Insurance companies claim only Rs 86 for Rs 100 premium, shocking report by IRDAI
New Delhi| General, health and government insurance companies claim only Rs 86 with a premium of Rs 100. This claim has been made in the recent report of Insurance Regulatory and Development Authority of India (IRDAI). Some insurance companies are only giving a claim of Rs 56 for Rs 100.
In 2023-24, general insurance companies paid Rs 76,160 crore to policyholders against the claim, the report said. This is 18 percent more than in 2022-23.
In 2023-24, insurance companies settled a total of 83 per cent of claims and rejected 11 per cent. Six percent of the claims remained pending as of March 31, 2024. In this period, general and health insurance companies settled a total of 2.69 crore health claims and paid Rs 83,493 crore. The average amount per claim stood at Rs 31,086. Analysts say the average of 100 per cent and 80 per cent in premium-taking and claims settlement, respectively, is fine.
Third party (TPA) settled 72 per cent of the total claims. The remaining 28 per cent of claims were settled by the companies in their own way. 66.16 per cent of claims were settled cashless, while 39 per cent received reimbursement. The claim of government companies has been more than Rs 90 against a premium of Rs 100. National Insurance has claimed Rs 90.83 with a premium of Rs 100. New India has claimed Rs 105.87, Oriental Rs 101.96 and United India Rs 109. The claim average of all government insurance companies has been Rs 103.
