Page 8 - Insurance News
As debate over obligatory cession rages, GIC Re could hold the solution
Whether obligatory cession should be cut to zero or retained could be resolved by allowing GIC Re to independently set commissions instead of Irdai mandating a fixed rate
 "As debate over obligatory cession rages, GIC Re could hold the solution")
Life Insurance Council to spend ₹160 cr yearly on awareness drive
The three-year campaign aims to bridge the protection gap and improve life insurance penetration, which fell to 2.8 per cent in FY24 despite industry premium growth
 "Life Insurance Council to spend ₹160 cr yearly on awareness drive")
Irdai unlikely to act against bancassurance despite mis-selling fears
Insurance regulator finds bancassurance mis-selling not alarming and rules out coercive curbs while continuing to advise insurers to list for transparency and governance
 "Irdai unlikely to act against bancassurance despite mis-selling fears")
Why is life insurance losing lustre as a savings scheme for India's youth?
As life insurance loses share in households' financial savings, insurers are rushing to create new products, mostly in health insurance, to stay engaged with a younger demographic
FinMin working to double the life insurance cover under the PMJJBY
As part of this revamp, a revision in premiums is also under consideration
Irdai flags issues at 8 insurers over health master circular norms
Regulator begins phased inspections of health insurers; issues linked to claims settlement and compliance with the new Health Insurance Master Circular
 "Irdai flags issues at 8 insurers over health master circular norms")
New India Assurance gets ₹2,298 cr GST demand notice for 5 financial years
The company has received a show cause notice dated June 26, 2025, from the office of Additional Commissioner
 "New India Assurance gets ₹2,298 cr GST demand notice for 5 financial years")
Marine insurers monitoring Israel-Iran war, may have to up coverage rates
In case the war escalates, insurers can cancel war risk coverage, and increase marine insurance rates
 "Marine insurers monitoring Israel-Iran war, may have to up coverage rates")
Air India crash risks fueling up to 30% jump in airline insurance premia
Insurance claims for the Air India crash are expected in the realm of $475 million, including those for the aircraft's hull and engine as well as additional liability for loss of life
 "Air India crash risks fueling up to 30% jump in airline insurance premia")
Centre likely to relax the board regulations for foreign insurers
The official stressed that while the reforms are not intended to open the floodgates to foreign control, they signal a more welcoming approach to global participation in leadership roles
 "Centre likely to relax the board regulations for foreign insurers")
Insurers clock rise in parametric claims amid extreme weather events
Policy pays claims automatically when a predefined event meets a specific threshold
 "Insurers clock rise in parametric claims amid extreme weather events")
Air India crash may trigger insurance claims worth around $475 million
Insurance premiums across the aviation industry are expected to rise in India, either now or at the time of policy renewals, according to people familiar with the matter
 "Air India crash may trigger insurance claims worth around $475 million")
Mphasis joins hands with Sixfold to provide AI solution to insurers
This collaboration follows the trend of adoption of AI technology in the insurance sector
 "Mphasis joins hands with Sixfold to provide AI solution to insurers")
Ahmedabad plane crash: Life insurers speed up claim settlement for victims
LIC, HDFC Life, and Bajaj Allianz have introduced fast-track claim processes and relaxed documentation to support families affected by the Air India crash in Ahmedabad
 "Ahmedabad plane crash: Life insurers speed up claim settlement for victims")
Crash likely to trigger claims up to $150 mn for insurers, reinsurers
About 10 per cent of the claims are likely to come on the books of Indian insurers and reinsurers, according to industry observers
 "Crash likely to trigger claims up to $150 mn for insurers, reinsurers")
US insurers to more than double AI investment in 3-5 years: Wipro report
Most US insurers plan to raise AI share in IT budgets from 8 to 20 per cent over 3 to 5 years as they integrate AI into underwriting, compliance and customer services
 "US insurers to more than double AI investment in 3-5 years: Wipro report")
Non-life insurers' premium rises 6.3% in May, led by health players
Non-life insurance premiums rose to ₹22,126.72 crore in May 2025, with robust contributions from standalone health and specialised insurers despite regulatory format changes
 "Non-life insurers' premium rises 6.3% in May, led by health players")
Axis Max Life Insurance appoints Sumit Madan as MD & CEO effective Oct 1
Madan is currently senior director and chief distribution officer (CDO) at the company
 "Axis Max Life Insurance appoints Sumit Madan as MD & CEO effective Oct 1")
Three months after Panda's exit, Irdai chairperson post remains vacant
Absence of a regulator stalls key insurance reforms including Bima Trinity, composite licence, and risk-based capital framework
 "Three months after Panda's exit, Irdai chairperson post remains vacant")
Surety bonds' market faces multiple growth challenges despite govt push
The issuance of such bonds remains muted due to several challenges, such as collaboration between banks and insurance firms, data sharing, and regulatory parity, among others
 "Surety bonds' market faces multiple growth challenges despite govt push")