Insurance watchdog IRDAI has discovered serious lapses in the claim settlement practices of stand-alone health insurer Star Health and Allied Insurance, according to CNBC-TV18. While the official investigations are yet to conclude, the regulator is likely to take action against the insurer. Apart from Star Health, IRDAI has also scrutinized 8-10 other general and health insurers in the country. However, no word of any action being taken against them has been reported.
Claim settlement record of the insurer not very encouraging
As per IRDAI’s handbook of insurance statistics, Star Health’s incurred claim ratio, i.e., the quantum of premiums any insurance company pays out as claims with the total premiums it has collected in a year, for the year 2023-2024, stood at 66.47%.
