EFU General InsuranceKAR:EFUG -1.14%65 Interest Coverage is 61.04 as of Mar. 2026, which is 61% below its 10-year median of 154.81. GuruFocus rates KAR:EFUG with a GF Score™ of 65/100 and a GF Value™ of ₨126.27 (Fairly Valued). The stock has 5 warning signs investors should review. Among 352 Insurance companies, EFU General Insurance ranks better than 75.57% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
EBIT
by its Interest Expense. EFU General Insurance's
EBIT
for the
three
months ended in Mar. 2026 was ₨2,461 Mil. EFU General Insurance's Interest Expense for the
three
months ended in Mar. 2026 was ₨-40 Mil.
EFU General Insurance's interest coverage for the quarter that ended in Mar. 2026 was 61.04.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. EFU General Insurance Ltd has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for EFU General Insurance's Interest Coverage or its related term are showing as below:
KAR:EFUG'
s Interest Coverage Range Over the Past 10 Years
Min: 3.4 Med: 154.81 Max: 453.1
Current: 67.01
KAR:EFUG's Interest Coverage is ranked better than 75.57% of 352
companies
in the Insurance industry
Industry Median: 16.245
vs KAR:EFUG: 67.01
EFU General Insurance (KAR:EFUG) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
EFU General Insurance Interest Coverage Related Terms
EFU General Insurance Interest Coverage Historical Data
* Premium members only.
The historical data trend for EFU General Insurance's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
KAR:EFUG vs CB, PGR, TRV: Interest Coverage Comparison
For the Insurance - Property & Casualty subindustry, EFU General Insurance's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
EFU General Insurance Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, EFU General Insurance's Interest Coverage distribution charts can be found below:
* The bar in red indicates where EFU General Insurance's Interest Coverage falls into.
EFU General Insurance Interest Coverage Calculation
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
EFU General Insurance (KAR:EFUG) has a Interest Coverage of 61.04 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on EFU General Insurance and its competitors. This is 61% below median its historical median of 154.81. Over the past decade, EFU General Insurance's Interest Coverage has ranged from 3.40 to 453.10. According to the industry distribution chart, EFU General Insurance ranks #86 out of 352 companies in the Insurance industry, placing it in the top 24.4%.
Is EFU General Insurance's Interest Coverage too high?
EFU General Insurance's current Interest Coverage of 61.04 is 61% below median its 10-year median of 154.81. Over the past 10 years, this metric has ranged from a low of 3.40 to a high of 453.10. The Insurance industry median Interest Coverage is 16.25. EFU General Insurance's value of 61.04 is 275.7% above this industry median. Based on the distribution chart, EFU General Insurance ranks #86 out of 352 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, EFU General Insurance has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does EFU General Insurance's Interest Coverage compare to CB and PGR?
According to the Insurance industry distribution chart, EFU General Insurance ranks #86 out of 352 companies for Interest Coverage. This places EFU General Insurance in the top 24% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 16.25. EFU General Insurance's value of 61.04 is 275.7% above this benchmark. Historically, EFU General Insurance's own Interest Coverage has ranged from 3.40 to 453.10 over the past decade. While the company's 10-year median is 154.81 vs. the industry median of 16.25, EFU General Insurance has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Insurance company?
The median Interest Coverage among Insurance companies is 16.25, based on 352 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. EFU General Insurance's current Interest Coverage of 61.04 is 275.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on EFU General Insurance and its competitors. For the Insurance industry, the median Interest Coverage is 16.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EFU General Insurance's current Interest Coverage is 61.04, which is 61% below median its own 10-year median of 154.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EFU General Insurance stock overvalued right now?
Based on GuruFocus' analysis, EFU General Insurance (KAR:EFUG) is currently considered Fairly Valued. The stock's GF Value™ is ₨126.27, compared to a current price of ₨124.55 — trading 1.4% below its estimated fair value. The current Interest Coverage is 61.04, which is 61% below median its 10-year median of 154.81 and 275.7% above the Insurance industry median of 16.25. EFU General Insurance's overall GF Score™ is 65/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For EFU General Insurance (KAR:EFUG), the current Interest Coverage is 61.04 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is EFU General Insurance (KAR:EFUG) Overvalued in 2026?
Based on GuruFocus' analysis, EFU General Insurance stock appears to be undervalued.
The current stock price of ₨124.55 is trading 1.4% below its estimated GF Value™ of ₨126.27.
GuruFocus considers EFU General Insurance to be Fairly Valued.
Key valuation signals for KAR:EFUG:
Interest Coverage: 61.04 (61% below median its 10-year median of 154.81)
GF Value™: ₨126.27 vs. price of ₨124.55 (1.4% below fair value)
Industry Position: 275.7% above the Insurance median (#86 of 352)
No single metric tells the full story. See the KAR:EFUG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
EFU General Insurance Ltd is a non-life insurer in Pakistan, providing insurance and takaful solutions to commercial, industrial, and individual clients across retail, SME, and corporate segments. Its product portfolio includes Fire and Property Damage, Marine, Aviation and Transport, Motor, Miscellaneous insurance, and Window Takaful. Fire and Property Damage, the maximum revenue segment, covers risks such as fire, earthquake, flood, explosion, machinery breakdown, boiler damage, and business interruption, compensating customers for property loss or damage and loss of earnings. Other segments include Marine, Aviation and Transport, Motor, and Miscellaneous, with the majority of revenue generated from Pakistan.
65GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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