ICICI Lombard Stock Crashes 11% After Q1 Profit Slumps 46% On Higher Insurance Claims

ICICI Lombard General Insurance Company shares dropped nearly 11% to ₹1,622.50 after Q1 FY27 net profit fell 46% year-on-year to ₹403 crore.

The combined ratio worsened to 107.2%, indicating underwriting losses as claims exceeded premiums.

Two large commercial fire insurance claims cost ₹63 crore, and a Supreme Court ruling on Motor TP claims required ₹165 crore in extra reserves.

Motilal Oswal downgraded the stock to 'Neutral' and Nuvama downgraded it to 'Reduce' with a price target of ₹1,660.

The solvency ratio remained strong at 2.71x, above the regulatory minimum of 1.50x, providing a buffer against industry headwinds.