Reliance General Insurance Company Limited Increases Minimum Sum Assured Limit

Reliance General Insurance Company Limited has increased minimum sum assured limit for Health Wise Silver Plan to Rs.3 lakhs. Even though in leaflets/ brochures Reliance Health Wise minimum sum assured limit for Silver Plan is Rs.1 lakh. But in May 2009 Reliance has stopped accepting proposals for less than Rs.3 lakhs. It means minimum sum assured under Reliance Health-Wise Silver Plan is now Rs.3 lakhs. We feel that this is a step in the right direction as insurance companies are under pressure to control costs. Cost of issuing a policy is estimated at Rs.350 to 450. For a policy where premium is Rs.800 only the insurance company is definitely losing good amount ofmoney.

We are also informed that Reliance has issued guidelines under which at the time of renewal sum assured cannot be increased for Health Wise Silver or Gold. This will motivate customers to buy higher sum in the beginning itself.

For more information visit http://www.healthinsuranceindia.org