Local insurance player gets fresh capital infusion from mother company in India to meet required capital

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Non-life player SGI Philippines General Insurance Co. Inc. has already pumped up its capitalization to P1.3 billion ahead of the 2022 deadline for insurers to raise paid-up capital. | bendeveraINQ

Non-life player SGI Philippines General Insurance Co. Inc. has already pumped up its capitalization to P1.3 billion ahead of the 2022 deadline for insurers to raise paid-up capital.

In a statement on Monday , Insurance Commissioner Dennis B. Funa said SGI’s mother company, Shriram General Insurance Co. Ltd, an Indian firm, had “infused fresh capital” of P624 million.Because of this, SGI’s net worth “surged” from P710 million to P1.35 billion, “thereby making it compliant” with the required paid-up capital hike.

Funa said SGI’s move, in accordance with the Amended Insurance Code, “is commendable” since it would project confidence that the company “has a solid source of capital to deliver its promises to the insuring public.”

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