PUBLIC SECTOR INSURERS IN INDIA SEE MARKET SHARE SLIP

India’s four state-owned non-life insurers continue to see their market share slip, reports NDTV . Figures from the Insurance Regulatory & Development Authority (IRDA) belied claims from the public sector players (PSUs) that customers would stick with the PSUs because they were more confident that they would be paid. Between March 2006 and March 2007 the market share of the PSUs fell from 73% to 65% amidst keen price competition. By the end of May their share had fallen a further three points to 62%. Partial detariffing in January saw private sector players slash rates in certain sectors such as fire. However, IRDA’s figures also showed that the PSUs might be benefiting from losing price-sensitive business. Profits at three of the four PSUs were up in the financial year 2006/07 compared with 2005/06.