Latest news with #FutureGenerali
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Business Standard
3 days ago
- Business
- Business Standard
Central Bank stake to double bancassurance for company: Future Generali MD
The stake acquisition by Central Bank of India in Future Generali India Insurance is expected to double sales through the bancassurance channel from the existing 6–7 per cent over the next three to five years, Anup Rau, Managing Director (MD) & Chief Executive Officer (CEO) of the company, said. 'Bancassurance typically accounts for around 6 per cent of the general insurance industry's overall business. For Future Generali also, the share of banca is currently around 6–7 per cent. The company hopes to double the share of bancassurance to total business to close to 10–12 per cent in the next three to five years,' Rau said. State-owned Central Bank of India acquired a 24.91 per cent stake in Future Generali India Insurance for ₹451 crore. The acquisition was completed on 4 June 2025 and the bank has received approval from the Competition Commission of India (CCI), Reserve Bank of India (RBI) and Insurance Regulatory and Development Authority of India (Irdai). The remaining stake is held by the Italy-based Generali Group. The bank partnership is also expected to provide access to its wide customer base and an opportunity to expand into remote and rural areas of the country, which will further boost business growth for the company. The multi-line general insurer ended the financial year 2025 with ₹5,408.16 crore in gross written premium, which it targets to grow to ₹10,000 crore by FY30. 'We will grow faster than the industry. If the industry is going to grow at 10–12 per cent, we will go higher. Among the top 10 players, we were the third fastest growing last year. The Central Bank makes it possible for us to reach remote corners of the country and having a brick-and-mortar structure makes it possible to penetrate the smallest panchayat. I think we'll continue to be among the fastest growing ones. We aim to touch the ₹10,000 crore premium mark by FY30,' Rau said. The insurer recorded 10 per cent growth in FY25, outperforming the industry, which grew 6.5 per cent during the year amid the new accounting norms and muted performance in the health and motor segments. Going forward, the company aims to maintain above-industry growth, even as the sector continues to adjust to revised accounting practices.
Yahoo
30-06-2025
- Business
- Yahoo
Central Bank of India forms joint venture tie-up with Generali
Central Bank of India (CBI), a public sector bank, has announced a joint venture partnership with Italian insurer Generali. Earlier in June 2025 the state-owned bank acquired a 25.18% equity stake in Future Generali India Life Insurance Company Limited (FGILICL) and a 24.91% stake in Future Generali India Insurance Company Limited (FGIICL). The collaboration aims to strengthen Generali's brand positioning and distribution capabilities in both life and property and casualty (P&C) insurance segments in India. Under the shareholders agreement, both parties have rights to nominate directors, a first right to share subscription in case of new share issuances, and influence over changes in capital structure and certain day-to-day operations of FGILICL. Central Bank of India has also granted Generali a non-exclusive, revocable, non-transferable, and non-assignable licence to use its trademarks under a trademark licence agreement for ten years. A distribution agreement (DA) appoints Central Bank of India as a corporate agent for FGILICL to solicit and procure insurance business. The agreement spans six years, with renewal provisions every three years thereafter. Generali Group Asia regional officer Rob Leonardi said: 'This partnership is a strong vote of confidence in our business in India. Working with Central Bank of India is an opportunity to go from strength to strength in an important growth market for Generali and comes at a good time on the back of the launch of our new strategic plan. 'Our combined strengths have the potential to carry our Lifetime Partner proposition to new heights – from better brand recognition to enhanced distribution capabilities, all supported by our strong strategy.' Set up in 1911, Central Bank of India is a public sector bank with more than 4,500 branches serving more than 80 million customers. "Central Bank of India forms joint venture tie-up with Generali " was originally created and published by Life Insurance International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Time of India
04-06-2025
- Business
- Time of India
Cap on management expenses leading to recalibration of business: Future Generali CEO
MUMBAI: The Insurance Regulatory and Development Authority of India (IRDAI) capping management expenses at 30% of premium income is prompting insurers to recalibrate their business mix according to Anup Rau, CEO of Future Generali India Insurance. In an interview with TOI, Rau was clear-eyed about the challenges and opportunities presented by regulatory change. 'One of the things that has happened in wholesale health is a softening of rates,' Rau noted. 'That's partly because of the new expenses of management regulation. People want to write more low-commission business to be able to grow their retail book. So they're being more aggressive on pricing in group health to create headroom. ' 'In balance, it's a good regulation. Eventually, it ensures that customers get better value,' said Rau. For Future Generali, the company's focus remains squarely on retail health. 'There's still headroom for growth in retail. We've grown at twice the pace of the industry and will continue to invest in that,' he said. The company has also reined in its exposure to crop insurance, which previously accounted for a quarter of its business. That line is now under 10%. 'We've reduced crop as a precaution. The model does not leave enough room to manage risks effectively,' he explained, referring to the so-called 'cup-and-cap' framework, where profits are clawed back and losses subsidised which distorts pricing incentives. According to Rau, while there is a proposal to allow composite insurance companies, there are strong benefits in being a specialised insurance company. 'My personal view is that if you want to grow your business and be a player of consequence and size, you are better off having two separate companies'. Rau provided the example of standalone health companies that have grown faster than industry. 'Most of the market is dominated by standalone health companies,' Rau said. 'They have the distribution arbitrage. They can tap any life agent without having to license them.' Rau believes Future Generali's differentiated proposition lies in its claims execution and investment in backend systems. 'We are not the cheapest. Our proposition is that we settle claims fairly and quickly,' he said. 'We don't offer the highest commissions or lowest prices. We offer the best claims experience we can.' This operational focus underpins the company's support for Bima Sugam , a digital platform under development by the industry. Rau is optimistic about its potential. 'Bima Sugam has a lot of potential beyond selling,' he said. 'It can make the ecosystem more efficient and the environment more enabling.' In his view, the platform's greatest value lies in shared infrastructure. 'Measures like common enrolments of hospitals and a common provider network can help the council negotiate rates on behalf of the industry. That will deliver better value to the customer.' He pointed to the unregulated nature of private healthcare pricing as a problem. 'Hospitals don't have a regulator. There's still a vast difference in the claimed amount between a person who has insurance and someone who doesn't. A unified platform can solve a lot of these issues.' According to Rau there would still be differentiated products and specialised agents. 'Agents may use the platform, but they'll also pick and choose companies they are comfortable with. They want access to management, confidence in claims processes, and a good understanding of the products.' He argues that the real transformation lies not at the customer interface, but in the infrastructure beneath it. 'The front end gives the customer more options, but customers still want advice and handholding,' he said. 'The real diamond is a solid backend that gets the entire ecosystem to engage better. That's the game changer.' Rau offered a practical vision of how this might work. 'An agent can sell a product on the Bima Sugam portal, register a claim, access the network and bills—all through the same system. It would significantly improve the customer experience. Historically, shared backends have been more successful than front ends—look at mutual fund platforms or Vahan.' Such platforms could include features like real-time updates, hospital networks, procedure tracking, agent locators, and surveyor rankings. 'People talk a lot about the front end, but if we can get the backend right, it can really improve the experience for all stakeholders,' he said. Future Generali is investing accordingly. 'We are changing our core system and building capabilities around it,' Rau said. But he pushed back against the notion that technology brings cost savings. 'People think tech leads to savings—whether manpower or other costs. It doesn't. Technology costs money. It costs even more to keep it running. Skilled people are costly and constantly in flux.' Despite this, he sees value in what digitalisation enables. 'Volumes, complexity, better decision-making—that's all real,' he said. 'But even things like AI-generated suggestions can be annoying. I keep clicking 'no' to co-pilot prompts.' New models in the health ecosystem like managed healthcare being tried by newcomers are welcome, Rau added. 'These experiments are good. The industry needs to test hypotheses and see how they play out. If successful, they could move the needle not just for the company but for the entire sector.' Future Generali is running AI and chatbot pilots across all personal lines. 'This is not just for health, but across the board,' he said. The company's operational metrics back its strategy. With a solvency margin of 196% and one of the best combined ratios in the sector, it has sustained profitability despite limited capital infusions since 2019. 'The combined ratio is one of the best in the industry, despite our smaller scale. We've grown faster than the industry and intend to maintain that pace,' Rau said. The insurer has moved up the league tables too. 'From being ranked between 13 and 17 in 2018, Future Generali is now among the top 10 general insurers,' Rau said. 'We will continue to grow faster than the industry. We may not always know our exact position, but we will grow our market share.' 'Our CAGR over the last five years has been 21%, compared to the industry's 15%,' he noted. 'We've tripled our top line in the last six years, excluding crop insurance.' Future Generali's emphasis is not on scale alone, Rau concluded, but on execution. 'In general insurance, unlike life, the difference in scale between the top player and number ten is not big,' he said. 'We see a clear path to grow our presence and penetrate deeper into retail health.' Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Mint
23-05-2025
- Business
- Mint
Future Generali unveils ‘Health Unlimited' with lifetime unlimited coverage. Details here
With health inflation continuing to rise, insurers are regularly coming up with new plans that offer some succour for customers. Future Generali India has launched 'Health Unlimited', which offers the customer a once in a lifetime benefit of unlimited coverage that will pay for the full cost of any one claim, irrespective of the sum insured, among other benefits. The plan also offers 'Unlimited Restoration of the Sum Insured' starting from the second claim. 'Health Unlimited' comes with an inflation guard that provides annual enhancement of the sum insured to cover rising medical expenses, a premium payback wherein a discount in renewal premium that is equivalent to the first-year base premium is provided in the fifth year if there is no claim in the preceding four years and unlimited refills through which the base sum insured gets refilled unlimited times from the second claim. 'Rising cost of medical treatment is a cause of concern for a vast majority of people in India, despite having a health cover. Our comprehensive health insurance offering, 'Health Unlimited', will ensure that our customers do not run out of cover even during the times of higher bills, irrespective of their sum insured getting exhausted,' said Anup Rau, Managing Director and CEO, Future Generali India Insurance Company. More than eight out of every ten insured feel unsure about the efficacy of their health cover amid soaring medical costs, according to a survey by Future Generali India Insurance. This survey, which was recently conducted on 800 insured individuals who are more than 25 years old, revealed rising concerns about the adequacy of current health insurance coverage. Three out of four insured individuals in India worry about the sufficiency of their health insurance, the survey found. When faced with a claim, two out of every three individuals feel insecure and inadequately covered as they encounter unexpected bills, it revealed. 'Nine out of ten health insurance policyholders feel that recharge of sum insured is a key benefit,' the survey said. India had one of the highest medical inflation rates among Asian countries in 2021. India's medical inflation was around 14% surpassing China (12%), Indonesia (10%), Vietnam (10%) and Philippines (9%), Future Generali said. Future Generali's new plan also offers other benefits like wellness discounts, cumulative bonus for every claim free year, additional sum insured for accidental hospitalisation, no sub-limits for services like cataract surgery and LASIK procedure, road ambulance and complementary health check-ups. 'Health Unlimited' covers in-patient hospitalisation, day-care treatments, AYUSH treatments, referring to the coverage for traditional Indian systems of medicine, including Ayurveda, Yoga, Unani, Siddha, and Homeopathy, pre- and post-hospitalisation expenses, organ donor costs, and modern treatment methods. Allirajan M is a journalist with over two decades of experience. He has worked with several leading media organisations in the country and has been writing on mutual funds for nearly 16 years.
