Pvt life insurers improve claims paid record

Private life insurers improved upon their individual death claim settlement ratio from 93.72% in 2016-2017 to 95.24% in 2017-2018, an Insurance Regulatory and Development Authority of India (Irdai) report has said.

Moreover, for the first time, a private life insurer – Max Life – edged ahead of public sector behemoth LIC, clocking a settlement ratio of 98.26%, against the latter’s 98.04%. Also, 20 out of 23 private life insurance companies paid out over 90% of individual death claims received during 2017-18. Claim settlement ratio is a key parameter while identifying a life insurance policy, particularly when you are looking for a pure protection term cover.

Source: Economic Times

Date: 21st January 2019


Product launches

Tata AIG has launched Medicare, a new health insurance product. It comes in three variants—Medicare Protect, Medicare and Medicare Premier. The product offers features like global coverage, compassionate travel benefit for insured’s kin and cumulative bonus of up to 50% of the sum insured for every claim-free year.

Bajaj Allianz General Insurance has rolled out M-Care, a defined benefit health insurance policy aimed at covering seven vector-borne diseases. The policy offers sum insured options of ₹10,000 to ₹1 lakh. The premiums vary from ₹160 to ₹3,000.

Source: Economic Times

Date: 21st January 2019

IRCTC offers free travel insurance for air travellers

New Delhi: Air passengers can now avail free-of-cost travel insurance of Rs 50 lakh if they book their tickets through the IRCTC, the catering and tourism arm of the railways, an official statement said Wednesday. This facility will be available for passengers irrespective of the class of tickets and for both domestic and international flights. The insurance will provide them financial protection against accidental death and total or permanent disability, the IRCTC statement said. 

The insurance partners of the Indian Railways Catering and Tourism Corporation (IRCTC) will be Bharti AXA General Insurance, it said.

The premium for insurance will be borne by the IRCTC to secure its passengers from any untoward incident during the journey. The insurance cover will be for both one-way and round trip, it added.

Source: Indian Times

Date: 9th January 2019

Health insurance segment posts growth of 20% for third time in a row: IRDAI

The health insurance segment has reported a growth of more than 20 per cent in premium collection for the third year in a row.

In 2017-18, general and health insurance companies collected₹37,029 crore as health insurance premium, registering a growth of 21.8 per cent over 2016-17, according to the latest annual report of the Insurance Regulatory and Development Authority of India (IRDAI).

Group business accounted for 48 per cent (₹17,757 crore) of the premium, followed by individual segment at 41 per cent (₹15,291 crore), and government business at 11 per cent (₹3,981 crore).

During 2017-18, general and health insurance companies issued around 1.47 crore health insurance policies (excluding policies issued under personal accident and travel insurance), covering 48.20 crore lives, a growth of 10 per cent in the number of lives covered over the previous year.

Three-fourths of the lives covered were under government-sponsored health insurance schemes, and the balance one-fourth by group and individual policies issued by general and health insurers.

There is an also improvement in net incurred claims ratio (ICR) during FY 2017-18. This is observed in all three classes of businesses.

The four public sector general insurers held a combined market share at 58 per cent in 2017-18. However, their share declined from 63 per cent in 2016-17.

On the other hand, the share of private sector general insurers increased to 21 per cent in 2017-18 from 19 per cent in 2016-17, and the share of standalone health insurers in health insurance premium went up to 21 per cent from 18 per cent in 2016-17.

Standalone health insurers reported an increase in underwriting losses in 2017-18, which is ₹436 crore, compared to an underwriting loss of ₹261 crore in 2016-17.

Of the six standalone health insurers, three reported losses and three made profits in 2017-18. The three standalone health insurers that reported PAT include Apollo Munich, Max Bupa and Star Health. They reported PAT of ₹15 crore, ₹23 crore and ₹170 crore, respectively, during 2017-18.

Source: The Hindustan Business Line

Date: 10th January 2019

2019 to be fast & furious for HR professionals

With the digital bug gripping the country, human resource (HR) professionals have consistently evolved in the last years. The status quo that it was in was disrupted in 2018, with technology onslaught, automation, artificial intelligence and virtual reality. From traditional practices, HR moved to the Cloud, Big Data and understanding how other technologies could be integrated. 

However, the fact of the matter is that most companies are still grappling with their own set of issues in adopting digitisation to keep pace. While 2018 was all about familiarising and planning, experts say 2019 will see professionals adopt a pragmatic HR policy and respond aggressively to ensure their companies stay afloat.

The key for any company that is dreaming big will be managing millennials, says Rituparna Chakraborty, co-founder and executive vice-president of human resources services provider TeamLease. “Millenials are different, but very ambitious, purpose-centric and quick. How we align our HR policies will be the most pressing challenge for HR in 2019,” she says.

Beyond the traditional modus operandi of attracting and retaining employees with fat salary packages, companies have stepped up efforts to provide benefits that increase employee satisfaction, productivity and loyalty. “Both public and private firms are looking at creating a personalised benefit package fit for each employee and for 2019, we have plans to extend our offerings in the multi-benefits employee benefits space to help our clients in driving better employee engagement,” says Stephane Michelin, CEO, Sodexo BRS India. According to Sodexo, ITes and Banking, financial services and insurance (BFSI) sectors are early adopters of multi-benefit solutions. 

Tough decisions may need to be made and HR will face its common challenge —prioritisation. “Recruiting, payroll, compliance, employee query management, induction programme… all of these are important, but it is imperative for the HR to prioritise their role on focusing on some, while outsourcing the remaining,” says Aditya Narayan Mishra, Director & CEO, CIEL HR Services.

Source-Indian Express


Health insurance tax benefit: Here’s all you need to know

As we are nearing the tax saving investment season for the current year there is a rush to make investments before the predestined date, especially for the salaried people to save on TDS


As we are nearing the tax saving investment season for the current year there is a rush to make investments before the predestined date, especially for the salaried people to save on TDS

Health insurance plays a crucial role in financial planning. With the country witnessing disruptive lifestyle changes, constantly increasing medical inflation and rapidly-spreading chronic diseases, it has become imperative for us to opt for an insurance policy.


Prasun Sikdar, MD and CEO, Cigna TTK Health Insurance, says, “Health insurance provides assurance of financial support in times of unforeseen medical and health-related exigencies. In such situations, a person who is insured is less likely to dip into their life savings. Thus, ‘Health Insurance Jaroori Hai’ for safeguarding your long-term financial goals, to enjoy lifetime access to quality healthcare, and to help you live a healthier life.”

Another benefit of health insurance is that it also qualifies for tax deduction. As we are nearing the tax saving investment season for the current year, there is a rush to make investments before the predestined date, especially for the salaried people, to save on TDS (Tax Deducted at Source). Under Section 80D, an individual can claim a tax deduction of up to Rs 25,000 on the policy taken for self, spouse, and children. Another tax deduction up to Rs 50,000 may be availed for the premium paid on policies if the policyholder’s parents are covered. A maximum deduction of Rs 1,00,000 may be availed if both individuals, as well as their parents, are senior citizens.

Experts suggest, in such scenarios, policyholders have to choose the correct type of investments not only to save taxes, but also to achieve their long-term financial goals. Health insurance acts as an excellent option in attaining both of these goals. A health insurance policy helps in tax saving and also in building long-term wealth as well as safeguarding it against medical emergencies.

Though most people take health insurance to save tax, it also comes with enormous riders and health benefits. Even after having an employer group health insurance, you always need a separate health insurance plan that covers you and your family, because the former is insufficient to meet today’s requirements.

However, with so many insurance products in the market, we often get confused while choosing the best health insurance policy.


While buying a health insurance plan, look for the following in a plan:

  1. Choosing the sum insured and the coverage amount – Always try to opt for a plan that offers maximum health coverage and treatment.
  2. Family Floater Plan – Instead of opting for an individual health plan, choose a family floater if you are a family person, which provides cover for the entire family. You can also cover senior citizen parents in the same by paying a slightly higher premium.
  3. Choose plans with minimum waiting period – Especially for pre-existing illness, every health insurance plan has its own set of terms and conditions regarding pre-existing diseases. Choose a health policy with less waiting period for pre-existing diseases.
  4. Renewal age – While choosing a plan, look for a plan which you can renew even at the age of 75 or 80 years.
  5. An insurer with High Claim-settlement Ratio – Opt for a health plan from an insurer that has a high claim settlement ratio, which will ensure that your claim will not be rejected without a valid excuse.
  6. Look carefully at the Network Hospitals – While buying a health plan, always consider choosing a plan, which has a wide network of hospitals.



Source: https://www.financialexpress.com

Dated: 6th January,2019