Tag: insurance

Insurance regulator lowers moratorium and pre-existing condition waiting periods: How will policyholders benefit?

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The Insurance Regulatory and Development Authority of India (IRDAI) has announced key revisions to health insurance regulations. Among these changes, the pre-existing condition (PED) waiting period has been trimmed from four years to three, while the moratorium period has been lowered from eight years to five.

From a customer standpoint, shorter waiting periods translate to reduced uncertainty and quicker coverage for illnesses or claims against them.

This waiting period refers to the duration during which policyholders are not eligible to claim benefits for any pre-existing health conditions they might have during the purchase of the insurance policy.

This move comes as a boon for health insurance buyers, as it addresses a prevalent concern regarding coverage for existing health issues.

Siddharth Singhal, business head of health insurance at Policybazaar.com, highlighted its positive impact on consumer confidence.

Moreover, any disease or condition diagnosed up to 48 hours before purchasing the policy is considered a pre-existing illness, according to IRDAI guidelines.

Additionally, the shorter moratorium period is poised to support customer trust in health insurance policies.

Previously, IRDAI stipulated that once premiums had been paid continuously for eight years, insurers were obligated to pay all claims as per the policy limits. In instances where claims exceeded policy limits in multiple policies, policyholders could select the insurer from whom they wished to claim the remaining amount.

With the recent revision, this period for insurers to pay all claims as per policy limits has been reduced from eight years to five years.

This means that now, policyholders who have paid premiums continuously for five years will be entitled to have all their claims paid by the insurer up to the policy limits.

ALSO READ | How to convert your existing physical insurance policies to electronic format?

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

7 in 10 opt for cost-effective health insurance in FY24: Key things to note when buying ‘no-frills’ policies

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

As healthcare expenses continue to rise, the demand for affordable health insurance has witnessed a surge, with 7 in 10 individuals opting for cost-effective coverage in the financial year 2024, according to a recent survey by Policybazaar.

The data, collected from health insurance policies sold during FY24, sheds light on the evolving preferences of consumers, particularly among the elderly age groups.

Out of the total customers opting for affordable plans, 60% are first-time insurance buyers.

Notably, individuals aged 55 and above constitute the largest percentage of affordable health insurance buyers, accounting for 34% of the total, closely followed by the age group of 41-55 at 29%.

An interesting trend observed is the reduction in co-payment among senior citizens, with at least 25% choosing to eliminate it entirely.

Traditionally, co-payment was mandatory for those entering plans after the age of 60 to keep premiums low. However, many plans now offer the option to reduce co-payment to 0% by paying an additional premium.

Additionally, 60% of affordable health insurance buyers opt for at least one rider while purchasing any plan.

Policyholders typically opt for a minimum sum insured of ₹5 lakh, with popular choices ranging between ₹5 to 7 lakh. Furthermore, 15% of customers have also opted for the ‘Preferred Hospital Network’ option, allowing for up to a 15% discount on the premium, Policybazaar report said.

Commenting on the rise in affordable insurance plans, Indraneel Chatterjee, Co-founder of RenewBuy said “The demand for affordable health insurance is progressively growing from smaller towns and cities, where almost 700 million people are still under-insured. Rising medical inflation and the prevalence of lifestyle diseases are significant reasons for this growing demand.”

Understanding affordable health policies

Affordable health insurance plans typically offer coverage for medical expenses incurred due to hospitalisation, surgeries, doctor consultations, and sometimes even outpatient services, depending on the plan.

One can also refer these plans as “no-frills insurance plans.”

In the context of health insurance, “no-frills insurance plans” would emphasise affordability and simplicity, offering basic coverage without the added benefits that might be found in more comprehensive or expensive plans.

However, amidst the affordability, there are certain considerations consumers should bear in mind:

Waiting periods: Most health insurance plans have waiting periods for pre-existing diseases, maternity benefits, and certain specific treatments.

Sub-limits: Some policies impose sub-limits on certain medical expenses like room rent, doctor’s fees, etc., which may not cover the full cost of treatment.

Exclusions: These health insurance plans may not cover certain pre-existing conditions, cosmetic treatments, alternative therapies, and other specific exclusions mentioned in the policy document.

Co-payment: Some policies may require the insured to bear a certain percentage of the claim amount, known as co-payment, which increases the out-of-pocket expenses.

Renewal age limits: Certain plans may have age limits for renewal, especially senior citizen health insurance policies.

Network hospitals: Coverage is often limited to a network of hospitals enlisted by the insurance provider, restricting the choice of healthcare facilities.

Before purchasing affordable data insurance, it’s essential to carefully review the policy, understand the coverage, exclusions, and limitations.

Additionally, comparing different plans and considering factors like claim settlement ratio and network hospitals can ensure a well-informed decision aligned with one’s needs and budget.

ALSO READ | How to convert your existing physical insurance policies to electronic format?

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

How to convert your existing physical insurance policies to electronic format?

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The Insurance Regulatory and Development Authority of India (IRDAI) has mandated that all new insurance policies issued from April 1, 2024, be in electronic form. Under this directive, policyholders can access their insurance documents digitally, with physical copies available only upon request.

This initiative mirrors the system of holding shares in digital form within a demat account.

Similar to how investors open demat accounts to manage their shares, policyholders now need to establish an e-Insurance Account (eIA) to store and access their insurance policies electronically.

The transition to e-insurance promises an array of benefits for policyholders, ranging from heightened convenience to more security measures.

With all insurance policies eligible for electronic storage and accessible through an e-insurance account, managing insurance plans becomes more streamlined and efficient.

Furthermore, digitisation is expected to facilitate smoother communication between insurers and policyholders, thereby enhancing the claims settlement process and overall customer experience.

For policyholders looking to convert their existing physical policies into electronic format, the process involves these steps:

Fill conversion form

Policyholders are required to fill out a conversion form providing essential details such as the policyholder’s name, policy number, e-insurance account number, and company name.

Submission of form

The completed conversion form can be submitted along with the eIA opening form to the insurance branch or an approved person.

Confirmation

Upon successful conversion, policyholders receive confirmation via SMS and email, indicating the completion of the process.

It’s important to note that opening an eIA and converting policies incur no charges, and the physical policy certificate becomes invalid once the conversion is completed.

To initiate the process of opening an eIA, policyholders must download and fill the eIA form from their chosen repository and submit it along with Know Your Customer (KYC) documents, including a recent passport-size photograph, Permanent Account Number (PAN) card, proof of date of birth, identity proof, and address proof.

Once the application is received, it will undergo verification and processing, with the eIA becoming operational within seven days of submission.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

National Pet Day 2024: Insurance policies for your cats & dogs, coverage options and more

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

National Pet Day is celebrated on April 11 every year. For many, pets are not just animals but cherished family members, deserving of the best care and attention. However, as any pet owner knows, unforeseen medical expenses can quickly accumulate, leading to financial strain and emotional stress.

Recognising this need, HDFC ERGO General Insurance has unveiled a new solution — Paws & Claws, a comprehensive insurance plan tailored specifically for pet dogs and cats.

Paws & Claws aims to provide end-to-end pet care, covering everything from diagnostic procedures to medications.

This policy offers flexibility, allowing pet owners to include up to five pets under a single policy, with an option for commercial breeders to cover up to 10 pets aged between six months to five years, renewable for up to seven years.

While HDFC ERGO’s Paws & Claws stands out as a comprehensive option, several other insurance providers in India also offer various pet insurance policies.

Here are some insurance policies available for pets in India:

(Source: Policybazaar)

Parthanil Ghosh, President Retail Business at HDFC ERGO General Insurance, emphasised the importance of pet insurance for comprehensive medical care without financial worries.

He suggests that pet insurance is suitable for pet owners who seek peace of mind, knowing their pets are covered for medical expenses.

Vivek Chaturvedi, CMO and Head of Direct Sales at Digit General Insurance, breaks down the coverage options available under pet insurance plans:

OPD cover

An OPD cover aids in paying for expenses incurred at a veterinary clinic. There are various illnesses a pet can be susceptible to.

These include ear or skin infections, respiratory issues, infections due to common viruses, bacteria, parasites, among others. All such common illnesses may require pet owners to visit a vet clinic. Expenses occurring out of such visits can be met by taking an OPD cover.

Specific illness cover

Just like humans, a pet animal can also be prone to various serious illnesses, treatment of which could be expensive.

A specific illness cover can provide coverage to various ailments such as benign tumours, gall bladder stones, hepatitis, cataracts, among others. This also covers expenses related to diagnostic procedures, medications, chemotherapy, dialysis, blood transfusions, among other medical necessities.

Critical illness cover

One can also take a critical illness cover for pets to cover more serious illnesses and conditions.

Under this cover, the insurer pays up a lump sum amount up to the sum insured if the pet is diagnosed with any of the eight critical illnesses, including heart disorders, malignant tumours, renal or kidney failure, liver failure, cirrhosis, pulmonary fibrosis, and radial nerve paralysis.

The illnesses covered can vary from insurer to insurer.

Third-party liability cover

A non-health cover that is often available under a pet insurance cover is the third-party liability cover.

This cover serves to protect pet parents from any legal liability to pay for damages in case of any third-party civil claims of bodily injury or property damage resulting from any unruly behaviour of the pet.

Who should buy and how much coverage?

According to Chaturvedi, CMO and Head of Direct Sales at Digit General Insurance, as pets age, they may become prone to common diseases. So, opting for pet insurance coverage can mitigate the financial burden of health-related expenses.

“The sum insured may vary based on healthcare expenses in the city and the pet’s age. Typically, pet owners can secure coverage starting from ₹40,000, up to ₹1.5 lakh. However, this varies among insurers. It’s essential to note that the premium depends on factors such as the chosen plan type, pedigree, age, breed, and selected sum insured,” he told CNBC-TV18.com.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Bajaj Allianz Life introduces premium payment options on WhatsApp

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Bajaj Allianz Life Insurance on Tuesday (April 9) introduced premium payment options on WhatsApp through a partnership with Meta. With this, customers will be able to pay their premiums through various payment modes like net banking, credit card, unified payments interface (UPI) directly within the WhatsApp interface.

This initiative eliminates the need to switch between various payments apps and ensures uninterrupted and efficient premium payments directly within WhatsApp, Bajaj Allianz Life said.

With WhatsApp Pay’s end-to-end encryption, all transaction details are protected, the company said.

Rajesh Krishnan, Chief Operations & Customer Experience Officer at Bajaj Allianz Life Insurance said, “Bajaj Allianz Life is driven by our Customer First approach, and WhatsApp has been integral in the mix of our numerous initiatives to drive delightful customer experience. We have a significant customer base who uses our WhatsApp Chatbot to avail themselves of over 25 services. With the new premium payment option on the platform, customers will now have an even more enhanced experience.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Lombard partners with Policybazaar to ‘democratise’ insurance in India

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

ICICI Lombard, a private general insurance company, and Policybazaar, an  insurance platform, have entered into a strategic partnership. The partnership will combine the product portfolio of ICICI Lombard and the reach of Policybazaar and provide accessible insurance solutions to nearly one crore customers, the companies said in a joint statement.

The integration will extend across multiple business lines of the Policybazaar platform, including retail audiences, corporates, and channel partners, the companies said.

Sarbvir Singh, Joint Group CEO of PB Fintech, stated, “Together, we aim to realise the vision of ‘Insurance for All by 2047’ in India.”

Anand Singhi, Chief of Retail and Government Business at ICICI Lombard, said, “By leveraging digital distribution channels, we aspire to democratise insurance in India, providing consumers with an accessible and comprehensive platform to purchase insurance seamlessly.”

Policybazaar.com, a flagship platform of PB Fintech, stands as one of India’s leading digital insurance platforms, alongside brands like Paisabazaar.com.

On the other hand, ICICI Lombard has issued over 32.7 million policies and settled 3.6 million claims as of March 2023.

ALSO READ | General insurance premiums rise 10% in March, ICICI Lombard leads in collection figures

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

General insurance premiums rise 10% in March, ICICI Lombard leads in collection figures

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The general insurance industry witnessed a 10% rise in premium in March and a 13% growth in financial year 2024 (FY24). The key players in the industry showcased diverse performance metrics during this period.

ICICI Lombard reported an 18% increase in premiums for March and a 22% surge in the fourth quarter of FY24. The company sustained its momentum with an 18% growth for the full financial year, nearly double the industry average.

Further, ICICI Lombard witnessed a market share addition of approximately 37 basis points.

The March premiums for Star Health Insurance grew by 18%, aligning with industry trends. However, concerns persist as the company continues to underperform relative to the industry average.

Notably, Star Health faced a setback in market share, losing about 330 basis points compared to other standalone health insurance firms.

New India Assurance faced some challenges, with March premiums remaining flat. It posted a small  2% increase in the fourth quarter of FY24.

The company also faced a market share loss of about 64 basis points.

Standalone health insurance companies, meanwhile, registered significant growth, with premiums soaring 26% in March and 28% in the fourth quarter of FY24.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

New financial year begins today: A look at key changes slated for April

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

With the new financial year beginning today, numerous changes are poised to take effect. This may affect individuals across various domains. From revisions in some credit card policies to shifts in banking and investment regulations, here’s a comprehensive overview of what lies ahead:

Credit card changes

SBI Card to overhaul reward points policy

SBI Card has updated its policies on the accrual of reward points. Commencing from April 1, 2024, the accrual of reward points on rent payments will be discontinued for a range of credit cards offered by the lender. AURUM, SBI Card Elite, SimplyCLICK SBI Card, are among the cards primarily affected.

ICICI Bank to raise minimum spend for lounge access

ICICI Bank has revised its criteria for complimentary airport lounge access. Starting from April 1, 2024, customers will have to spend a minimum of ₹35,000 in the preceding calendar quarter to unlock one complimentary airport lounge access for the subsequent quarter. This modification applies to a variety of ICICI Bank credit cards, including the Coral credit card, MakeMyTrip ICICI Bank Platinum credit card, and others.

YES Bank to adjust lounge access benefits

Yes Bank will revamp its domestic lounge access benefits from April 1, 2024. The bank has officially communicated that, for all its credit cards, cardholders will be required to spend a minimum of ₹10,000 in the ongoing quarter to qualify for lounge access in the subsequent quarter.

Axis Bank to change Magnus Credit Card benefits

Axis Bank has announced changes to its Magnus Credit Card from April 20 onwards. These revisions include adjustments to reward earnings, lounge access programmes, and annual fee waiver exclusions.

Spends on insurance, gold/jewellery and fuel categories will no longer qualify for reward points.

Benefits, including complimentary concierge services and airport meet and assist services, will be discontinued.

The lender will also make changes to the domestic airport lounge access programme, necessitating a minimum spend of ₹50,000 in the preceding three months for lounge access.

The number of complimentary guest visits for both domestic and international lounges will also be reduced from eight to four per calendar year.

Debit card changes

SBI to increase annual maintenance charges by ₹75 on some debit cards

State Bank of India (SBI) has announced a hike of ₹75 in the annual maintenance charges associated with certain debit cards. The same will be effective from April 1, 2024, as per the information available on the SBI website.

Mutual fund changes

Mutual funds to stop fresh inflows in overseas ETFs

The Securities and Exchange Board of India (SEBI) has directed asset managers to halt inflows into schemes investing in overseas exchange-traded funds (ETFs) effective April 1. Experts believe that SEBI’s move come on the back of overall industry surpassing the $1-billion (approximately ₹8,311 crore as of March 21, 2024) limit.

Consequently, the Association of Mutual Funds in India (AMFI) issued a letter to fund houses instructing them to cease accepting subscriptions to funds investing in overseas ETFs from April 1, 2024.

Investment changes

New login mechanism for NPS accounts

Starting April 1, 2024, National Pension System (NPS) users will be required to undergo Aadhaar-based login authentication, which will be integrated with the existing user ID and password-based login process.

The Pension Fund Regulatory and Development Authority (PFRDA) said this new login process seeks to address concerns related to unauthorised access and potential security threats within the NPS framework.

Aadhaar’s two-factor authentication system introduces additional layers of verification to certify the authenticity of fingerprints.

Insurance changes

Insurance regulator’s final rules on surrender value from April 1

The Insurance Regulatory and Development Authority of India (IRDAI) has announced its final regulations concerning surrender value. Effective April 1, 2024, surrender value is expected to remain the same or even lower if policies are surrendered in a period of within three years.

However, policies surrendered between the fourth and seventh years may witness a marginal increase in surrender value.

For non-single premium life insurance policies, a guaranteed surrender value will be provided upon payment of premiums for at least two consecutive years.

E-insurance to become mandatory

The Insurance Regulatory and Development Authority of India (IRDAI), has announced the compulsory digitisation of insurance policies starting April 1, 2024. Under this directive, all insurance policies across various categories, including life, health, and general insurance, will be issued electronically.

FASTag protocol update

Come April 1, 2024, a significant change is slated for FASTag users too.

Failure to update the Know Your Customer (KYC) details of one’s FASTag with the bank may lead to disruptions in toll payments. Banks will deactivate FASTags lacking updated KYC information post-March 31.

Even with a balance, payments won’t be processed, necessitating double toll tax payments at plazas.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

E-insurance to become mandatory from April 1 — what it means for policyholders

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The Insurance Regulatory and Development Authority of India (IRDAI), has announced the compulsory digitisation of insurance policies starting April 1, 2024. Under this directive, all insurance policies across various categories, including life, health, and general insurance, will be issued electronically.

E-insurance, as it’s termed, involves the management of insurance plans through a secure online platform known as an e-insurance account (EIA).

This initiative promises a multitude of benefits for policyholders, ranging from enhanced convenience to heightened security.

Siddharth Singhal, Business Head of Health Insurance at Policybazaar.com, lauded the move as a customer-centric initiative.

ALSO READ | From day one coverage to transferrable waiting period — here’s how maternity health insurance is evolving

He emphasised the convenience that e-insurance brings, stating, “With all insurance policies eligible to be held in electronic format and accessible through an e-insurance account, managing insurance plans becomes more convenient than ever before.”

Singhal highlighted several advantages of digitisation, including the elimination of paperwork, reduced risk of document loss, and simplified processes for updating details such as changes in address or contact information across multiple policies.

Furthermore, he emphasised that this digital transformation fosters seamless communication between insurers and policyholders, facilitating smoother claims settlement processes and ultimately enhancing the overall experience for policyholders.

ALSO READ | Insurance regulator’s final rules on surrender value from April 1: Here’s what it means for policyholders

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

CNBC-TV18 Accelerate, LIVE webinar on personal finance, to launch on May 11: Check link to register

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

In a bid to empower individuals struggling with financial management, CNBC-TV18 has announced the launch of CNBC-TV18 Accelerate, a comprehensive masterclass on personal finance. Scheduled for Saturday, May 11, starting at 9 am, this four-hour live webinar will help investors navigate the complexities of personal finance.

The event will feature insights from Mohit Gang of MoneyFront, Gurmeet Chadha of Complete Circle Consultants, and Harshvardhan Roongta of Roongta Securities.

With a combined experience spanning over four decades, these experts will curate a holistic financial plan covering aspects such as insurance, tax-saving strategies, portfolio management, retirement planning, and investment selection.

The webinar will focus on the importance of wealth accumulation, growth, and preservation.

Participants will be able to get insights on structuring insurance plans effectively, including health and term insurance considerations such as coverage needs, sum insured, and settlement ratios.

Participants will also receive guidance on calculating retirement corpus.

Following this, Mohit Gang will delve into asset allocation and investment strategies.

Meanwhile, Gurmeet Chadha will demystify the process of selecting portfolio stocks.

The webinar will further shed light on alternative investment opportunities such as sovereign gold bonds and the importance of portfolio diversification for mitigating risk.

In addition to the structured sessions, participants will have the opportunity to engage in a one-hour interactive Q&A session, enabling them to seek personalised advice and clarity on their financial queries from the panel of experts.

Click here to register for ‘CNBC-TV18 Accelerate’

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow