New Delhi, Jul 17 (PTI) ICICI Lombard General Insurance Company on Friday reported 28.4 per cent rise in net profit at Rs 398 crore for June quarter of financial year 2020-21.

The private sector non-life insurer had a net profit of Rs 310 crore in April-June 2019-20.

Also Read | OnePlus 8 Smartphone Review: OnePlus' True Flagship Phone You Can't Resist.

Gross direct premium income (GDPI) of the company stood at Rs 3,302 crore in June quarter compared to Rs 3,487 crore in the year-ago period, a decline of 5.3 per cent, ICICI Lombard said in a release.

"Excluding crop segment, GDPI of the company decreased to Rs 32.74 billion (Rs 3,274 crore) in Q1 FY2021 compared to Rs 34.88 billion (Rs 3,488 crore) in Q1 FY2020, registering a de-growth of 6.2 per cent," the company said.

Also Read | YouTube Lifts Restrictions on 1080p HD Video Streaming in India: Report.

The de-growth across industry was mainly due to COVID-19 pandemic, it added.

Combined ratio -- the metric to measure profitability and financial health of an insurance company -- stood at 99.7 per cent in June quarter of the current fiscal year compared to 100.4 per cent in the year-ago same period, primarily driven by COVID-19 pandemic despite losses incurred due to catastrophic events, said the insurer.

It is calculated by adding the loss ratio and expense ratio and indicates if an insurer is earning more revenues from premium collected as against the claims paid out.

"Combined ratio was 98.4 per cent in Q1 FY2021 excluding the impact of cyclone Amphan and Nisarga of Rs 0.31 billion (Rs 31 crore) compared to 99.7 per cent in Q1 FY2020 excluding the impact of cyclone Fani of Rs 0.16 billion (Rs 16 crore)."

Solvency ratio --an indicator of meeting debt obligations -- was 2.50x at June 30, 2020 as against 2.17x at March 31, 2020 and higher than the minimum regulatory requirement of 1.50x, ICICI Lombard said.

The company offers a range of products, including motor, health, crop, fire, personal accident, marine, engineering and liability insurance, through multiple distribution channels.

ICICI Lombard stock settled at Rs 1,288.80 on BSE, up 3.15 per cent from previous close.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)