In 1956, all Indian life insurance companies were nationalized to form LIC. This was done to protect the interests of the policyholders and boost penetration. But penetration remained low for the next 50 years - after which the clock was turned back and the sector was privatized again. In 2003, the share of the private sector in Life Insurance was 3%. In 2019, it has increased to 33.5%.
The budget of 2019 approved Foreign Direct Investment of up to 100% in insurance intermediaries. This is expected to attract investments to the tune of billions of dollars.
The annual report by the Insurance Regulatory and Development Authority has shown that India was ranked 41st in the world in terms of insurance premiums. This is both a good thing and a bad thing. It’s a bad thing because it means millions of Indians are unprepared for future financial emergencies. It’s a good thing because it means there is enormous potential for growth.
Life insurance benefits come as a breather in difficult times. Life insurance forms an important part of anyone’s support system during trying times. Understandably, upon the death of a loved one, claiming a life insurance policy is the last thing on anyone’s minds. These days, life insurers are empathetic to the needs of customers and are crafting policies with simplified claim settlement processes that are completely hassle-free for the family of the deceased. Thus, when choosing a particular insurance provider, one should keep in mind the claim settlement process they would be subjected to.
As the Insurance Regulatory and Development Authority In India notes, there are 24 insurance companies in India. The claim settlement process can differ from company to company, but the basics broadly remain the same.
The industry as a whole has tried to create a uniform process for the convenience of all policyholders. If you need to claim your life insurance policy, you can follow the below steps for a swift and frictionless process.
As technology processes, insurance companies integrate the latest tools to provide even smoother experiences to their customers. Canara HSBC Oriental Bank of Commerce is the leader of this pack, providing insurance plans loaded with benefits at affordable premiums for everyone. The iSelect Star Term Plan from Canara HSBC Oriental Bank of Commerce has combined an intuitive application process, wide-ranging benefits, easy premiums and generous payouts into a single lucrative financial product.