Wednesday, June 5, 2019

Is Consolidation process on in health Insurance?

Understand HDFC Ergo is near to close its deal with Apollo Munich. We are aware of that Ergo and Munich Re are brands of the same German group. 

The questions before us are - After the deal is through

  • Will Apollo Munich remain a separate company?
  •  Will it be merged with HDFC Ergo?
You should not be surprised if  Health portfolio of HDFC Ergo is merged with Apollo Munich Insurance which is 100% health Insurance Company and has built up expertise in the Health portfolio over many years.

We are sure the name of Apollo will be dropped out of the brand and HDFC Munich Health Insurance comes before us as a new Brand.  Let us wait and watch.

ttk is moving out of Cigna ttk as the equity is being sold to Manipal Hospital Group.

At the same time we are hearing about merger of Oriental, National and United. If the merger takes place, then this will also be a major change. We foresee Health portfolio of 4 PSU's getting under one banner. One thing is sure that Health Insurance Portfolio is going to increase and increase.

With fewer exclusions, why health insurance premium should increase?

In the recent months Government/ Regulator has been moving in the direction of reducing exclusions in Health Insurance Policy. I found it interesting to read the viewpoint of leading persons in the country in Mint Newspaper:
  • Mr. S. Brahmajosyula (head, underwriting and reinsurance) SBI General Insurance
  • Mr. G. S Batra (head,retail underwriting) bajaj Allianze General Insurance
  • Mr. Tarun Mathur (Chief, business officer, general insurance)
  • Mr. Ravi Vishwanath (executive Director and chief executive officer) reliance Health Insurance.

Indications are that due to reduction of exclusions the industry is in a mood or is considering to increase the premium.

Are we not ignoring the fact that reduction in exclusions will result in increase in customer base as more customers will buy this product. As the number of policy holders increases the benefit should be passed on them.

Various factors are stopping us from increase in premium as this will result is retarding the growth of health insurance. Reduction of Fixed Deposit interest rate has affected many senior citizens and has compelled them to either reduce sum assured in the policy or even let the policy lapse.

It is our right to expect from Finance Minister that GST on health insurance policy be reduced or why not be brought to 0%.

50 Crores families will benefit from Ayushman with majority funding coming from Government. Then  4 Crores families who buy Health Insurance out of their own pocket or savings –Government should  support them with GST at 0%or say 5%  on Health insurance.

If you are convinced with this view point then take initiative of writing your demand to Finance Minister as her office has started working on the Budget. I am sure hon’ble Minister will definitely respond to 25000 letters.

Saturday, May 9, 2015

Which insurance company provides maternity cover Rs 2 lakhs

Normally the figure is Rs. 30000 to Rs 50000 . It is good to know that now Royal Sundaram covers amount of Rs 2 lakh . This was requirement of up market customers who patronize hospitals like Fortis La femme in Greater Kailash 2 in New Delhi .

Details are available on ria

Saturday, February 28, 2015

Good & Bad for Insurance in Budget 2015

Good & Bad for Insurance in Budget 2015
  1. Increase in Health Insurance exemption limit from Rs 15000 to Rs 25000
  2. Increase in Health Insurance exemption limit for senior citizens from Rs 20000 to Rs 30000
  3. Jan Dhan account holders get Term cover for Rs 2 Lakhs by paying Rs 330 per year provided age is 18 to 50 years. Payment out of Bank Account

According to S K Sethi Director RIA Insurance Brokers Pvt Ltd
  1. We welcome increase the limit for Individuals and senior citizens Services tax should be removed for all Health Insurance policies. On premium of Rs 18000 Crores the tax collected is Rs 2050 Crores which is discouraging the families to buy Health Insurance.
  2. Rate should be Rs. 100 per year as Life Insurance have issued Group Term Insurance policies for Rs 76 per year for sum assured of Rs 2 lakhs . For 6crores persons rate has to be attractive. Rs 330 are very high premium. Negotiation is required by the Government.

Friday, March 21, 2014

Overseas Travel Policy of 14 Indian Insurance Companies is to be accepted by Embassies for Issue of Schengen (European Visa Authority) Visa

Overseas Travel Policy issued by following Indian Insurance Companies is not to be honoured by Schengen (European Visa Authority) w.e.f.March 10, 2014
1- National Insurance
2- SBI General
3- ICICI Lombard
4- Bharti Axa General
5- L&T General Insurance
6- Religare Health Insurance
7- Raheja QBE.
This decision seems to have come because of various reasons and some of these are
1- Claims not being honoured
2- Policies floating in the market, which were not genuine policies or we can say were fake policies
3- Inability of Visa authorities to verify the genuineness of the policy by accessing the data base of the Insurance Companies as software is not compatible.

We are reproducing the Circular of Visa Authority according to which list of approved or acceptable Insurance Companies is:
            Schengen States Consular Posts Approved List of Indian Travel Insurance Companies Providing Travel Medical Insurances for Schengen Visa Procedure
                 Effective as of 10 March 2014

                1) Apollo Munich for the age group of 6 months to 70 years
                2) Bajaj Allianz for the age group of 6 months to 70 years
                3) Chola MS for the age group of 0 month to 70 years
                4) Future Generali for the age group of 6 months to 70 years
                5) HDFC Ergo for the age group of 3 months to 70 years
                6) IFFCO Tokio for the age group of 3 months to 70 years
                7) New India Assurance Company for the age group of 0 month to 60 years
                8) Reliance for the age group of 3 months to 70 years
                9) Royal Sundaram for the age group of 3 months to 70 years
                10) Star Health and Allied Insurance for the age group of 6 months to 70 years
                11) Tata/AIG for the age group of 6 months to 55 years
                12) Oriental Insurance Company for the age group of 6 months to 60 years
                13) United India Insurance Company for the age group of 0 month to 65 years
                14) Universal Sompo for the age group of 0 month to 70 years
Consular Posts of Schengen States approved specific travel medical insurance policy schemes for corporate travels of travel insurance companies on this list with 70 years of age as upper limit of appropriate coverage. However, acceptance of travel medical insurance policy schemes for group travels (e.g. tour or incentive groups) with 70 years of age as upper limit of appropriate coverage is conditioned on that Consular Posts of Schengen States would be able to check the coverage of individual members of these groups in the Travel Insurance Portals of Non-Life Insurers of the General Insurance Council (online verification tool). 
Visa applicants are advised to note that other travel medical insurances issued by Indian insurance companies are not accepted for Schengen visa procedure. However, visa applicants may seek to obtain insurance in any other country where claims against the insurance company would be recoverable in a Schengen State.


Visa applicants for a Schengen visa for one or two entries shall prove that they are in possession of adequate and valid travel medical insurance to cover any expenses which might arise in connection with repatriation for medical reasons, urgent medical attention and/or emergency hospital treatment or death, during their stay(s) on the territory of the Schengen States. Visa applicants for a uniform visa for more than two entries (multiple entries) shall prove that they are in possession of adequate and valid travel medical insurance covering the period of their first intended visit. In addition, such applicants shall sign the statement, set out in the application form, declaring that they are aware of the need to be in possession of travel medical insurance for subsequent stays. The insurance shall be valid throughout the territory of the Schengen States and cover the entire period of the person’s intended stay or transit. The minimum coverage shall be EUR 30 000. Applicants shall, in principle, take out insurance in their country of residence. Where this is not possible, they shall seek to obtain insurance in any other country. When assessing whether the insurance cover is adequate, consulates shall ascertain whether claims against the insurance company would be recoverable in a Schengen State.

1This note makes reference to Article 15 of Regulation 810/2009 of the European Parliament and of the Council of 13 July 2009 establishing a Community Code on Visas.
We are surprised to see age limit of 70 years. What will happen to those who are above 70 years? This needs to be clarified. May be IRDA can come up with suitable action to save the image of those companies, who have been blacklisted.

We in Ria Insurance Brokers P Ltd will be pleased to answer queries from you, who are planning to go in for Schengen Visa in the coming months. We are reachable on

Tuesday, March 18, 2014

Salient Features of Cigna Health Insurance Policy

It is always good to have more entrants to Health Insurance sector as every new entrant brings some innovation in product, which is good or even better for the client.

Some of the features which we have noticed in Cigna product and need appreciation are:

  1. Sum Assured of Rs.100 Lakhs is possible. Till recently this was Rs.50 Lakhs / Rs.60 Lakhs in case of Religare Health Insurance. National policy for Senior Citizens has maximum cover of Rs 1 Lakh + Rs 2 lakh for Critical Illness.
  1. Overseas Travel -Insured is covered for sum assured or Rs.10 lakhs (whichever is lower) for overseas travel, where medical emergencies can be covered. This means that Overseas Travel Policy need not be required by those policy holders ,who are not bothered about risks like:
·        Baggage loss
·        Passport loss.

This benefit will be a good benefit for senior citizens, who may not need Medical examination for issue of overseas Travel Policy.

  1. For those who are opting for Sum Assured of Rs.4.5 lakhs and more – extensive medical tests can be done every year, which cost Rs.6000 to Rs.8000. Going in for medical tests every year can result in early diagnosis of some major ailments. It can avoid pain to the insured and avoid major claim on Insurance Company 

For quotes you may reach us on or call 9810090853