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MUMBAI: New India Assurance reported a 28.86% rise in net profit to Rs 826 crore for the December quarter, driven by higher investment income and steady growth in premium collections, even as one-time wage-related provisions weighed on underwriting results. Profit before tax rose 61.89% year-on-year to Rs 824 crore in Q3 FY26.Premium income remained firm, with gross written premium increasing 10.47% to Rs 35,555 crore during the quarter. The strongest growth came from the health and personal accident segment, which expanded 16.15% year-on-year to Rs 17,127 crore, reinforcing its position as the company’s largest business line and accounting for 48% of the company’s business. Fire insurance premium grew 15.31% to Rs 5,519 crore. Motor insurance saw a mild contraction, with motor third-party premium down 1.04% and motor own-damage premium lower by 1.34%.Net written premium rose 10.4% to Rs 29,326 crore, while net earned premium increased 9.34% to Rs 28,494 crore. Net incurred claims climbed 11.85% to Rs 28,387 crore, reflecting higher claims across segments. Commission expenses increased 14.18% to Rs 2,883 crore and operating expenses jumped 36.07% to Rs 4,270 crore, largely due to provisions towards wage arrears and retirement benefits.Chairperson Girija Subramanian said domestic gross direct premium growth outpaced the industry average, helping lift the insurer’s market share to 13.4%. She added that global gross written premium for the nine-month period grew 10.5%.“The company recognized provisions of approximately Rs 2,500 Cr toward wage arrears and retirement benefits. While this had a substantial impact on the Combined Operating Ratio, it was partially offset by robust investment income from our equity portfolio. Despite these onetime costs, the company reported stellar Profit Before Tax,”she said.The Rs 1,696 crore for wage arrears and retirement benefits pushed the underwriting loss to Rs 7,046 crore from Rs 4,982 crore a year earlier. The claims ratio for the quarter stood at 99.62%, while the expense ratio rose to 14.56%, taking the combined ratio to 124.01%. Management said the impact was largely due to wage revisions implemented in January, which required total provisions of around Rs 2,500 crore.Investment income provided a cushion, rising 50.99% year-on-year to Rs 8,599 crore, supported by gains from the equity portfolio and favourable market conditions. For the nine months ended December, the company reported profit before tax growth of about 62%.The insurer closed the quarter with a solvency ratio of 1.81 times, well above the regulatory threshold, and said it remained optimistic about sustaining growth momentum amid ongoing reforms and a stable capital position.