Page 13 - Insurance Times June 2024

health insurance policy owners said underwriting profit in FY24 though it "We have yet again delivered record
their premium has increased by over 25 shrank when compared with FY23. profits, reflecting our financial
per cent in the last 12 months. Out of The standalone health insurer re- strength and stability, underscoring
the 11,000 health insurance policy corded a 39 per cent rise in its profit our competitive advantage and cus-
owners who responded, 21 per cent of tomer-centric approach. Our results
after tax at Rs. 142 crore for the quar-
health insurance policy owners indi- ter ended March 31, 2024, when com- demonstrate strengthened fundamen-
cated that the increase in premium tals through our sharpened focus on
pared with a PAT of Rs. 102 crore in
was 50 per cent or more in the last 12 the year-ago period amid a year-on- innovative product offerings and sound
months while 31 per cent indicated year increase in underwriting loss the claim settlement process," said Anand
that it has risen by 25-50 per cent, it March 2024 quarter. Gross Written Roy, MD & CEO of Star Health Insur-
said. Premium grew by 18 per cent Y-o-Y in ance.
Of the remaining respondents, 31 per Q4 FY24 to Rs. 4968 crore. Star Health Insurance's increased its
cent indicated an increase of 10-25 per market share among general insur-
For the full year of FY24, the company's
cent, while 2 per cent indicated 0-10 ance companies to 5.26 per cent, with
net profit grew by 37 per cent to Rs.
per cent increase in premium rates and 845 crore, the highest-ever annual a 33 per cent share in the retail health
15 per cent denied any increase in pre- insurance sector.
profit, when compared with Rs. 619
mium as it "was same as last year". In crore in FY23 amid a drop in under-
essence, 52 per cent of health insur- writing profit. General insurers gearing
ance policy owners surveyed say their
Its operating profit was higher at Rs. up to bring new products
premium has increased by over 25 per
90 crore as against Rs. 75 crore. The
cent in the last 12 months, the survey for senior citizens follow-
said. company's underwriting profit was ing removal of age cap
lower at Rs. 90 crore in FY24 when
compared with Rs. 205 crore in FY23. The general insurance industry is gear-
Star Health posts highest ing up to bring in new products in line
Its total income stood at Rs. 13,579
annual profit of Rs. 845 crore as against Rs. 11,763 crore. with the insurance regulator's decision

crore in FY24 The Chennai-headquartered to remove the upper age limit of 65
years for health insurance policies.
Star Health and Allied Insurance Co. company's gross written premium
Ltd has reported a strong profit for the (GWP) increased by 18 per cent to Rs. The insurance regulator had already
March 2024 quarter and the fiscal of 15254 crore when compared with Rs. notified the change in the norms,
FY24. The company continued to make 12952 crore in FY23. which came into effect from April 1,
2024 and advised the insurers to de-
sign products specifically for senior citi-

Sum insured of employees rise by 66% to Rs. 5 lakh zens along with students, children,
maternity and other groups
The median sum insured in the case of group health insurance policies of
According to Rakesh Jain, CEO, Reli-
corporates has risen by 66 per cent from Rs three lakh to Rs five lakh, ac-
cording to a study. ance General Insurance, IRDAI's deci-
sion to abolish age restrictions on
There has also been a two times uptick in flexible benefits adoption (insur- health insurance is a 'ground-breaking
ance programmes that can be personalised by employees), a 15 per cent move' that opens the doors of compre-
increase in companies offering maternity benefits and a 110 per cent surge hensive healthcare coverage to all, ir-
in companies offering comprehensive healthcare (preventive and primary), respective of age.
according to the study by Plum Insurance, an Insurtech platform. "For senior citizens, this initiative sig-

The primary concern for most chief human resource officers (CHROs) this nifies an end to the constraints that
year is the absolute spending on employee benefits, it said. "40 per cent of previously barred many from securing
CHROs have observed that the business environment is impacting their ben- health insurance past a certain age.
efits budget. That premiums on benefit plans are expected to increase by This move fosters financial security by
11 per cent this year as medical inflation does not make things easier," said allowing older individuals at vulnerable
age to access crucial healthcare with-
the study encompassing over 4,500 companies.
out age-based barriers," he told.
The Insurance Times June 2024 13