You are here: Home » Finance » News » Insurance

Life insurers' health portfolio might see slump

IRDAI has said that a life insurer cannot offer indemnity-based products in either individual or group segment

With the Regulatory and Development Authority (Irdai) asking to withdraw indemnity-based health products, the overall health business is expected see a drop.

had said a life insurer could not offer in individual or group segments.

The chief executive of a mid-size life company said the sector was in the process of withdrawing plans. "Until new plans are launched in the health segment, premium collections from this will see a drop," the official said.

Insurers will have to give a prospective date of closure for not later than three months from the date of notification of the regulation. For existing policyholders, the policy shall continue until the expiry of the term.

Further, said no single premium health product can be offered under unit-linked platform.

Earlier, used to offer mediclaim policies, while non-life and stand-alone health insurers offered specialised policies.

But, this trend underwent a change in 2015, when became aggressive and launched a host of products to cater to rising demand. Overall, health plans contribute about 10 per cent of life insurers' portfolio.

image
Business Standard
177 22
Business Standard

Life insurers' health portfolio might see slump

IRDAI has said that a life insurer cannot offer indemnity-based products in either individual or group segment

M Saraswathy  |  Mumbai 

PSU general insurers may see up to 10% stake sale

With the Regulatory and Development Authority (Irdai) asking to withdraw indemnity-based health products, the overall health business is expected see a drop.

had said a life insurer could not offer in individual or group segments.


The chief executive of a mid-size life company said the sector was in the process of withdrawing plans. "Until new plans are launched in the health segment, premium collections from this will see a drop," the official said.

Insurers will have to give a prospective date of closure for not later than three months from the date of notification of the regulation. For existing policyholders, the policy shall continue until the expiry of the term.

Further, said no single premium health product can be offered under unit-linked platform.

Earlier, used to offer mediclaim policies, while non-life and stand-alone health insurers offered specialised policies.

But, this trend underwent a change in 2015, when became aggressive and launched a host of products to cater to rising demand. Overall, health plans contribute about 10 per cent of life insurers' portfolio.

RECOMMENDED FOR YOU

Life insurers' health portfolio might see slump

IRDAI has said that a life insurer cannot offer indemnity-based products in either individual or group segment

IRDAI has said that a life insurer cannot offer indemnity-based products in either individual or group segment
With the Regulatory and Development Authority (Irdai) asking to withdraw indemnity-based health products, the overall health business is expected see a drop.

had said a life insurer could not offer in individual or group segments.

The chief executive of a mid-size life company said the sector was in the process of withdrawing plans. "Until new plans are launched in the health segment, premium collections from this will see a drop," the official said.

Insurers will have to give a prospective date of closure for not later than three months from the date of notification of the regulation. For existing policyholders, the policy shall continue until the expiry of the term.

Further, said no single premium health product can be offered under unit-linked platform.

Earlier, used to offer mediclaim policies, while non-life and stand-alone health insurers offered specialised policies.

But, this trend underwent a change in 2015, when became aggressive and launched a host of products to cater to rising demand. Overall, health plans contribute about 10 per cent of life insurers' portfolio.
image
Business Standard
177 22

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard