'Product & channel diversification key to reduce distribution costs'

SBI General Insurance has clocked the premium growth 1.7 times the non-life insurance industry in the first nine months of the current fiscal.

- @ NAVEEN CHANDRA JHA, MD & CEO, SBI GENERAL INSURANCE

Managing Director and CEO Naveen Chandra Jha tells Narayanan V in an interview about the segments contributing to the growth, industry’s high distribution costs and focus areas. Excerpts:

How is the insurance portfolio doing post GST rate cut?

The GST cut is a positive step, and in many ways, a potential game changer. You can already see its impact in the kind of growth the industry has seen in health insurance in Q3. The momentum in retail health has accelerated after the GST rationalisation. In the last three months, our retail health segment grew 44%, compared to the 30% range earlier. On the product side, we responded quickly by launching Health Alpha, designed to be simple and flexible. We have opened 30 health branches in Telangana and Andhra Pradesh, which we see as underpenetrated markets. Health remains our most focused segment, and we are committed to sustaining this growth by combining relevant products, strong claims experience, and deep distribution reach.

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