Motor OD loss ratio elevated due to pricing pressure and GST impact
Motor own-damage loss ratios remain high across the industry due to IDV reduction from GST and rising repair costs; pricing correction may take time.
medium · analyst_questionBajaj Finserv — Q3 FY26
Bajaj Finserv reported a strong Q3 FY26 with consolidated total income up 24% YoY to INR 39,708 crore and PAT (before exceptional items) up 32% YoY to INR 2,936 crore.
bullish
high
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Risk Intelligence
Material risks this quarter
Concise cards keep the risk register scannable while preserving evidence-level context in the underlying quarter data.
Risks
Life insurance persistency dips across cohorts
Persistency ratios declined in line with industry trends; management acknowledged the issue and is working on it, but it could pressure future renewal premiums.
medium · management_commentaryGeneral insurance underwriting loss widened despite improved combined ratio
Underwriting loss increased to INR 137 crore from INR 43 crore last year, impacted by labor code charge and higher acquisition costs on new business.
low · data_observationCompetition intensity in fire and commercial lines leading to pricing softness
Fire insurance pricing has softened due to good loss ratios and no major catastrophes, which could pressure margins if loss ratios revert.
low · analyst_question