Thursday November 5, 04:20 PM

Bharti Axa to double gen insurance premium income

MUMBAI (Reuters) - Bharti Axa General Insurance Co Ltd expects to double premium income to 2.3 billion rupees in the year to March 2010, its top official said.

The firm is a joint venture between India's Bharti Group and France's Axa.

Retail business comprising motor, health, personal accident, home and shop insurance, currently accounts for 60 percent of the company's premium income, said Kimsoon Chua, chief operating officer, Bharti Axa General Insurance.

The contribution of rural business is around 20-25 percent, Chua said.

"In the next two years we are planning to grow health premium income to 20 percent of total premium income, from 5 percent now," he said.

It also expects founders to bring in additional capital to take its paid-up capital to 6.45 billion rupees in next 5 years to meet expansion targets, Chua said.

The venture, 74 percent owned by Bharti group and 26 percent by Axa group, currently has a paid-up equity capital of 2.30 billion rupees, he added.

It is planning to expand in smaller cities to tap the retail market, he said.

The company, currently present in 55 locations, plans to expand its presence to 100 locations by 2009-end and grow its number of agents to 3,000, from 1,700 now, the official added.

(Reporting by Tamajit Pain; Editing by Prem Udayabhanu)

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