2021, Vol. 4, Issue 1

author(s)
Manoranjan Nayak

abstract
The entry of the private players and the increased use of the new distribution are in the limelight today. The insurance industry in India has come a long way since the time when businesses were tightly regulated and concentrated in the hands of a few public sector insurers. The inauguration of a new era of insurance development has seen the entry of international insurers, the proliferation of innovative products and distribution channels, and the raising of supervisory standards. Following liberalization, the private insurers made tremendous efforts in focusing untapped market and targeted the customer segments with vigor, consequently which led to gaining market share and their market presence. That private sector insurance companies have been able to maintain good capital adequacy ratio and companies have infused more capital over the period of study, which might have enabled them to maintain required solvency margin and meet the underwriting losses. Further, the analysis reveals that the in comparison to capital, assets base has been decreasing and the underwriting losses are being met through the infusion of more capital in the portfolios of the companies.