Key aspects of New India Assurance include being the largest nationalized general insurance company in India based on gross premium collection, including its foreign operations. The company has a widespread network of over 2395 offices in India and operates in 25 other countries through branches, agencies, subsidiaries, and associates. Its London branch has been operating for over a century and has a desk at Lloyd’s. New India Assurance offers a wide array of insurance products across various categories, such as Motor Insurance, Health Insurance (including mediclaim policies for individuals, families, senior citizens, critical illnesses, and specific needs), Travel Insurance (covering overseas travelers for business and leisure, as well as specific plans for employment and studies abroad), Rural Insurance (including policies for livestock, agriculture, and personal accidents in rural areas), Fire Insurance, Marine Insurance, Liability Insurance, Engineering Insurance, Aviation Insurance, Personal Accident Insurance, Home Insurance, and Business and SME Insurance (including policies like fire, burglary, and money insurance). CRISIL has rated New India Assurance with AAA/Stable rating, indicating the highest level of financial strength, and AM Best Company has also rated it with A- (Excellent – Stable Outlook), making it the only direct Indian insurer with this rating. The company has been a market leader in the non-life insurance segment in India for over four decades and has a significant presence in the international market, receiving numerous awards for its performance and services in the insurance sector.
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Fastest Insurers to Settle Claims within 3 Months:
- ICICI Lombard General Insurance: 98.04% claims settled within 3 months
- Bajaj Allianz General Insurance: 96.45% claims settled within 3 months
- HDFC Ergo General Insurance: 95.52% claims settled within 3 months
- Apollo Munich Health Insurance: 94.95% claims settled within 3 months
- Max Bupa Health Insurance: 94.64% claims settled within 3 months
Slowest Insurers to Settle Claims within 3 Months:
- United India Insurance: 73.45% claims settled within 3 months
- New India Assurance: 75.13% claims settled within 3 months
- National Insurance: 76.23% claims settled within 3 months
- Oriental Insurance: 77.15% claims settled within 3 months
- Universal Sompo General Insurance: 78.21% claims settled within 3 months
The Insurance Regulatory and Development Authority (IRDAI) has released its handbook on Indian Insurance Statistics for 2023-24, which provides insights into the claim settlement ratios of various insurance companies in India. The claim settlement ratio helps policyholders understand the proportion of claims an insurance company honors or pays out during a certain period. A higher claim settlement ratio indicates that the insurer is more efficient in settling claims.
According to the data, Navi General Insurance has the highest claim settlement ratio of 99.97% within 3 months in FY23-24, followed by Acko (99.91%), HDFC Ergo (99.16%), Reliance General (99.57%), and Universal Sompo (98.11%). However, while these insurers have a high claim settlement ratio, their incurred claims ratio, which refers to the proportion of premiums paid out as claims, varies. For instance, Navi General Insurance has an incurred claims ratio of 52.40%, while Acko has an incurred claims ratio of 69.57%.
On the other hand, New India Assurance and National Insurance, both public insurers, have lower claim settlement ratios of 92.70% and 91.18%, respectively. However, they have higher incurred claims ratios, with National Insurance reporting an incurred claims ratio of 95.9% and New India Assurance reporting an incurred claims ratio of 97.36%.
Among stand-alone health insurers, Star Health has the lowest claim settlement ratio of 82.31% within 3 months, while Aditya Birla Health Insurance has the highest claim settlement ratio of 92.97%. Care Health has the lowest incurred claims ratio of 57.69%, while Aditya Birla Health Insurance has an incurred claims ratio of 68.31%.
When choosing an insurance policy, it’s essential to consider not just the claim settlement ratio but also other factors such as customer service, policy exclusions, benefits, and solvency ratio. Experts recommend an incurred claims ratio between 70% and 90% to be an indicator of a good insurer in terms of claim experience and sustainability. A combination of a high claim settlement ratio and an incurred claims ratio can help narrow down a good insurance policy.
In conclusion, the claim settlement ratio is an essential metric to consider when choosing an insurance policy, but it’s not the only factor. Policyholders should also look at other benefits, customer service, and financial health of the insurer to make an informed decision.
When women generate income, they should be encouraged with income protection: Girija Subramanian
The Government of India has introduced the Women Udyam Bima Policy to support women entrepreneurs and encourage them to participate in the formal workforce. This policy, launched by The New India Assurance Co. Ltd, aims to provide financial protection and support to women running micro and small industries with an asset size not exceeding five crores. The policy covers fire, burglary, loss of profits, and weather-related damages, with a sum insured of up to five crores and flexible premium payment options.
According to Girija Subramanian, Chairman cum Managing Director of The New India Assurance Co. Ltd, the policy is designed to bridge the gap in insurance penetration among women in India, which stands at only 34.2% of total policies sold in 2022-23. Women in India face numerous challenges, including low financial literacy, limited access to tailored insurance, and income instability, making them vulnerable to financial risks.
The Women Udyam Bima Policy offers several key features, including flexibility in premium payments, a discount of up to 20% on premiums for women entrepreneurs, and the ability to adjust the sum insured based on financial capability. The policy applies to both manufacturing and services sectors and provides coverage for various occupancies.
The New India Assurance Co. Ltd is committed to promoting financial inclusion and empowerment for women-led businesses. The company has a strong female leadership, with around 30% of its workforce consisting of women, and is working towards making its processes more digital and automated. The company has also launched financial literacy programs focused on women and is partnering with self-help groups and NGOs to promote financial independence and well-being.
India’s goal of ‘Insurance for All by 2047’ is expected to lead to an evolution in women’s roles in the insurance sector, with more women participating as consumers, agents, and industry leaders. The New India Assurance Co. Ltd is supporting women’s empowerment and community development through various CSR initiatives, including skill development programs for rural women and health camps.
Overall, the Women Udyam Bima Policy is a significant step towards bridging the gap in insurance penetration among women in India and promoting financial inclusion and empowerment for women-led businesses. With its flexible features and commitment to financial literacy and digital automation, the policy has the potential to make a positive impact on the lives of women entrepreneurs in India.
Best insurance company in India: 90% claims settled each by Aditya Birla, New India, HDFC ERGO; Bajaj, Star, Shriram lowest.
A recent report by the Insurance Brokers Association of India (IBAI) for the financial years 2023-24 and 2022-23 has revealed that four insurance companies in India have consistently cleared more than 90% of claims made by beneficiaries. The top performers include Aditya Birla Health, HDFC Ergo, and New India Assurance, which achieved claim clearance rates of 91.88%, 92.1%, and 93.13%, respectively.
The data shows that Aditya Birla Health received over 8.5 lakh claims in 2023 and settled 91.88% of them, up from 89.96% in 2022. HDFC Ergo handled 52 lakh claims and settled 94.32% of them in 2023, an improvement from 92.10% the previous year. New India Assurance, a public sector company, processed over 1.5 crore claims with a settlement rate of 93.13%, marginally up from 93.04% in 2022.
On the other hand, some private insurance companies, including Bajaj Allianz, Star Health, and Shriram, performed poorly in terms of claim settlement. Bajaj Allianz handled 47 lakh claims but managed to clear only 73.38%, the lowest settlement rate among the analyzed insurers. Star Health processed 19 lakh claims but settled just 74%, while Shriram’s performance was the weakest, with a clearance rate of only 70% for its 2 lakh claims.
The report highlights the disparity in claim settlement rates among insurance companies in India. While some companies have consistently demonstrated a high level of claim settlement, others have struggled to settle claims in a timely and efficient manner. The data suggests that policyholders should carefully evaluate the claim settlement record of an insurance company before purchasing a policy.
The IBAI report provides valuable insights into the performance of insurance companies in India and can help policyholders make informed decisions when choosing an insurance provider. The report’s findings also underscore the need for insurance companies to prioritize claim settlement and improve their processes to ensure that beneficiaries receive timely and fair compensation. Overall, the report highlights the importance of transparency and accountability in the insurance industry and the need for companies to prioritize the needs of their policyholders.
According to a report by the brokers association, the Indian insurance companies that reject claims the least are revealed, providing insight into the claims settlement records of various insurers.
A recent report by the Insurance Brokers Association of India (IBAI) has revealed that the claim-to-settlement ratio for general insurance in India has decreased to 86% in 2022-23, down from 87% in the previous fiscal year. This means that 14% of claims were rejected by insurance companies. The report also found that the claims repudiation ratio, which is the proportion of claims rejected by insurers, rose to 6% for general insurance, including motor, health, fire, and marine cargo.
The report analyzed data from various insurance companies and found that public sector insurer New India Assurance had the lowest claims repudiation ratio of 0.2%. Other private insurers with lower rates of claims rejection include HDFC Ergo, Future Generali, Aditya Birla Health, and Shriram. The Insurance Regulatory and Development Authority of India (IRDAI) makes it mandatory for insurance companies to publish settlement and rejection data on their websites, which helps policyholders make informed choices.
The report categorized general insurers into four categories: public sector general insurers, large private sector general insurers, other private sector insurers, and standalone health insurers. In the health insurance category, New India Assurance had a claim-settlement ratio of 95%, followed by Aditya Birla Health with a ratio of 95%. Iffco Tokio and Bajaj Allianz were among the top large private sector general insurers with a claims-to-settlement ratio of 90% or more.
However, experts point out that the data is combined for group and individual policies, and claim-rejection rates are historically lower for corporate policies. They argue that separate claim-settlement data for individual health insurance policies is needed to get a true picture. Incomplete or false disclosure at the time of policy purchase also contributes to claim rejections.
The report also highlighted the low insurance penetration in India, which is at 30%, compared to developed countries like the US, where it is over 90%. The high 18% tax on insurance premiums is also a concern, as it makes insurance unaffordable for many people. Experts suggest that reform measures are needed to reduce taxes and provide segregated data on claim-settlement ratios to help people make informed choices. Additionally, there is a need for better infrastructure and social security nets to support the growth of the insurance industry and provide relief to policyholders.
Public Sector General Insurance Companies Register Combined Profit of Rs. 1066 Crore in Q3 of 2024-25
The Indian Public Sector General Insurance Companies (PSGICs) have experienced a significant turnaround, with all companies becoming profitable again after historically reporting losses. Oriental Insurance Company Ltd. (OICL) and National Insurance Company Ltd. (NICL) started posting quarterly profits in Q4 of FY 2023-24 and Q2 of FY 2024-25, respectively. United India Insurance Company Ltd. (UIICL) also reported a profit in Q3 of FY 2024-25, after a seven-year gap. New India Assurance Company Ltd. (NIACL) has consistently maintained its position as a market leader and has been making profits regularly.
The government’s commitment to creating strong and competitive PSGICs has been instrumental in this turnaround. The government infused a total capital of Rs. 17,450 crore into these companies between 2019-20 and 2021-22, allowing them to undertake structural reforms, enhance operational efficiencies, and return to profitability. The PSGICs have also implemented various measures, including improved risk management practices, loss control initiatives, adoption of technology, development of new products, and better customer services.
As a result, the PSGICs have posted a significant turnaround, with combined losses of over Rs. 10,000 crore in 2022-23 being replaced by a combined profit of Rs. 1,066 crore in Q3 of FY 2024-25. The companies are committed to maintaining this positive trajectory and are rolling out ongoing strategic measures and new initiatives to further strengthen their financial stability and improve customer services. The PSGICs aim to offer high-quality insurance products and services, ensuring long-term sustainability and enhancing customer experience, while achieving growth.
The broader objective of the PSGICs is to achieve “Insurance for All” by 2047, and they are committed to working towards this goal. With the government’s support and the companies’ own efforts, the PSGICs are well on their way to achieving this objective and maintaining their position as major players in the Indian insurance industry. Overall, the turnaround of the PSGICs is a significant achievement and a testament to the effectiveness of the government’s reforms and the companies’ own efforts to improve their performance.
Stock Market Updates for New India Assurance
Recent Updates
The Central Bureau of Investigation (CBI) has arrested a surveyor and an official of a Chandigarh-based general insurance firm for allegedly accepting bribes.
The Central Bureau of Investigation (CBI) has arrested two individuals, NS Sidhu, an insurance surveyor, and JK Mittal, a Regional Manager of New India Assurance Company, in Chandigarh, in a bribery case involving Rs 5 lakh. According to CBI officials, a case was registered against Sidhu, who allegedly demanded a bribe of Rs 12 lakh from a complainant to expedite the release of an insurance claim for his factory, which had caught fire in 2010. The bribe was also intended to prevent an appeal from being filed in a higher court.
The CBI laid a trap and caught Sidhu accepting a bribe of Rs 5 lakh, which was the first installment, on behalf of Mittal, who was also arrested. The agency is currently conducting searches at the premises of both accused in Chandigarh and Panchkula, which have yielded some documents related to investments and keys to bank lockers.
The arrest and searches are part of an ongoing investigation into the bribery allegations, and the CBI is working to uncover the full extent of the corruption. The agency has stated that it will continue to investigate and take action against anyone found to be involved in the bribery scheme.
The case highlights the ongoing issue of corruption in India, particularly in the insurance sector. The CBI’s efforts to crack down on bribery and corruption are crucial in maintaining public trust and ensuring that businesses and individuals are held accountable for their actions. The arrest of Sidhu and Mittal serves as a warning to others who may be engaging in similar corrupt activities, and demonstrates the CBI’s commitment to rooting out corruption and promoting transparency and accountability.
The investigation is ongoing, and further details are expected to emerge as the CBI continues its probe. The agency’s actions in this case demonstrate its dedication to combating corruption and ensuring that justice is served. The public can expect to see more actions taken against those involved in corrupt activities, and the CBI’s efforts will help to promote a cleaner and more transparent business environment in India.
New India Assurance and Aditya Birla Life Insurance’s Health Insurance Claim Settlements in Fiscal Year 2023
The Insurance Brokers Association of India has released data on health insurance claims paid by various insurance companies for the year ending March 2023. According to the data, New India Assurance Co. Ltd. ranked among the top players in terms of health claims paid, with an impressive 95% of claims paid. Aditya Birla Health Insurance came in second, with a claims paid ratio of 94.5%. In terms of the amount of claims paid, New India Assurance settled 98.7% of claims, while Oriental Insurance ranked second, settling 97.4% of claims.
The claims paid ratio is a key metric used to measure an insurance company’s efficiency in processing and settling claims. A higher claims paid ratio indicates that an insurer is doing an excellent job in settling claims in a timely and efficient manner. In contrast, a lower ratio may suggest that an insurer is taking longer to settle claims or is more likely to deny claims.
It’s worth noting that the claims paid ratio for the amount of claims is a separate metric that measures the proportion of the total amount of claims available for processing that has been paid out. This ratio provides a more comprehensive view of an insurer’s ability to settle claims in a timely and efficient manner.
Overall, these figures suggest that New India Assurance and Aditya Birla Health Insurance are among the top performers in terms of health insurance claims paid, with Oriental Insurance following closely behind. This information can be useful for consumers looking to choose the best health insurance provider for their needs, as it provides insight into an insurer’s reputation for settling claims promptly and efficiently.
The NIACL (New India Assurance Company Limited) has officially launched the recruitment process for 500 vacancies, and you can apply directly through the provided link.
The New India Assurance Company Limited (NIACL) is conducting a recruitment drive for 500 Assistant posts. The application process is open from December 17, 2024, to January 1, 2025. The Tier I (Preliminary) Online Examination is scheduled for January 27, 2025, and the Tier II (Main) Online Examination will be held on March 2, 2025.
To apply for the job, candidates need to follow these steps:
1. Visit the company’s website at newindia.co.in and navigate to the ‘Recruitment’ section.
2. Click on the “CLICK HERE FOR NEW REGISTRATION” tab.
3. Fill in and verify the online form, and use the “SAVE AND NEXT” facility to review and modify the form details as needed.
4. Upload a photo and signature according to the specifications mentioned in the guidelines for scanning and uploading.
5. Review the entire application form before submission and make any necessary changes.
6. Proceed to pay the application fee, which is Rs. 100 for SC/ST/PwBD/EXS candidates and Rs. 850 for all other candidates.
7. Finally, submit the application form.
The age limit for the post is between 21 and 30 years as of December 1, 2024. The selection process involves three stages:
1. Preliminary examination
2. Main examination
3. Regional language test (for candidates who qualify for the main examination)
Candidates can check the official website of NIACL for more information. The direct link to apply is provided, and the application process is expected to close on January 1, 2025.
Former New India Assurance Manager Sent to Prison for Filing False Insurance Claim
The Central Bureau of Investigation (CBI) Court in Ahmedabad has sentenced five individuals to five years of rigorous imprisonment and imposed a cumulative fine of Rs 23.5 lakh in connection with a fraudulent insurance claim. The accused, Dinesh Parshotamdas Patel, Sanjay R. Chitre, Manan D. Patel, Shishupal Rajput, and Amar Singh Bialbhai, were found guilty of manipulating insurance claims and causing a financial loss to the New India Assurance Company Limited (NIACL).
The investigation revealed that between 1999 and 2000, the accused conspired to file fake accident claims supported by forged documents and fabricated evidence. The Senior Divisional Manager of NIACL, along with private accomplices, altered accident records and submitted false claims, resulting in a loss of Rs 4,89,488 to the insurance company. The group created fake police reports and used tampered photographs to legitimize their claims. The fraud was carried out through a network of bank accounts to process and distribute the stolen funds.
The CBI registered the case in 2003 and filed a chargesheet against the accused in 2005. The trial was lengthy, with 25 witnesses and 228 documents examined. The court found the accused guilty based on strong evidence and sentenced them to rigorous imprisonment and imposed a fine. The case highlights the vigilance of the CBI in uncovering complex financial fraud and ensuring accountability. The investigation demonstrates the importance of protecting public funds from such conspiracies, which remain a top priority for investigative agencies.
The National Institute of Advanced Corporate Law (NIACL) has released the admit card for Phase 1 of the 2024 competitive exams, which can be downloaded from the official website newindia.co.in.
New India Assurance Co. Ltd. (NIACL) has released the admit card for the Phase 1 examination of the Assistant recruitment 2024. Candidates who have registered for the exam can download their admit card from the official website of NIACL at newindia.co.in. The Phase 1 examination is scheduled to take place on January 27, 2025.
The admit card will be available for download from January 16 to January 27, 2025. To download the admit card, candidates can follow the steps provided by NIACL. The steps include visiting the official website, clicking on the recruitment link, clicking on the Assistant link, selecting the link for the Phase 1 admit card, entering login details, and downloading the admit card.
Once downloaded, candidates are advised to check the admit card and keep a hard copy of the same for future reference. The selection process will consist of an online test, followed by a regional language test and a final selection.
The recruitment drive aims to fill up 500 Assistant posts in the organization. The registration process started on December 17, 2024, and concluded on January 1, 2025. For more information, candidates can visit the official website of NIACL.
India’s regulatory body grants approval for Go Digit to become the country’s first private reinsurer.
The Insurance Regulatory and Development Authority of India (Irdai) has granted a certificate of registration to Valueattics Reinsurance, allowing it to become the first private sector reinsurer in the country. This development marks a significant step towards fostering competition in the reinsurance sector, previously dominated by the state-owned General Insurance Corporation of India (GIC Re). Valueattics Reinsurance is promoted by Oben Ventures LLP, founded by Go Digit’s Kamesh Goyal, and FAL Corporation, a subsidiary of Canadian billionaire Prem Watsa’s Fairfax Financial Holdings. This achievement is a major milestone for Goyal, who is also a director at Valueattics Reinsurance, and marks the first time that Kamesh Goyal and Fairfax will hold licenses for general insurance, life insurance, and reinsurance businesses in India. The development is expected to boost competition in the reinsurance sector, which has been dominated by GIC Re.
Currently, 12 foreign reinsurance branches operate in India, including Munich Re, Swiss Re, and Lloyd’s of London. The Irdai also announced that Life Insurance Corporation of India, The New India Assurance Company, and General Insurance Corporation of India have been identified as domestic systemically important insurers for FY25. The meeting also reviewed the progress of Bima Sugam, an insurance marketplace, and the formation of Bima Sugam India Federation, an entity formed by insurers to develop an insurance electronic marketplace. This development is expected to promote competition and improve the overall insurance ecosystem in India.
The deadline to apply for our 500 Assistant positions is today – find the details here.
The New India Assurance Company Limited (NIACL) is set to close online applications for the recruitment of Assistants on January 1, 2024. The recruitment drive aims to fill 500 positions. To be eligible, candidates must be between 21-30 years old as of December 1, 2024, with a graduation degree in any discipline from a recognized university or equivalent qualification recognized by the Central Government. Additionally, they must have passed English as one of the subjects in SSC/ HSC/ Intermediate/ Graduation level, and possess a certificate in proof of passing the qualifying examination as on December 1, 2024.
The application fee is Rs. 100 for SC/ST/PwBD/EXS category candidates and Rs. 850 for all other categories. To apply, candidates should visit the official website newindia.co.in and follow these steps:
1. Go to the official website and click on “Recruitment” and then “ASSISTANT RECRUITMENT EXERCISE – 2024”.
2. Register and proceed with the application process.
3. Fill the form, pay the fee, and submit the form.
4. Take a printout for future reference.
The Tier I (Preliminary) online examination will be conducted on January 27, 2025, followed by the Tier II (Main) online examination on March 2, 2025. The call letters for each examination will be released seven days before the examination date. For more information, candidates can visit the official website.
New India Assurance is taking steps to enhance its underwriting standards and risk management protocols.
The New India Assurance Company’s financial performance is expected to remain adequate, with a strong balance sheet and a top-notch capital adequacy ratio. According to AM Best, the company’s balance sheet is underpinned by its risk-adjusted capitalisation at the strongest level, with a well-rated investment portfolio mainly composed of domestic government and corporate bonds. However, its balance sheet is still exposed to potential volatility due to its allocation to domestic equity investments.
The company’s operating performance is expected to face challenges from declining underwriting results due to continued claims in health and motor insurance and exposure to catastrophe losses. Despite this, New India’s return on equity has remained stable at 2.9% over the past five years, driven by stable investment income. The company’s enterprise risk management (ERM) remains a key area for improvement, with gaps persisting in underwriting risk management and pricing discipline. These challenges are expected to continue impacting the company’s ability to fully align its risk management framework with global standards in the medium term.
Despite these constraints, New India’s stability outlook reflects expectations of continued profitability and strong capitalisation, driven by its market leadership and investment performance. Overall, while the company faces challenges, its strong capitalisation and investment performance ensure that it remains a stable player in the insurance industry.
According to IRDA’s 2025 report, Navi, Acko, and Reliance General Insurance topped the list with the highest claim settlement ratio among health and general insurance companies.
In today’s world, having a solid health insurance policy is crucial to bear the burden of medical expenses. General insurance companies also offer health insurance coverage, among other types of insurance. However, it’s essential to evaluate the effectiveness of your health or general insurer in settling claims on time. One way to do this is by checking the claim settlement ratio, which refers to the proportion of claims paid out of the total number of claims received. According to the Insurance Regulatory and Development Authority of India (IRDAI), the claim settlement ratio is a significant indicator of an insurer’s credibility. For instance, a health insurer with a claim settlement ratio of 93% means it typically pays around 93 out of every 100 claims it receives.
IRDAI releases a list of claim settlements done by all health and general insurers every year. In 2023-2024, over 71,200,854 claims were paid out, with 81.13% of these paid within 3 months of claim intimation. Among private general insurers, Acko General Insurance led the pack with a claim settlement ratio of 99.91%, while Navi General Insurance Ltd. was close behind with 99.97%. Public sector insurers like National Insurance Co. Ltd. and The New India Assurance Co. Ltd. also performed well, with settlement ratios of 91.18% and 92.70%, respectively.
Amongstand-alone health insurers, Aditya Birla Health Insurance Company had the highest claim settlement ratio within 3 months at 92.97%. Care Health Insurance and Niva Bupa Health Insurance also performed well, with settlement ratios of 92.77% and 92.02%, respectively. On the other hand, Star Health and Allied Insurance Co. Ltd. had the lowest claim settlement ratio within 3 months, but it paid out the most claims (16,80,171) in less than 3 months. Overall, it’s essential to evaluate an insurer’s claim settlement ratio, as well as other factors such as sum insured, waiting period, and network of hospitals, before finalizing a health insurance policy.