Want To Buy Insurance? Check Its Claim Settlement Ratio


BANGALORE: The Insurance Regulatory and Development Authority which recently released its annual report for 2012-13  indicates the overall Insurance Industry data. It also reveals that out of 23 private life insurers only five of them have a claim settlement ratio of around 90 percent.

 The reports further showed the number of insurers who were very rigid on giving up the benefits to the nominees reports Economic Times.

Whenever you buy an insurance product what is your major concern? Yes, it is the claim settlement ratio of Insurance Company. It is that one indication about how the company is treating its customer.

Insurance is considered to be a long term contract between insurance companies and insured. But always remember that this must not be the deciding factor while choosing your insurance plan.

It is usually seen that the customers who buy insurance always look for insurance companies that give them high benefits along with lower premiums.

But according to financial advisors, it is very important that time insurance buyers should pay more attention to the claim settlement record of the insurance company.

"Claims settlement ratio, along with related data, is the only objective yardstick for the consumer to determine which insurance company is preferable and more reliable," said consumer activist Jehangir Gai