Page 11 - The Insurance Times January 2025

ers to leverage existing networks for (CAG) flagged a Rs 194 crore loss in-
cross-selling. The proposed reforms also curred by Oriental Insurance in FY20 Attention Subscribers
include perpetual registration for inter- due to improper bid calculations for Please renew your Subscription of The
mediaries and reduced solvency require- the Pradhan Mantri Fasal Bima Yojana.
ments for reinsurers. While insurers The insurer uniformly applied pricing Insurance Times Journal to receive
welcome the flexibility to diversify, they components without adhering to rein- copy of the journal uninterruptedly.
urge the government to explicitly in- surance treaty terms, leading to finan- You can now pay by GPAY, Phonepe,
clude financial product distribution to cial penalties. Paytm, Amazon, ICICI Pay, BHIM UPI
capitalize on cross-sector synergies.
Additionally, the company faced a Rs
14.92 crore loss from imprudent un-
Non-Life Insurance Sector derwriting of a group accident policy

Sees Improved Profitabil- in Maharashtra. These lapses highlight
operational inefficiencies in state-
ity in FY24: IRDAI owned insurers and the need for
The non-life insurance sector recorded stricter compliance with regulatory
a claims ratio of 82.52% in FY24, slightly guidelines.
improving from 82.95% in FY23, accord-
ing to IRDAI's annual report. The sec- IRDAI keeps hawk eye on

tor underwrote direct premiums worth ensuring insurance for all
Rs 2.90 lakh crore, reflecting a 12.76%
growth from the previous year. by 2047
Insurance Regulatory and Develop-
Public sector insurers contributed Rs
90,252 crore, an 8.88% increase, while ment Authority (IRDAI) Chairman
private players, including standalone Debasish Panda on December 11 said
the sector regulator has its eyes on
health insurers, accounted for Rs 1.88
lakh crore. Aggregate profit for the ensuring coverage for all by 2047 and
will undertake reforms to cut the com-
sector reached Rs 10,119 crore, re-
bounding from a Rs 2,566 crore loss in pliance burden.
FY23. Despite this, public insurers' “We envision insurance for all by 2047
claims ratios remain high, at 97.23%, by reducing compliance burden,”
underscoring ongoing challenges in Panda said at the Global Economic
operational efficiency. Policy Forum 2024, organised by CII.
The chief of the insurance watchdog
Oriental Insurance Faces also noted that the industry needs to Sashi Publications Easy Payment
Rs 194 Crore Loss Due to grow with innovation and foster stabil- Modes :-
ity with the prevention of systemic i) UPI ID: SASHIBOOKS@KOTAK
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IRDAI Urges Insurers to Diversify Policy Distribution iv) NEFT: Current A/C
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IRDAI has emphasized the need for insurers to diversify their policy distri- LIMITED, Bank of India, VVK
bution channels and reduce dependency on parent banks. While Road Branch., Kolkata, India,
bancassurance dominates the market, the regulator aims to encourage in- IFSC Code : BKID0004021
surers to explore digital and alternative channels for sustainable growth. v) Credit Card:
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10 January 2025 The Insurance Times