Wednesday, July 16, 2008

We welcome BUPA decision to enter India

We are pleased to know that MAX has joined hands with BUPA and JV will be taking shape in the coming months.

We are hopeful that with BUPA entry we will be moving away from an era of traditional health insurance products to innovative products offering premium features, ofcourse with corresponding price increase.

International automobile companies are selling premium automobiles to the Indian customers/HNI customers with price ranging from Rs. 20 Lakhs to Rs. 550 Lakhs (insurance premium varying from Rs. 60000 to Rs. 15 Lakhs)

Is it not surprising that we have been selling Health Insurance Policy with sum assured of Rs. 5 Lakhs (rarely Rs. 10 Lakhs) and premium in the range of Rs. 10000 to Rs 15000

The person has his car insured for accidental repairs of Rs. 20 Lakhs or Rs. 80 Lakhs or even Rs. 200 Lakhs but he himself can go in for hospitalization of Rs. 5 Lakhs only.

In one of our blog we wrote that helicopter evacuation is not allowed as a payable expense in the policies being issued. Grand sum of Rs. 1000 is available for ambulance charges.Let us change with time.

Let us hope BUPA and some new entrants will change the rules of the game,

Friday, July 11, 2008

Health Insurance is the fastest growing segment of non life/general/health insurance industry of India

In 2005 when we brought out ''Best Guide to Buy Health Insurance'' in the form of book we had predicted that Health Insurance will emerge as an important segment of Indian non life insurance industry.

Even though we never thought that due to detariff the rates for Fire Insurance will go down by 85 to 90%-but we are pleased to note that during 2007 -2008 health insurance premium has grown from Rs 3300 crores to 5000 crores and with growth rate of 50% ,it has emerged as the fastest growing segment of Indian non life insurance industry.

We do hope this segment will now attarct the attention of top management and they will look into various aspects with a view to improve customer satisfaction.