S. NARAYANAN - Agent Portal

S. NARAYANAN
Managing Director & C.E.O
Oct 20, 2010
Dear Colleagues,
1. I write this message to you with a sense of satisfaction. We are making steady progress both in
growth of business as well as profitability.
Business growth
2. For the period Apr – Sep 2010, we have completed a GWP of Rs 897.30 cr. a growth of 19.49 % over
the same period last year. This growth rate is well above the target growth rate. However I have a few
words of caution against complacency. In the second half of the year we have definite loss of some
major premiums amounting to almost ` 40 crores. Further despite our good growth rate we are well
behind both Industry average and Pvt. sector average. It is therefore essential that we keep up the
tempo and try to be close to the Pvt. Sector average.
3. As I write this message the festive season is in full swing. Traditionally the period commencing from the
Navratra has been very productive. This year the daily premium inflow till now has been below
expectation. I am informed that in many SBUs all the premium collections are still being booked. I am
hopeful the backlog of entries will soon be completed and the growth rate for October will be good
Profitability / Loss Ratio
4. On the profitability side we are just about OK. The overall EILR is 0.8 % lower than the level on the
same date last year. In order to achieve our profitability target at the end of the year we have to reduce
the EILR by at least 4 %. I would request the CSCs to concentrate on better efficiency especially on TP
claims and try to dispose of as many as possible at amounts less than the provisions.
5. The final figures for the half year will be available after a few days. From the provisional results it
appears that the PBT is likely improve slightly from the August level.
Business process
6. We embarked on a new business process initiative a couple of years back. I am very glad with the
progress over the last few months. The usage of Siebel CRM for policy issue is at a steady 90% +
for Motor. The online escalation system for risk acceptance is working well. Three other products
viz Act + Fire /theft, short period policies and endorsement module for all motor policy endorsements
are likely to be introduced in Siebel very shortly.
7. The improvement in terms of data quality and underwriting control is remarkable. I am informed
that over 85% of the documents are now compliant with the vehicle particulars viz. Regn. Number /
engine and chassis number. At the end of last financial year this was hovering at just under 50%.
Similarly the underwriting controls relating to declined models, low IDV and rampant premium rate
reductions are well under control. It is very satisfying to note that these improvements have been
achieved without dampening the growth rate which continues to be quite good.

S. NARAYANAN
Managing Director & C.E.O
8. The high CRM usage has greatly reduced the vulnerability and misuse of P - 400 and dependence on
cover notes. The dependency on cover notes has come down from 76% in 2009-10 to 56% in Sep
2010. Some of our units particularly in South India have made a remarkable effort and are shining
examples. At the same time some other areas need to convince themselves and then our business
partners that improvements in business process are possible without affecting the momentum of
business.
In fact the introduction of CRM and withdrawal of cover notes is being used as a USP by our
offices in South India to improve our business and also to get better terms. I am hopeful that our
other offices will get inspiration from the achievements of our offices in Tamil Nadu and Andhra and
replicate the success.
Ethical Issues.
9. Recently a few cases have surfaced in some centers relating to unreasonable work practices,
deliberate non observance of specific underwriting instructions, financial misconduct etc.
10. We had to take stringent action on some of our employees for these irregularities including separation
from service. Such tough actions will send a strong message to the unruly and will restore the
confidence of the diligent employees. Nevertheless it is a cause of immense pain and unpleasantness
for the management and for the other colleagues.
Forthcoming events
11. In the month of December we shall completing ten years of our operation. We shall shortly come out
with the details of activities to commemorate the happy occasion.
12. Also in December ICMIF (International Cooperative and Mutual Insurers Federation) will be holding
their Development Workshop on “Improving access to Insurance” at Gurgaon. Around forty International
delegates are expected to participate. As a member of ICMIF it will be our privilege to be the host of this
program.
The usual charts are enclosed.
With Best Wishes
S Narayanan

S. NARAYANAN
Managing Director & C.E.O
250
Rs Cr
Growth for the month
Monthly GWP Comparisons
200
150
100
50
0
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
GWP 2009-10 169.58 117.37 141.76 127.06 91.16 104.04 124.92 109.67 106.69 139.27 108.11 173.95
GWP 2010-11 209.01 124.85 148.76 158.44 128.36 127.88
Growth for the Month % 23.25% 6.37% 4.94% 24.70% 40.81% 22.91%
50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
GWP 2009-10 GWP 2010-11 Growth for the Month %
1,600
1,400
1,200
Up to the Month GWP in Rs Cr
1,000
800
600
400
200
0
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2008-09 169.58 286.95 428.71 555.77 646.93 750.97 875.89 985.56 1,092.2 1,231.5 1,339.6 1,513.5
2009-10 209.01 333.86 482.62 641.06 769.42 897.30

Axis Title
S. NARAYANAN
Managing Director & C.E.O
85.00
Overall EILR %
(without Motor Pool & IBNR)
83.00
81.00
79.00
77.00
75.00
73.00
71.00
69.00
67.00
65.00
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2009-10 70.71 77.91 78.53 77.94 76.95 73.00 72.39 72.33 71.94 72.75 71.56 71.15
2010- 11 75.76 80.70 78.80 74.80 73.79 72.12
80
75
Motor EILR %
before pool & IBNR
70
65
60
67.72
62.94
67.53
65.74
69.83
65.49
66.06
65.24
62.78 60.72 62.21
62.44 61.61
61.15 61.74 61.20 61.15
60.48
55
50
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2009-10 2010-11

% UTILIZATION
S. NARAYANAN
Managing Director & C.E.O
130
Health EILR %
120
110
111.75
113.63
112.78
117.81
123.83
122.07
110.62
117.55
110.34
113.90
119.04 117.39
118.17
110.80 109.73
100
102.92
97.56
102.09
90
80
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2009-10 2010-11 (overall)
95%
85%
75%
65%
55%
45%
35%
25%
Covernote & CRM Usage
84%
88% 90%
76%
67% 66%
75%
59% 63%
60%
59%
46%
56%
38%
09-10' For April'10 For May'10 For June'10 For July'10 For Aug'10 For Sep'10
Covernote % utilization
CRM % Usage

S. NARAYANAN
Managing Director & C.E.O
30%
Upto the Month GWP Growth rates
25%
PVT SECTOR
INDUSTRY AVG
20%
IFFCO TOKIO
15%
10%
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
Major Marketing Breakthroughs
CLIENT
SBU
Annual Premium
Potential (In Rs.
Lacs)
ACHEIVEMENT
(Breakthrough /
Increase in share)
Policies in which
ITGI participates
Premium
amount (In Rs.
Lacs)
Haldia Petrochemicals Ltd Kolkata Commercial Rs 4000 lacs Increase in share MEG Rs 229.21 lacs
Mani Group Rs 50 lacs Breakthrough IFR Rs 6.25 lacs
ITC Infotech India Ltd Bangalore CommercialRs 350 lacs Breakthrough GMC Rs 21.6 lacs
Sattva Hi Tech & Conware Pvt Ltd Chennai Rs 60 lacs Breakthrough Fire & Burglary Rs 28 lacs
TIMDAA and TIML (BCCL Group Cos) Delhi C Kailash BuildingRs 1800 lacs Increase in Share Fire, FLOP, LiabilityRs 13.5 lacs
RITES Ltd. Rs 50 Lac Breakthrough Professional Indemnity Rs 6.74 lacs
APOLLO TYRES Delhi C Narain ManzilRs 250 lacs Increase in Share Workers Compensation Rs 15.36 Lacs
Haridwar Highways Project Ltd. Delhi R Faridabad Rs 100 lacs Breakthrough CAR Rs 41 lacs
Dehradun Highways Project Ltd. Rs 80 lacs Breakthrough CAR Rs 47 lacs
Tie up
SBU
Annual
Premium Projected
(in Rs. Lacs)
Chotosso Motors Patiala Rs.150 Lacs
Sparsh Automobiles Pvt Ltd Raipur Rs.400 lacs
SAS HYUNDAI Lucknow Rs.125 Lacs