Page 180 - Ebook health insurance IC27

The Insurance Times

 Earlier the data collection job was being handled by Tariff Advisory Committee
 Existence of reliable data is very important for growth of any sector and the insurance

sector in India is far lacking behind in compilation of data.
 It is compulsory for all insurers to submit the data to the Insurance Information

Bureau within the time limits prescribed by IRDA.
 Bureau has created a data warehouse which will enable insurers and other

stakeholders and researchers to have easy access to validated data from one source
 IIB collects the data, analyses it and presents in a form so that it can be utilised by

decision makers.
 IRDA has the sole responsibility and exclusive ownership of the data collected.
 IRDA reserves the right to impose restrictions on the use of data and publication of

findings from the data.
 IIB is governed by advisory committee formed by IRDA

Actuarial function in a health insurance company

Actuaries perform a very important role in insurance industry. The price of insurance ie
insurance premium that we popularly know is arrived at after complex calculations at
the end of actuaries.

An insurance actuary is a business professional who deals with the financial risk of
insuring clients. Actuaries need to have good analytical skills in order to estimate and
judge the value of risk.

Their job is to evaluate the likelihood of loss. They study the overall likelihood that
different events will occur, and they evaluate the potential risks each event poses. Their
goal is to try and assess the costs associated with the event should it actually occur and
the probable risk of the company.

184 Guide for Health Insurance