Insurance - News and Analysis

IRDA pronounces norms for health-life combo products

According to guidelines, insurers can come together to announce combo health-life products but should seek prior approval from the authority. As per the guideline, one should act as a lead provider and life insurer will underwrite the risk of life while that of health will be covered by non-life insurer. It can offer the product to individuals as well as to groups.

Life Insurers to avail facility of ECS now

Insurance Regulatory and Development Authority (Irda) has now allowed life insurance companies to settle claim through ECS (Electronic Clearance System) as against account payee cheque only. In a official announcement, it said now insurers will get smoother and faster settlement of payments. It may be noted, insurers are already paying their premium through online transactions (ECS & NEFT)

Insurance Companies cannot invest in IDRs now

The Insurance Regulatory and Development Authority (Irda) has prohibited insurance companies from investing in Indian depository receipts (IDRs), saying investments outside the country are forbidden by the Insurance Act. The move has been made to protect policy holders money and will affect Standard & Chartered Bank which is planning to raise Rs. 5000 crore through an IDR issue. IDR is an instrument in the form of a depository receipt created by an Indian depository in India against the underlying equity shares of an issuing company. In an IDR, foreign companies would issue shares to an Indian depository, which would, in turn, issue depository receipts to investors in India.

Bharti Axa Insurance to sell smart health insurance in India

Bharti Axa Insurance, which already sells group health insurance in India has got approval from IRDA to sell smart health insurance. Smart health insurance is sold to individuals who meets certain pre-conditions without hassles of any medical tests as in case of normal health insurance. It plans to open 50 more office from its current 30 and add more sales force. The company has also filed for 3 more products with the regulator for Smart Health Critical, Smart Health Deductible and Smart Health Essentials.