INSURANCE
PSU insurers lodge COVID-19 related health insurance claims worth Rs 17,537 crore till December 2021
Apr-04-2022

Minister of State for Finance Bhagwat Karad said public sector undertaking (PSU) insurers lodged COVID-19 related health insurance claims worth Rs 17,537 crore till December 2021 and more than 93 per cent of the cases were settled. He said ‘Till December 31, 2021, 14.92 lakh COVID-19 health claims, of a total amount of Rs 17,537 crore, were lodged with public sector insurance companies, of which 93.3 per cent claims had been disposed of’.

Separately, the minister said public sector insurance companies sustained a total loss of Rs 3,450.68 crore during the one and a half financial year period from April 2020 to September 2021, as against a total loss of Rs 7,552.02 crore during the preceding one and a half financial year period (from October 2018 to March 2020). He added ‘thus, their overall profitability registered an improvement of Rs 4,101.34 crore during the initial one and a half financial year period of the pandemic, despite absorbing the impact of the pandemic in terms of Covid-related claims’.

Citing norms of the Insurance Regulatory and Development Authority of India (Health Insurance) Regulations, 2016, he said the pricing of health insurance products offered by insurers is based on the age of the insured and other relevant risk factors. He also said ‘Insurance companies are allowed to revise premium once in three years after a product has been cleared’. Further, the minister said the policyholders are not required to make good any losses incurred by insurers.

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