Claims Settlement Record of Private Insurance Companies

As we know, there are some 20 private life insurance companies in India, and there is that LIC is a public sector enterprise. LIC has 800 pounds gorilla, managing to keep at around 75% market share, even 10 years after the private companies were allowed into the space of life osiguranje.Privatne life position as more customers friendly, broader array of products, etc., while holding on to their LIC positioning of the trust, experience and state aid. One of the key parameters on which to judge the life insurance is their claims payment record. At the same time, we must note that considering the fact that life has become more of a savings and investment products, the returns that they provide may be more important than the request for payment ratios. However, the claims record is definitely not a variable to be zanemareni.Tablica illustrate the percentage of rejection of claims best life insurance companies in 2009-10 is shown below:

Life Companies: Receivables rejection ratio (%)

LIC: 1.21%

Aviva: 9.75%

Bajaj Allianz: 5.2%

Birla Sunlife: 10.62%

HDFC Life: 4.67%

ICICI Prudential: 3.27%

ING Vysya: 4.26%

Kotak Mahindra: 4.29%

Max New York Life: 12.31%

MetLife: 5.94%

Reliance Life: 7.05%

SBI Life: 14.75%

Tata AIG: 12.3%

is an important observation from the above table that the ratio of claims rejection of LIC is the lowest, which implies that their record is best when it comes to paying the application in question. At the same time, a very high percentage of rejection of the request SBI Life and Max New York Life certainly comes as no surprise.

However, it should be noted once again that the Unit Linked products that promote the life of the organization aggressively (or at least he was promoting to September 2010), returns earned on the fund may be more important than the variable payment of claims (or rejection) ratio. However, non-life companies, which offer clear protection / insurance without a savings or investment component, said payments to the key variable speed application processing.

Let us now see the damage ratios of non-life companies:

life insurance company: damage ratio

New India Insurance: 89%

Oriental Insurance: 99.69%

United India Insurance: 78.62%

National Insurance: 99.16%

Royal Sundaram: 68.95%

Reliance General Insurance: 77.3%

IFFCO Tokio Insurance: 83.44%

Tata AIG: 60.54%

ICICI Lombard: 85.35%

Bajaj Allianz: 71.9%

HDFC Ergo: 80.73%

Bharti Axa: 104 %%

One data point that stands out from this is that the Tata AIG general insurance seems to be the best source of business risk point of view, while the ratio of claims paid Bharti Axa seems to be quite high. Alo, the ratio of public insurers to pay claims, the overall level is higher than the private life insurers do not.