history of general insurance

7/27/2019 History Of General Insurance

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welcome

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THOUGHTS OF THE DAY


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Submitted To:-DR.S. A. SENTHIL KUMARAssociate professor & placementcoordinatorPondicherry University

Submitted By:-KamilRoll no. - 17MBA (IM) Ist YearPondicherry University

HISTORY OF GENERAL INSURANCE INDUSTRY


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1. Introduction

2. The pioneers

3. General insurance

4. The evolution and growth of general insurance

5. Milestones in the general insurance industry in India

6. Development in 1970

7. General Insurance business

8. Name of General Insurance Companies

4HISTORY OF GENERAL INSURANCE INDUSTRY


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Insurance is a device by means of which the

risks of two or more person or firms combined

through actual promised contribution to a fundout of which claimants are paid.

5HISTORY OF GENERAL INSURANCE INDUSTRY


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General Insurance was however acomparatively late entrant in 1850 when

Triton Insurance companyset up its basein Kolkata.

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Marine insurance was being practiced in India from the

beginning of 19th century

Offices were established in Kolkata which was the centre for

East India Company

Fire insurance followed in 1825 at Madras

Swadeshi movement also had its impact on Insurance and first

Indian Company was formed in 1907 Indian Mercantile

Insurance Company

Need to control insurance business was felt by the British

government which introduced the Insurance Act in 1938 and

Insurance Rules in 1939 7


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Insurance has been known to exist in some form

or other since then 3000 BC. The Chinese

traders, would distribute their goods amongseveral vessel sailing over the river rapids. The

Great Fire of London in 1666, in which more than

13000 houses were lost, gave a boost to

insurance and the first Fire Insurance Company,called the Fire Office was started in 1680.

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1907 - The Indian Mercantile Insurance Ltd. set up, the first

company to transact all classes of general insurance business.

1957 - General Insurance Council, a wing of the Insurance

Association of India, frames a code of conduct for ensuring fair

conduct and sound business practices.

1968 - The Insurance Act amended to regulate investments and set

minimum solvency margins and the Tariff Advisory Committee set

up.

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1972 - The General Insurance Business

(Nationalization) Act, 1972 nationalised the general

insurance business in India with effect from 1st

January 1973.107 insurers amalgamated and grouped

into four companies viz. the National Insurance

Company Ltd., the New India Assurance Company Ltd.,

the Oriental Insurance Company Ltd. and the UnitedIndia Insurance Company Ltd. GIC incorporated as a

company.

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Life Insurance business was nationalised in India in the year 1956

General Insurance business was being done by 106 companies

including LIC (GI)

On May 13th 1971 an ordinance was promulgated taking state

control of general insurance business with custodians in charge

In 1972 GI Nationalisation act was passed allowing the formation

of GIC as the holding company and with 4 subsidiaries each having

its Head Office at one metro

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1st Jan 1973 GIC and 4 companies were formed taking

in them 106 companies and the 4 PSUs were taking care

of the general insurance business in the country till 2000

totally. GIC on its own was also writing aviation andcrop business besides becoming the National & Asian

Reinsurer

The objective of nationalisation was to spread insuranceto nook and corner of the country and to utilise

peoples money for the peoples good thus uplifting the

socio economic condition of the country

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Year Business (in Crores)

1974 219.99

1975 253.75 1976 286.51

1990 2174.43

2000 10272 crores 2006 More than 20000 crores

2007 More than 24000 crores

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Name of the company YearNew India Assurance Company Limited 23.07.1919

National Insurance Company Limited 05.12.1906

The Oriental Insurance Co. Ltd. 12.09.1947

United India Insurance Co. Ltd. 18.02.1938.

Agriculture Insurance Company of India Ltd. 20.12.2000

Export Credit Gurantee Corporation 30.07.1983

Name of General

Insurance Companies

Public sector

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Name of the company Year

Bajaj Allianz General Insurance Co. Ltd. 02.05.2001

ICICI Lombard General Insurance Co. Ltd. 03.08.2001

IFFCO-Tokio General Insurance Co. Ltd. 04.12.2000

Reliance General Insurance Co. Ltd. 23.10.2000

Royal Sundaram Alliance Insurance Co. Ltd 23.10.2000

TATA AIG General Insurance Co. Ltd. 22.01.2001

Cholamandalam General Insurance Co. Ltd. 15.07.2002

HDFC ERGO General Insurance Co. Ltd. 27.08.2002

Star Health Allied Insurance Co. Ltd. 17.08.2006

Apollo DKV Insurance Co.Ltd03.08.2007

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Shriram General Insurance Company Limited 08.05.2008

SBI General Insurance Company Limited 27.09.2010

Max Bupa Health Insurance Company Limited 11.08.1947

Future Generali India Insurance Co.Ltd. 04.09.2007

Universal Sompo General Insurance Co.Ltd. 16.11.2007

Bharti AXA General Insurance Co.Ltd 27.06.2008

Raheja QBE General Insurance Company Ltd 15.12.2008

L&T General Insurance Company Limited 02.03.2000

Religare Health Insurance Company Limited 15. 07. 2000

Magma HDI General Insurance Company Ltd 2012

Liberty Videocon General Insurance Company

Limited.

1912

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REFERENCES:-

IRDA.GOV.IN

WWW.Insurance Institute of india.com

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