Capital infusion into PSGICs unlikely

New Delhi: The four public-sector general insurance companies (PSGICs) are unlikely to get capital funding from the government in the current fiscal, a senior official said. He said one of the PSU non-life insurance companies is likely to give a dividend to the government in the current fiscal and they will be able to meet their solvency margins. The government last year provided Rs5,000 crore capital to three insurers --National Insurance Company, Oriental Insurance Company and United India Insurance Company. The Budget 2023-24 has not provided for the capital infusion for insurance companies.

“We do not think there is a need for capital infusion as of now. In fact, one of the general insurance companies may give a dividend this year,” the official said.