NIACL
Large CapThe New India Assurance Company Limited
Financial Services
The New India Assurance Company Ltd. is an Indian multinational general insurance company with 107 years of operation, a strong brand image, and presence in 24 countries. It operates 1,668 offices in India and holds a AAA rating by CRISIL.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is acceptable, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/6 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Good · 57/100Rev +8% YoY · PAT +63% YoY · operating leverage · margin compression
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹12,544 Cr | +7.5% | +3.9% |
| EBITDA | ₹19 Cr | -95.5% | -90.8% |
| Operating margin | 0.0% | -400 bps | -200 bps |
| PAT | ₹580 Cr | +62.9% | +52.6% |
| PAT margin | 4.6% | +157 bps | +147 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
NIACL reported robust FY26 PAT growth of 40% YoY to Rs. 1,384 Cr, driven by better investment returns, despite a higher combined ratio of 122.57% and significant wage revision impact. Gross Written Premium grew 8.15% YoY, with Indian business outpacing industry growth.
While PAT growth was strong due to investment income, core underwriting profitability remains a concern with a combined ratio of 122.57% and negative underwriting results. The impact of wage revisions and persistent issues in Motor TP segment's incurred claim ratio highlight structural challenges. Market share gains are positive, but sustainability depends on improving underwriting performance.
Gross Written Premium by Segment (FY26)
Latest issuer-disclosed distribution across 7 reported categories.
Indian Business Growth
Domestic gross direct premium income grew by 10.9% in FY26, outpacing the general insurance industry growth of 9.3%.
Market Share Gains
YoY market share in the Indian business increased from 12.56% to 12.74% in FY26.
Retail and MSME Focus
Management is optimistic about FY27 growth prospects with a strong focus on retail and MSME segments.
New Product Launches
Company is launching innovative new products and entering new lines like parametric insurance.
Domestic Presence
Operates 1,668 offices in India, underlining strong domestic presence.
Better Investment Returns
Adverse impact of wage revision was partially offset by better investment returns during FY26.
Health Segment Improvement
The Health segment witnessed an improvement in loss ratio during FY26.
Wage Revision Impact
Absorbed full impact of wage revision and family pension amounting to Rs. 3525 Cr during FY26, with Rs. 597 Cr in Q4.
Motor TP Premium Stagnation
Incurred claim ratio impacted by higher loss ratio in Motor Third Party segment where premium revision has not yet happened.
Aviation Segment Loss
Unfortunate loss in the aviation segment contributed to higher incurred claim ratio in FY26.
Competitive Motor Segment
Motor segment performance was impacted by the intense competitive environment.
Underwriting Losses
Underwriting results were negative at Rs. (8,882) Cr for FY26, impacted by wage arrears and retirement benefits.
High Combined Ratio
Combined ratio for FY26 was 122.57%, indicating that claims and expenses exceed premiums earned.
Motor TP Profitability
Lack of premium revision in Motor TP segment continues to impact profitability and incurred claim ratio.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The presentation provides both annual (FY26 vs FY25) and quarterly (Q4 FY26 vs Q4 FY25) results. Annual comparison is crucial for overall performance, while Q4 provides insight into recent momentum and the immediate impact of wage revisions.
Gross Written Premium (GWP)
Grew 8.15% YoY to Rs. 47,174 Cr in FY26; Q4 FY26 GWP grew 1.63% YoY to Rs. 11,619 Cr.
Profit After Tax (PAT)
Improved 40% YoY to Rs. 1,384 Cr in FY26; Q4 FY26 PAT improved 61% YoY to Rs. 558 Cr.
Combined Ratio
Increased to 122.57% in FY26 from 116.78% in FY25; Q4 FY26 combined ratio was 118.34% vs 111.46% in Q4 FY25.
Incurred Claim Ratio (ICR)
Increased to 98.65% in FY26 from 96.61% in FY25; Q4 FY26 ICR was 95.85% vs 94.43% in Q4 FY25.
Optimistic FY27 Outlook
CMD remains optimistic about the Company’s growth prospects in FY27.
Strategic Focus
Strong focus on retail and MSME segments for future growth.
Diversification
Emphasis on growth in segments other than Motor and Health where competitive intensity is high.
Risk Management
Further impetus on risk management initiatives and taking steps to improve the global credit rating.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Combined Ratio | 122.57% (FY26) | Watch for sustained improvement below 115% to indicate better underwriting profitability. |
| Motor TP Premium Revision | Not yet happened | Monitor for any regulatory updates on premium revisions in the Motor Third Party segment. |
| Investment Income Contribution | Rs. 11,112 Cr (FY26) | Assess if investment income can continue to offset underwriting losses and drive PAT growth. |
| Solvency Ratio | 1.84x (FY26) | Track for stability or improvement, as it declined slightly from 1.91x in FY25. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
Loss ratios are expected to improve in the second half of the financial year.
"loss ratios are expected to improve in the second half of the financial year"
The company intends to enter new lines of business, such as parametric insurance.
"Entering new lines like parametric insurance"
The company is taking steps to improve its global credit rating.
"taking steps to improve the global credit rating"
Claim automation efforts will continue for faster claim settlement.
"Claim automation efforts continue for faster claim settlement"
The company plans to launch innovative new products with a focus on Retail and MSME segments.
"Launching innovative new products with focus on Retail and MSME"
There will be an emphasis on growth in segments other than Motor and Health, where competitive intensity is high.
"Emphasis on growth in segments other than Motor and Health"
Trend score and candlestick chart
57NeutralSMA20 +6.6% / mo
Technical chart
NIACLdaily · 5Y-17.4%Technical trend read
Mixed signalsSignals are conflicting — long-term trend unclear. RSI 40. Wait for confirmation.
- SMA20 falling (~3.0% over last month) — short-term momentum negative.
- RSI(14) at 40 — rising, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 19% off 52W high · 29% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
OVERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Balance sheet contributes 8/15 to the score.
- Valuation contributes 12/30 to the score.
- Cash flow contributes 3/10 to the score.
Main drags
- Altman Z is 1.2, in distress territory.
- Fair-value margin of safety is negative at -182.3%.
- Quality is weaker at 0/20; verify the latest quarterly trend.
NBFC valuation: P/B, ROA, borrowing cost, and asset quality
Lenders can look optically cheap before credit losses emerge, so valuation is tied to book quality.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 30th percentile of the scored universe and 47th percentile within Financial Services. Main check: financial discipline is weak at 32/100.
Healthy Trust Lite: Promoter holding is 85.4%. Key concern: Operating cash flow is negative at ₹-4532 Cr.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Financial Services: 47th pctile, median 62 · Large: 17th pctile, median 74
112 documents indexed, but claim history is not strong enough yet.
6 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 85.4%.
- ▸Promoter pledge is zero.
- ▸7 years of positive FCF.
- ▸Debt/equity is 0.00.
Trust risks
- ▸Operating cash flow is negative at ₹-4532 Cr.
- ▸Altman Z is 1.20.
- ▸ROCE is low at 3.9%.
- ▸ROE is low at 4.4%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 17.60
- P/B
- 0.72
- EV/EBITDA
- 72.85
- Market Cap
- 24842.00Cr
Profitability
- ROE
- 4.44%
- ROCE
- 3.87%
- ROA
- 1.28%
- Dividend Y
- 1.19%
Growth (CAGR)
- Revenue 5Y
- 9.00%
- EPS 5Y
- -3.00%
- Revenue 3Y
- 7.00%
- EPS 3Y
- 99.00%
Balance Sheet
- Debt/Equity
- 0.00
- Interest Coverage
- —
- Altman Z
- 1.20
- Book Value
- 210.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 7/5
- OCF
- -4532.00 Cr
- EPS TTM
- 8.57
Shareholding
- Promoter Hold
- 85.44%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 35%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.