ICICI Securities: Tracking Performance Of New Age Insurers

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.We compare the performance of new age digital insurers Go Digit General Insurance Ltd. (GO) and Acko General Insurance (Acko). Both GO and Acko started in FY18.Overall gross direct premium income market share of GO/Acko is approximately 1%/0.2% as of FY20.Go Digital General Insurance has been able to gain 3.9/2.1% market share in motor third party/own damage as of August 2020, higher than 0.4/0.3% market share in motor own damage/third party for Acko General Insurance in August 20, respectively.Despite higher share of direct mix, market share of Go Digital General Insurance is up 35 basis points and for Acko General Insurance there has been a decline of 2 basis points in 5M FY21 to-date on a YoY basis.Also as per Google trend results, established market leaders remain very popular compared to new players.This is despite significantly high marketing budget (advertisement and sales promotion expenses were 20/28% of GDPI for GO/Acko compared to 7.8% for ICICI Lombard General Insurance Company Ltd. in FY20).We wonder whether rise of digital platforms help traditional insurers better compete with new age insurers..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Securities: Tracking Performance Of New Age Insurers

ICICI Securities: Tracking Performance Of New Age Insurers

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