SBI General Insurance expects to break-even by financial year 2015 by focusing on better underwriting practices and expanding its retail and small and medium enterprises (SME) business.
The general insurance company reported a net loss of Rs 145 crore in financial year 2013. SBI General Insurance started its operations in 2010. In FY13, the premium income stood at Rs. 771 crore, registering a growth of 208 percent.
The company provides personal accident cover to over-one crore saving bank accountholders of State Bank of India from which the company has collected Rs 98 crore premium during the financial year 2012-213.
"We are looking at controlling our loss ratios and adopting a risk-based pricing mechanism to be sustainable," said Mr. Baskar J. Sarma, MD and CEO, SBI General Insurance.
The company has launched a health insurance plan where the premium is based on the location of treatment to be availed by the policyholder.