Page 13 - The Insurance Times September 2022

Rajasthan tops in health tests free to the people in government alone health insurers and private insur-
hospitals, which has also attracted ers, the report observed.
insurance with 88% cover
patients to government hospitals.
The highest proportion of households
ICICI Prudential Life keen
covered under health insurance or fi-
Health Insurance losses
nancial schemes across the country is to re-enter health insur-
in Rajasthan, says the latest data on increase in Public Sector
ance
health insurance coverage - collected
Insurance Companies ICICI Prudential Life said it is keen to
in 2019-21 through the National Fam-
ily Health Survey (NFHS). All four public sector insurers incurred re-enter the health insurance vertical
losses of Rs. 26,364 crore in the health as there's "nothing new" in the busi-
In the state, 88% of its households with
insurance portfolio for the last five ness for the company which had been
at least one member is covered by a
years due to higher claims in group in the segment for many years till
health scheme or health insurance.
policies, a CAG report said. 2016. Recently, IRDAI chairman
Andhra Pradesh is second with 80%,
Debasish Panda hinted at allowing
Goa (73%), Chhattisgarh (71%) and "The losses of the health insurance
more players into health insurance seg-
Telangana (69%). business of PSU insurers either wiped
ment in order to ensure medical cover
out/decreased the profits of other lines
The survey pointed out that health in-
for every citizen by 2030. However,
surance coverage in the country is far of business or increased the overall
the IRDAI chairman clarified that he is
from satisfactory. Over two-fifths (41%) losses," an audit report by CAG tabled
evaluating the pros and cons of allow-
of the households have at least one in Parliament recently said.
ing life insurers to sell health insurance
usual member covered under health
The aggregate loss of the four PSU in-
and that a decision is yet to be taken
insurance or financing scheme.
surers was Rs. 26,364 crore during
on the matter.
When household members get sick, 2016-17 to 2020-21.
Before the blanket ban imposed by the
they are slightly more likely to seek
The health insurance business is the
care in the public sector (50%) than the regulator, ICICI Prudential Life had a
second largest line of business of the
private sector (48%). However, in the large customer base in the health in-
PSU insurers (the first being motor in-
state, percentage of households using surance segment. Following the regu-
surance), having a gross direct pre-
government health facility is quite latory restriction, the life insurer
mium of Rs. 1,16,551 crore during the
high. Only 26.4% of households in the helped a large number of its custom-
five years from 2016-17 to 2020-21.
state generally do not use a govern- ers port out their plans. However, over
ment health facility. Health depart- PSU insurers' market share in the 2.6 lakh policyholders did not port and
ment officials said they are providing health insurance business is also reduc- they are still being serviced by it, a top
free medicines and free diagnostic ing continuously vis-a-vis the stand- company official has said.
The Insurance Times, September 2022 13