The Indian Public Sector General Insurance Companies (PSGICs) have announced a profit of Rs. 1,066 crore in the third quarter of the financial year 2024-25, marking a significant turnaround after years of financial losses. This achievement has been confirmed by reports shared by the Ministry of Finance.
Among the PSGICs, Oriental Insurance Company Ltd. (OICL) and National Insurance Company Ltd. (NICL) started reporting quarterly profits in the fourth quarter of FY 2023-24 and the second quarter of FY 2024-25, respectively.
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United India Insurance Company Ltd. (UIICL) also achieved profitability in Q3 FY 2024-25, recording its first profitable quarter in seven years. On the other hand, New India Assurance Company Ltd. (NIACL) has consistently remained profitable and continues to hold a dominant position in the market.
The government has played an important role in revitalizing PSGICs by implementing strategic reforms and introducing performance-based monitoring systems. Between 2019-20 and 2021-22, a total capital infusion of ₹17,450 crore was provided to these companies to support structural improvements, enhance operational efficiency, and restore financial stability.
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The key factors contributing to this financial turnaround include improved risk management practices, the adoption of advanced technologies, effective loss control measures, diversification of products, and enhanced customer service.
After reporting a collective loss of over ₹10,000 crore in 2022-23, the PSGICs have now collectively achieved a profit of ₹1,066 crore in Q3 FY 2024-25.
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