Monthly Bulletin – October 2019
Link-K Monthly Bulletin – October 2019. Insurance Sector basically health as well as automobile sectors has much potential for covering more than 50% of total insurance portfolio in the country. Other sectors like Travel / logistics / Personal Accident etc also add to the unending potential in nonlife market.
In a recent development IRDAI has given its nod to the insurers to increase or decrease the insurance premium by up to 15%, subject to their claim experience in a particular sector. In case an insurance company faces higher loss ratio or higher claim, it need not file permission to the IRDAI for increase the insurance premium.
The General Insurers have also welcomed the IRDAI decision to allow payment of premium on an
installment basis as currently this was available only for life insurance companies. Bringing the installment mode to health insurance might turn out as an incentive to the people to buy an insurance cover.
IRDAI has also given its nod to the insurers to add approved standalone riders or add-ons to approved individual health insurance products without having to file the product again. It also permitted insurers to change the sum insured made available to a policy holder if it is within the range filed for the original policy.
In an aim of revisiting the guidelines on trade and credit insurance, the IRDAI has developed a working group, IRDAI had released the trade credit insurance guidelines in 2016. “Thereafter representations have been received from various stakeholders to revisit the scope of the trade credit insurance, the regulator said in a circular. The group consisting nine members will look after different aspects, inclusive of current regulatory framework, need for changes, risk management, claims handling, pricing reserving and availability of re-insurance support in domestic and international markets.
The festive season just got over in India with Diwali, the festival of lights celebrated on 27.11.2019. Just two days before Diwali, Indians also celebrate a lessor known festival called “Dhanteras”. The festival is dedicated to goddess of wealth and it is considered auspicious to buy some metal item on that day. Precious metals prices peak on that day but people who have been planning to buy something really big & metallic usually go for an automobile or car. Mercedez Benz sold 600 cars in Mumbai alone on this day.
Thanking you and assuring of our best and prompt services always.
For Link-K Insurance Broker Co. (Pvt.) Ltd
Principal Officer and Managing Director