Purchasing term insurance: Choose a policy that balances coverage and price

HDFC Life Insurance and Policybazaar have introduced HDFC Life Click 2 Protect Ultimate, a term insurance policy that promises to offer 100 per cent claim assurance. A high claim settlement ratio (CSR) is a key indicator of an insurer’s reliability.

 

Understanding claim settlement ratio

 

CSR represents the percentage of claims settled by an insurer within a financial year. “If 100 claims are filed in a year with an insurer and 98 are processed, that insurer’s CSR would be 98 per cent,” says Abhishek Kumar, a Securities and Exchange Board of India (Sebi)-registered investment adviser and founder, SahajMoney.com.

 

A high CSR