723 |
|
|
Appropriations |
-- |
-- |
-- |
|
|
Balance of Profit brought forward last year |
6833.791 |
5597.250 |
5164.527 |
|
|
Balance carried forward to Balance Sheet |
9784.593 |
6833.791 |
5597.250 |
|
|
Earnings per Share: Basic |
26.77 |
11.22 |
3.93 |
LOCAL AGENCY FURTHER INFORMATION
NOTE: Current
Maturities of Long Term Debts is Not Available.
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
Yes |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if
applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
No |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
LITIGATION DETAILS
|
HIGH COURT OF
BOMBAY |
|
CASE DETAILS BENCH: BOMBAY |
|
Presentation
Date:- 05.05.2014 |
|
Lodging No.:- ITXAL/924/2014 Filing Date:- 05.05.2014 |
|
Petitioner: THE COMMISSIONER OF INCOME TAX-I, PUNE Respondent: BAJAJ ALLIANZ
GENERAL INSURANCE
COMPANY LIMITED Petn. Adv : ATUL KARSANDAS JASANI (33) District: PUNE |
|
Bench: DIVISION Status: Pre-Admission
Category: TAX APPEAL Last Date: 09.06.2014
Stage: Last Coram: REGISTRAR(OS)/PROTHONOTARY
AND SR. MASTER |
|
Act: Income Tax Act, 1961 UNDER SECTION: 260A |
INDEX OF CHARGES
No Charges Exist for Company
BACKGROUND
The company was incorporated on 19th September 2000, as a company under the Companies Act, 1956 (‘the Act’). The Company is registered with Insurance Regulatory and Development Authority (‘IRDA’) and is in the business of underwriting general insurance policies relating to fire, marine and miscellaneous segments. The IRDA renewed the Company’s certificate of registration to sell general insurance policies in India for the year 2012-13 vide its certificate of Renewal of Registration dated 08th February 2013. The renewal certificate is with effect from 1st April 2013 and is valid up to 31st March 2014.
GENERAL INSURANCE IN INDIA
Gross direct
premiums (GWP) of the industry, excluding the specialised insurers, have grown
from Rs. 148.7 billion in FY 2002-03 to Rs.629.3 billion in FY 2012-13 with a
10-year CAGR of around 15.5%. Nevertheless, penetration of general insurance as
a percentage of GDP and per capita spend on general insurance remains small in
relation to other emerging markets as well as developed markets. Based on the
latest available data from the IRDA Annual report 2011-12, as of December 2011,
the general insurance penetration was 0.7% of GDP which has increased only
slightly from the figure of 0.62% recorded in 2003. Similarly, per capita spend
on insurance in India was only US$ 10 as of 2012, which is one of the lowest
amongst comparable emerging economies.
Although real GDP
growth estimates in the near term have been lowered to between 5% and 6%, the
low penetration indicates vast potential as the industry seeks to make general
insurance available to larger segments of the population. The challenge before
insurers is to find ways of reaching out to the uninsured and under insured in
a profitable manner.
The gross direct premium
income of the entire industry was Rs. 629.3 billion for the year 2012-13.
During the year 2012-13, the industry grew by 19.0%. Table 1 gives a snapshot
of industry growth during 2012-13.
MOTOR THIRD PARTY INSURANCE
The Insurance
Development and Regulatory Authority (IRDA), which regulates the sector in
India, had disbanded the Indian Motor Third Party Insurance Pool (IMTPIP) with
effect from 1st April 2012. IRDA had provided insurers with an option of
absorbing their share of losses altogether or to amortize the same over three
years. The Company had chosen the option of amortizing the losses over three
years, as a consequence of which, provisions were made for losses amounting to
Rs.1.2 billion during the year. The balance amount of Rs. 1.2 billion will be
absorbed in 2013-14. During FY 2012-13, additional liability on unearned
premium of 2011-12, pertaining to the IMTPIP, of Rs.1.15 billion (along with
interest and other components) was also provided for.
In replacement of
the IMTPIP, IRDA notified a new Declined Risk Insurance Pool for covering
losses arising out of mandatory third party insurance of commercial vehicles,
with effect from 1st April 2012. The major features of the Declined pool are
It applies only to
pure standalone third party insurance risks of commercial vehicles as opposed
to all third party risks of such vehicles under the erstwhile IMTPIP.
The ceding Company
has to retain 20% of the risk on its books, cede 10% to the national insurer,
General Insurance Corporation of India, as per the obligatory cessions in force
and cede the balance 70% to the declined risk pool.
Each Company has
the option to retain such business in its books and only risks that do not meet
pre-determined underwriting criteria may be ceded to the pool.
Each Company is
required to write a minimum “quota” of the statutory third party commercial
vehicle insurance determined as the average of the insurer’s aggregate market
share from all lines of business and its market share from motor business.
Only companies
which have a shortfall in writing their minimum “quota” will share in the
losses of the Pool.
As compared to the
IMTPIP, the Declined risk insurance pool is much smaller in size. Only
companies which do not meet their quota need to share in the losses from the
Declined pool while under the IMTPIP all member companies had to bear the
losses in proportion to their market share.
The Company wrote
Rs. 960.000 million of stand-alone commercial vehicle third party premium as
against approximately Rs 1010.000 million of business it was required to write
under the quota set by the Declined risk pool. Thus, the shortfall of
approximately Rs. 50.000 million may have to be accepted from the Declined Risk
pool. The Company has absorbed a provision of Rs. 55.000 million towards its
expected share of losses from the Declined Risk Pool based on pool accounts up
to 31st December 2012.
The decision of
IRDA to index the future annual increases in Motor third party premium is a
much needed move which paved the way for reducing the mounting pool losses for
the industry. Effective from 1st April 2013, IRDA has increased the
Motor third party premium rates by up to 20%.
BUSINESS PERFORMANCE DURING THE YEAR
The focus of the
Company continued to be on growth with profitability during the year 2012-13 as
well. The Company’s gross written premium, excluding inward business from the
Motor Pool, grew from Rs 33376.000 million in 2011-12 to Rs. 40626.000 million
in 2012- 13, which is an increase of 21.7%. The combined ratio, excluding
losses from the motor pool, stood at 93.4% as against 96.1% recorded in 2011-12
and, including the pool losses, the ratio improved from 107.2% in 2011-12 to
101.9% in 2012-13. In a market that is highly competitive, this is one of the
best combined ratios and a vindication of the Company’s strong underwriting
focus and cost management skills.
The net earned
premium during the year excluding the inward premium from the motor pool was Rs.
27085.000 million as against Rs. 21995.000 million in the previous year, a
growth of 23.4%.
The Company
continued to retain the second position in the private sector with a market
share of 6.4% as against 6.3% during the previous year. The Company continues
to pursue efforts to retain renewal business, without compromising quality of
risk and minimum profitability benchmarks, while reinforcing the customer’s
faith in the Company’s service. During the year, the Company sold over 6.5
million policies. The number of claims reported in 2012-13 was 583,117 as
against 547,464 reported for the previous year.
UNDERWRITING RESULTS
The Company
recorded an underwriting profit before considering share of losses from the
motor pool of Rs.1801.000 million (previous year profit Rs. 860.000 million).
After considering the share of losses from the motor pool, the Company recorded
an underwriting loss of Rs.549.000 million as against a loss of Rs. 1778.000
million in the previous year.
RECOGNITION AND AWARDS
The Company won
three awards as “the Best General Insurance Provider” at the CNBC TV18 India’s
Best Bank and Financial Institution Awards for the second consecutive year,
“Bloomberg UTV Financial Leadership Awards 2012” and “the Money Today FPCIL
Awards 2012”. The Company also won the “Excellence in Employee Engagement”
award for 2012 amongst all global affiliates of Allianz SE.
In addition to
this, Mr. Tapan Singhel, Managing Director and Chief Executive Officer, was
conferred with the IPE BFSI Leader Award in the insurance category and was also
presented with the Thought Leader Award by the Global Change Management and
Leadership Forum.
FIXED ASSETS
œ Goodwill
œ Intangibles -Computer Software
œ Land-Freehold
œ Leasehold Improvements
œ Freehold Improvements
œ Building
œ Furniture and fixtures
œ Information Technology Equipment
œ Vehicles
œ Office Equipment
PRESS RELEASES
Bajaj Allianz grows 16% in Bengal, surgical policy unveiled
April 22, 2014
The policy assures a guaranteed benefit sum depending on the surgical treatment
that is graded based on the costs and covers almost 600 surgeries.
Private general insurer Bajaj Allianz today said the Kolkata region has grown 16 percent in 2013-14 with a total premium of Rs 2900.000 millions and hopes to do better this fiscal with new products being rolled out.
"This region has grown 16 percent in 2013-14 with total premium of Rs 2900.000 millions. We hope to grow by 20 percent this fiscal fuelled by new products," company regional manager Debojit Roy said today while unveiling Surgical Protection plan.
The policy, a first of its first was conceived when it was found that calims after surgery account for nearly 54 percent of the total claims and also surgically managed cases cost 83 percent more over the medically managed cases. Roy said the product is cheaper compared to tradional health cover policies by 35-40 percent.
Also read: Bajaj Allianz Life pays claims worth Rs 6510.000 millions in FY14
The policy assures a guaranteed benefit sum depending on the surgical treatment that is graded based on the costs and covers almost 600 surgeries.
It offers 11 plans with sum insured ranging from Rs 0.100 to Rs 1.000 millions. The policy also offers add-on covers like hospital cash, critical illness and personal accident cover.
It grades surgeries on a scale of one to five based on the varying cost involved for the treatment and benefit is given based on grades.
Bajaj Allianz Life pays claims worth Rs 6510.000 Millions in FY14
April 22, 2014
Mumbai, Bajaj Allianz Life Insurance today said it has settled more than 1 lakh claims during the last financial year and paid claims worth around Rs 6510.000 millions.
“We focused on digitising the claim settlement process and started image-based documentation at various branch offices. This helped claimants get faster response,” Bajaj Allianz Life Insurance Head (Claims) P Ravi Kutumbarao said in a release here. The private insurer settled more than 1 lakh claims, both individual and group, paying out Rs 651 crore, during the just concluded fiscal, it said.
The claim settlement ratio was 97.45 per cent in FY14. About 77 per cent claim proceeds were settled through electronic mode directly into the claimants’ bank account. Claims arising out of natural calamities like the last year’s floods in Uttarakhand and Himachal Pradesh were settled with minimum documents and in just two days of receiving the required documents, the release said. The company received a total of 35 claims (including accidental benefit cases) related to floods in Uttarakhand and Himachal Pradesh and paid more than Rs 7.300 millions. The Pune-based company is a joint venture between Bajaj Finserv and German insurer Allianz SE.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial Crime
:
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or investigation
registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.48 |
|
|
1 |
Rs.100.93 |
|
Euro |
1 |
Rs.80.71 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
ANK |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
76 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.