The government advised GIC not to provide reinsurance cover to individual insurers on policies in the loss making segment.
Motor and health insurance may become expensive with the government suggesting that insurers should raise premiums to cover their losses. In a letter to the national reinsurer General Insurance Corporation (GIC) the government advised it not to provide reinsurance cover to individual insurers on policies in the loss making segment.
"GIC ...(is) also advised not to give reinsurance for such policies which are loss making as these lead to claims on GIC and for such businesses, let the insurers take risk or enhance premium," the letter issued by the Finance Ministry earlier this month said.
In case of motor insurance, the companies shell out 120% of the premium they collect as claims. Similarly for health, the claims amount for 103% of the premium. The government has also directed GIC to halve commission paid to insurance companies for reinsurance business to 5%.
"The GIC may pay 5% commission on obligatory cession and no such restriction is imposed on cession beyond 10% obligatory cession," the letter said.
Insurance experts said, buying any general insurance like health, motor or property cover would cost more once the proposal of the government is implemented.
"As general insurers' income is expected to be under pressure so there are chances that the insurance companies will pass on the burden to customers," he added.
40 million mobile Internet users can now choose their insurance through their mobile.
Policybazaar.com announced the launch of its Mobile Website. The mobile version of Policybazaar.com is aimed to cater to the needs of its 5 million visitors who visit the site every month via mobile phones.
The number of mobile phone subscriptions has reached 5.9 billion, an impressive figure in a world of 7 billion people. The growth in the mobile technology is very evident from the increasing mobile subscriber base in India which has reached 893.84 million. The mobile Internet penetration in India is expected to reach 237 million by 2012. The industry experts says that 58% of Mobile Internet is used for search networking sites or Internet and have become the first screen for internet for millions of people in India.
Gone are the days when searching for the best insurance policy for you was a matter of hours. As PolicyBazaar.com is launching its mobile website m.policybazaar.com the path to safeguard your future, it is just a few clicks away. With a specific mobile website for PolicyBazaar.com, users will now get the option to navigate through the products and see the quotes in a seamless manner thus helping the customer to choose the best plan according to his/ her need.
Speaking about the launch, Akshay Mehrotra, CMO, Policybazaar.com said, “With increasing mobile penetration in the country, mobiles are becoming the tool for accessing Internet. The consumers owning Internet enabled handset is growing at 300% a year. We believe the next growth in the e-commerce business will be fuelled by mobile Internet.”
Talking about the value it adds for users, Saurabh Tiwari, CTO, Policyabazaar.com said, “We are seeing a very large customer base coming from mid to small level towns using mobile phones. This number has doubled in the last 6 months. We have specifically built up this website to cater to these consumers.”
The site has been designed on HTML5, CSS3 and works across major platforms including iOS, Android, Blackberry and Symbian. The site has been extensively tested on multiple devices covering multiple operating systems, browsers and screen resolutions. The key parameters of a mobile site such as optimization, compatibility with various devices, operating systems and a good customer experience have been given the utmost importance.
UNI Criticare policy covers 11 critical diseases.
State-owned United India Insurance Company announced the launch of a critical care health insurance product.
UNI Criticare policy covers 11 critical diseases. The policy targets people in the age group of 21-65 years, the company said in a statement.
For the first nine months of the current financial year, the company had recorded a net profit of Rs414.41 crore, up 24% from a year ago period.
The company collected Rs5,872 crore premium during the first nine months of 2011-12, a rise of 27%.