ncc mbm second batch 2015

1. STUDY OF NLIC
AND PREMIER
(COMPARATIVE FINANCIAL
ANALYSIS)

2.  Dinesh Tiwari
 Prajwol Man Dhaubhadel
 Jyoti Neupane
 Sushil Bhandari
 Radhika Sanjel
 Ranjeeta Mainali
 Suman chawalaghai
TEAM MEMBERS

3.  Objective of study
 Methodology of study
 Limitations of study
 Introduction to Insurance Industry
 Introduction to NLIC and Permier Insurance
 Performance indicators used
 Representation of data
 Analysis of data
 Conclusion
SYNOPSIS

4.  Comparative study of financial performance of Nepal Life
Insurance Company Limited and Premier Insurance Nepal
OBJECTIVE OF THE STUDY

5.  literature review
 self-observation
METHODOLOGY

6.  Taken financial data of two insurance company
 Taken only 3 year data
 Only few indicators are chosen
LIMITATION

7.  As the first insurance company, Nepal Mal chalani Tatha Bima
Company Limited was established in 2004 B.S.
 later converted into Nepal Insurance and Transport Company
Pvt. Ltd., in 2016 B.S
 again renamed as Nepal Insurance Company Ltd in 2048 BS.
 the company was concentrated in non-life insurance business
 private insurance company with limited capital, the Nepal Mal
chalani Tatha Bima Company Limited
 Unite India Insurance, Hindustan General Insurance, Starling
Insurance, Ruby General Insurance, Oriental Fire
insurance had branches in Nepal to provide insurance
facilities until 2024 B.S
 At present there are 25 insurance companies in Nepal
INTRODUCTION TO INSURANCE INDUSTRY

8.  established as a public limited company on 2058/01/21
 foremost life insurance company established by private
investors
 insured itself with well-know reinsurance company "Hannover
Re Life Reinsurance Company", Germany
INTRODUCTION TO NLIC

9.  established on 12th may 1994, Premier Insurance Company
(Nepal) Limited
 has emerged as a renowned general insurance company of the
second generation
 Four regional offices. The
 Biratnagar
 Birgunj
 Pokhara
 Narayangarh
INTRODUCTION TO PREMIER

10. PERFORMANCE INDICATORS USED
 Current Ratio
 Return on Assets(ROA)
 Return on shareholders equity(ROE)
 Earnings per share(EPS)
 Price Earning Ratio(P/E Ratio)

11. REPRESENTATION OF DATA
Particulars NLIC Premier
070/071 069/070 068/069 070/071 069/070 068/069
Current Ratio 8.0852 4.8629 1.7728 1.2948 1.2656 1.2217
Return on Assets 3.06% 5.20% 5.06% 0.094% 3.258% 0.2283%
Return on Shareholders’ Equity 3.25% 5.57% 5.95% 0.26% 7.69% 5.17%
Earning Per Share Rs.56.67 Rs.121.51 Rs.166.85 Rs.39.05 Rs.29.18 Rs.22.45
Price Earning Ratio 76.78 11.73 4.7 22.85 4.25 6.15

12.  Current ratio of NLIC is more than that of Premier
 ROA of NLIC is also higher than Premier in every year
 ROE of Premier has more fluctuation than that of NLIC
 EPS of NLIC is also good than Premier
 P/E Ratio also shows that NLIC having higher ratio than
Premier will have good future performance
ANALYSIS OF DATA

13.  Previously, people were not much aware about the insurance
and its facilities
 Later on people have realized that insurance is beneficial for
them
 Many people have realized the importance of the insurance
due to the massive Gorkha earthquake
 People now practiced to insure almost everything they have
owned
 Due to the awareness about the insurance, the business of
insurance company has also increasing nowadays which can
be seen in the indicators mentioned above
CONCLUSION

14. Thank You