Pankaj Arora

An overview of selecting the right insurance plan

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Discover the pre-budget expectations for the life insurance sector from Mr. Nitin Mehta, our Chief Distribution Officer - Partnership Distribution and Head Marketing, in the latest article in LiveMint. Read more: https://bit.ly/3LvBvrC #UnionBudget2024 #Budget2024

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"This is what is required today -- more and more information to the buyers," says the highly revered Nilesh Sathe as he speaks about The Policybazaar Insurance Show, recently launched with CNBC-TV18. Painstakingly made just to make insurance more accessible -- we hope our viewers feel the same about this initiative. Don't forget to tune in! #PolicybazaarInsuranceShow #InsuranceEducation #BuyersInformation #CNBCTV18 #FinancialLiteracy #InsuranceAwareness #EmpowermentThroughKnowledge

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Interviewed Mr. Asit Rath, the MD & CEO of Aviva India today. A very interesting conversation on changing the insurance industry landscape in India 👇 A. Why insurance along with investments? Why not unbundle? He answered that they're doing away with the heavy upfront commissions. Their expense ratio on AUM for ULIPs is around 1.35%, which is less than that of most regular mutual funds. The average time a customer stays in their policies is for about 15+ years, whereas 73%+ of redemptions of regular mutual funds come within 2 years. He believes that it is more about time and insurance products are designed in a way to keep investors disciplined (surrender norms). B. Innovation in products They're coming with products that give customers Smart Watch, AI powered, Nutrition Diet, BP Monitor, Smart Scale along with a minuscule term insurance premium. It will help customers track their daily steps, sleep schedule and lead a healthy life. --------------------------------- I questioned about various other issues and he answered about insurance mis-selling and how it should be tackled by the industry as a whole. Asit is a really humble person and it was a very insightful conversation. Will share the snippets of the interview on YouTube shortly and the transcript in the fourth edition of the magazine. Stay tuned! Disclaimer: Not an investment advice or my personal recommendation.

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OPD coverage can reduce the large ticket hospitalisation claims being received/ handled by Insurers in the country. May be India is an exceptional country where the importance of OPD and Family Doctor (General Physician) is not being apprecaited. My views on BT Money Today (on Aug 07, 2024) will result in beginning of new era in Indian Health Insurance industry . The views are: If OPD (Outpatient Department) services are allowed liberally by insurers then individuals can visit doctors (family doctor or general physician), take necessary medications, and receive treatment without the need for hospitalization. Read the full article also available on https://lnkd.in/gUpmEVYU & https://lnkd.in/gHt-w_ug #OPDinsurancecoverage #OPDhealthinsurnace #healthinsurnacecompanies #increaseinsurancecoverage #hospitalisationIndia #healthinsuranceindia

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The Imperative for Personal Retail Plans: In recent years, the importance of health insurance has become increasingly apparent to individuals and families across India, especially after COVID-19. With rising medical costs and an increasing burden of lifestyle diseases, having a robust health insurance plan has emerged as a necessity rather than a luxury. However, despite this growing awareness, the penetration of health insurance in the country remains low, with only a small percentage of the population having personal retail health insurance. Current Scenario and Business Penetration: As per recent reports, the penetration of health insurance in India stands at around 35%, significantly lower than many developed countries. While employer-provided health insurance and tailor-made policies offered by insurance companies do provide some coverage, they often come with limitations. For instance, many employer-provided policies cease to exist once an individual leaves their job, leaving them vulnerable in the event of a medical emergency. The Need for Personal Retail Health Insurance: It is imperative for all Indians to consider purchasing personal retail health insurance, which offers several advantages over other types of policies. Firstly, personal retail plans provide individuals with the freedom to choose a policy that best suits their needs and preferences. These policies can be customized based on factors such as age, health condition, and budget, ensuring comprehensive coverage. Furthermore, personal retail health insurance policies typically come with lifetime renewal guarantees, providing individuals with the assurance that their coverage will not be revoked as they age or if they develop pre-existing conditions. This feature is crucial, especially considering the rising healthcare costs and the unpredictability of medical emergencies. Why Dependency on Employer or Tailor-Made Policies is Risky: Relying solely on employer-provided health insurance or tailor-made policies offered by insurance companies can expose individuals to certain risks. Tailor-made policies offered by insurance companies may not always provide the level of coverage required by individuals, and they may come with restrictions on renewability or portability. In the unfortunate event that an individual needs to switch insurers, they may not be able to carry forward their existing benefits, leading to a loss of coverage. Conclusion: In conclusion, personal retail health insurance offers individuals the flexibility, security, and peace of mind that employer-provided or tailor-made policies may not provide. With the increasing prevalence of lifestyle diseases and the mounting healthcare costs, it is essential for all Indians to prioritize investing in personal health insurance plans that offer comprehensive coverage, lifetime renewability, and portability options, also ensure their financial well-being in the long run. #InsuranceDekho #HealthInsurance #Wellbeing

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Some bigtime scalpel clean careful deep incisions & disruptions coming in for the #bloodsuckers #greedy insurance sector services providers who overstayed their welcome. Perhaps a great move to see who can now offer better and more affordable insurance premium & cover, along with equally better healthcare. This will be an extremely interesting space to watch developments in, the next few years.

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**Importance of Life Insurance for a Family** **திருக்குறள்:** **"தன்னுயிர் தற்காத்தல் சார்ந்தது பிறருயிர் பொறுத்தல் அதுவே மிகும்."** - திருக்குறள் 312 **Thirukural Explanation:** Securing your own life is essential, but even more important is caring for the lives of others. In the context of modern life, this Thirukural emphasizes the significance of life insurance. Life insurance is a crucial safety net that ensures the financial stability of a family in the event of the unexpected. It provides peace of mind, knowing that your loved ones will be taken care of, covering expenses such as education, mortgage, and daily living costs. Investing in life insurance is an act of love and responsibility, safeguarding your family's future and ensuring their well-being. It allows your family to maintain their standard of living, even in your absence, demonstrating the highest form of care and protection. #LifeInsurance #FamilyFirst #FinancialSecurity #PeaceOfMind #Thirukkural #LoveAndResponsibility 💖🏠👨‍👩‍👧‍👦Bharti AXA Life Insurance

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Technology is reshaping the insurance industry, making robust tech capabilities crucial for staying competitive and delivering customer satisfaction. From underwriting to claims processing, investing in advanced infrastructure and fostering technical excellence is key to building a future-ready foundation. Mr. Irfan Shirwani Managing Director - Placement and Claims, India in conversation with Express Computer elaborates on strategies that will enable insurers to build and maintain their technological edge . Read the full article here: https://lnkd.in/g3wSHuSW #India #TechnicalServices

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Big Changes at LIC of India! ( commission) As of October 1, Life Insurance Corporation (LIC) of India has introduced significant updates to its commission structure and policy requirements! *Key Changes:* - _First-Year Agent Commission Reduced_: From 35% to 28% - _Renewal Premium Commission Increased_: From 5% to 7.5% - _Minimum Sum Assured Increased_: From ₹1 lakh to ₹2 lakh These changes follow the revision of surrender value norms by the Insurance Regulatory and Development Authority of India (IRDAI) . The new norms aim to ensure better payouts for customers who exit their policies prematurely. #LIC #Insurance #FinancialServices #IndustryUpdate https://lnkd.in/gZt6bY8h

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Second in the series of expensive mistakes you must avoid while purchasing a health insurance policy is 'No Inflation Protection'. Praveen purchased a health insurance policy in 2019 with a coverage value of Rs. 5 lakhs, with the possibility of needing an angioplasty due to heart disease in the future. What he missed calculating is that medical inflation in India is around 14% per year, which means that the cost of medical treatment and hospitalization is expected to increase each year due to various factors like increasing healthcare costs, technological advancements, and rising demand for medical services. Let's see how not having medical #inflation protection would affect his coverage over time: Year 1: His insurance policy covered the full medical expense of Rs. 5 lakhs.  Year 2: Due to a 14% increase in medical costs in the second year, his medical expenses rose to Rs. 5,70,000. Unfortunately, his insurance policy still only covered Rs. 5,00,000, leaving him with a shortfall of Rs. 70,000 that he had to pay out of pocket.  Year 3: With another 14% increase, his medical expenses now amount to Rs. 6,49,800. Again, the insurance coverage falls short, leaving him to cover the difference. This pattern would continue year after year, with Praveen's medical expenses increasing faster than the coverage provided by his insurance policy due to inflation. This would increase out-of-pocket #medical treatment costs despite having health insurance coverage. To protect against the increasing expense of healthcare services, health insurance plans now offer an 'Inflation Protection' feature. This feature ensures that the sum insured or health insurance coverage increases yearly or after a specific number of renewals to keep up with inflation. It may also be called a cumulative bonus, no-claim bonus or inflation protection benefit. Without this feature, your health insurance may become grossly inadequate over the long term. Imagine if you have a 1 lac sum insured policy now! This feature also restores the sum insured for your family. This means that even if you have already utilized the entire sum insured, your family will not be left without coverage. For instance, one of our customers claimed 1.2 Crores worth of hospitalization expenses in the last year due to cancer. Without this feature, they would have had to pay a large amount out of pocket. The restoration feature is one of the most valuable benefits of health insurance policies. You hope you never have to use it, but if you do, it can be a lifesaver. #healthcare #healthinsurance #insurance #insuranceclaims #health #restoration #inflationprotection #medicalinflation #preexistingdisease #illness #policybazaar

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Tata Digital launches Tata AIA Life Insurance products on Tata Neu app Link in the comments Amreesh Kher Jeelani Basha S A #mediabrief #TataDigital #TataAIALifeInsurance #TataNeu #digital #media

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Book Recommendation 📚: "Lilliput Land: How Small is Driving India's Mega Consumption Story" by Rama Bijapurkar. In a rapidly changing world and evolving Indian market, embracing change opens doors to new opportunities. Understanding the intricacies of the vast consumer landscape is key to success. Rama Bijapurkar's book uses the metaphor of "Lilliput Land" to delve into India's economy, emphasizing the power of small transactions and contributions in shaping a significant impact. Highly recommend reading the book to get more insights backed with data points. For more book summaries like this, follow Shrinivas (Shrini) Susarla 📖 #BookRecommendation #BusinessInsights #ConsumerMarket #IndiaEconomy

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#Generalinsurance industry recorded an annual premium of close to Rs 2.9 lakh crore for FY24, marking a 13% rise from the previous fiscal year's Rs 2.6 lakh crore. #Five standalone #health #insurance companies saw a significant 26.2% increase in total premium, climbing from Rs 26,243 crore to Rs 33,115 crore during the same period. #Standalone health insurance companies' growth can be credited to #larger #policy sizes, as they introduce #high-value #policies worth crores. Premium rates have been adjusted to match #medical #inflation, and coverage has expanded. #Irdai's FY23 report by Emkay Finance shows retail health insurance premiums grew steadily at 20% CAGR from FY12-19. However, between FY19-23, the premium growth rate slowed slightly to 19%, while coverage expansion was limited, with only a 5.9% increase in the number of #insured individuals. The growth was mainly driven by #price and #sum assured adjustments. In the 11 months leading up to Feb 2024, health insurance premium reached Rs 98,716 crore, a 20% rise from last year's Rs 81,997 crore. This figure encompasses health premium from general insurers and SAHI companies, with health insurance's share for this period increasing to 37.5% from 35.2% in the previous year. Two new players, #Galaxy Health and #Narayana Healthcare, enter the health insurance market alongside #Star Health, as per V Jagannathan and Surgeon Devi Shetty. While health insurance premiums are on the rise for most general insurance companies, #slower growth in segments like #motor is holding back their overall performance, #Specialized #insurance sectors, particularly #Agriculture Insurance Company #AIC and #ECGC, have contributed to the non-life industry's #sluggish growth this year. #Agriculture insurance witnessed a significant 32% decline in premiums, falling from Rs 14,619 crore last year to Rs 9,919 crore.

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"The Insurance Regulatory and Development Authority of India (IRDAI) has removed the age cap on buying health insurance policies, effective from April 1, 2024. Earlier, individuals were restricted to purchasing new insurance policies only until the age of 65. However, after the recent changes that have come into effect from April 01, 2024, anyone, regardless of age, is eligible to purchase a new health insurance. "Insurers shall ensure that they offer health insurance products to cater to all age groups. Insurers may design products specifically for senior citizens, students, children, maternity, and any other group as specified by the Competent Authority" said a notification issued by the IRDAI. The move by the insurance regulatory body aims to create a more inclusive healthcare ecosystem in India and to encourage insurance provider companies to diversify their product offerings. IRDAI has also instructed health insurance providers to introduce tailored policies for specific demographics, such as senior citizens, and establish dedicated channels for handling their claims and grievances. "It's a welcome change since it now opens Avenue for people above 65 to seek health cover. Insurers based on their Board approved Underwriting guidelines can cover people above 65. The coverage is subject to offer and acceptance between the Insured and Insurer based on affordability for the senior citizens and viability for Insurers." said an Industry Expert. After the recent notification, the insurers are now also prohibited from refusing to issue policies to individuals with severe medical conditions like cancer, heart or renal failure, and AIDS. According to the notification, IRDAI has decreased the health insurance waiting period from 48 months to 36 months. According to the insurance regulator, all pre-existing conditions should be covered after 36 months, regardless of whether the policyholder disclosed them initially or not. Put simply, health insurers are prohibited from rejecting claims based on pre-existing conditions after these 36 months. The insurance companies are barred from introducing indemnity-based health policies, which compensate for hospital expenses. Instead, they are only permitted to provide benefit-based policies, offering fixed costs upon the occurrence of a covered disease." https://lnkd.in/gHAAZ8ay.

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Take a look at my article on Democratising Insurance Access in Bharat featured in ETBFSI. As we work to bridge the insurance gap across India, technology and localized distribution models are crucial in reaching the heart of Bharat – beyond urban centers to tier 2, tier 3, and rural areas. The article explores how digital innovations, combined with on-ground agents, empower people in these regions to access, understand, and choose the right insurance solutions. At PBPartners, this mission resonates strongly as we continue expanding our local presence and leveraging tech to bring insurance within everyone’s reach. A big thanks to the ETBFSI team for spotlighting this crucial topic! Here’s to building a more inclusive and insured Bharat. #InsuranceForAll #Bharat #FinancialInclusion #PBPartners #DigitalTransformation https://lnkd.in/geB-Bbbc

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Santanu Banerjee, Chief HR Officer of Bajaj Allianz Life Insurance, emphasized that AutomationEdge’s integrated approach has significantly reduced operational challenges and boosted process efficiency. By leveraging AutomationEdge’s #automation solution, Bajaj Allianz has established a digitally advanced workplace. Interested in replicating this success for your organization? Reach out to us to discover how our solutions can drive your #digitaltransformation journey."

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