Covid provision pool lowered, but 'we got you covered': Life insurers

As claims burden drops, life insurers hold enough reserves, cushioning balance sheet against risk

Although Covid cases remain at elevated levels across the country, the top three private-sector life insurers have reduced their provision pool for future Covid-linked claims because the emerging experience of other geographies suggests that mortality due to the current variant is significantly lower than the earlier mutations. Nonetheless, they continue to hold sufficient provisions to cover any liability that may arise, given the current wave in the country has not peaked yet and a section of the population remains unvaccinated or partially vaccinated.

At the end of the October-December quarter (third quarter, or Q3) of 2021-22 (FY22), ICICI Prudential Life Insurance