Kotak e-Term Plan
Kotak e-Term Plan provides a high level of protection to your loved ones in your absence.
Kotak Guaranteed Savings Plan
Kotak Guaranteed Savings Plan is a savings and protection plan that helps you achieve long-term financial goals and provides an insurance cover against any eventuality.
Kotak e-Invest plan is a complete Unit-Linked Insurance Plan that can be customized as per your goals and needs.
Kotak Health Shield
Kotak Health Shield Plan helps secure your finances in sudden medical expenses such as Cardiac, Liver, Neuro, and Cancer (all early and significant illness stages/conditions of cancer), along with offering protection for personal accidents - in case of accidental death or disability.
Kotak Lifetime Income Plan
Kotak Lifetime Income Plan gives you the security of your income continuing throughout your life and in your absence throughout your spouse's lifetime!
The importance of a life insurance plan is immeasurable in a family that has only one earning member. In case the breadwinner loses his or her life due to an accident or illness, the whole family suffers emotional, as well as, financial stress. If you are always worrying about your family for the same reason then it is time for you to buy a life insurance policy. It will provide your loved ones the financial support they need in the time of emergency. Before you buy the insurance plan, do not forget to compare the term insurance claim settlement ratio of different insurers to understand which insurance company will be the best for you.
A claim settlement ratio of an insurance company is the number of claims settled against the number of insurance claims filed. When a life insurance policyholder passes away and an insurance claim is made, the insurance companies follow certain rules and conditions before settling the claim. Not every claim is approved as some of them might not meet certain policy requirements. The claim settlement ratio can be used as a measurement to determine if a certain policy is right for you or not.
Claim Settlement Ratio or CSR can be calculated by taking the total number of insurance claims settled by the insurer and divide it by the total number of insurance claims received by the insurer.
Let’s consider the claims settled by the company are 90 and the claims filed by policy holders are 100 in a year,then the CSR of that insurance company will be:
CSR = Total no. of insurance claims settled successfully / Total no. of insurance claims filed by the policyholders
When buying life insurance, you need to check various aspects before deciding which insurance company is right for you. You have to find out about the various policies and covers offered by the insurance company. You need to know how their customers review them in terms of services and customer relationship management. However, many people ignore the need to check the claim settlement ratio, which is a huge mistake. Here are two reasons why IRDA claim settlement ratio is important:
1. Measure the insurer’s reliability
The life insurance policy is a big investment plan. You have to pay a good number of premiums over a long duration to avail of the benefits offered by the policy. So, if your claim is rejected for some reason in the future then that can seriously hurt your financial planning. The settlement ratio is a very reliable measurement indication that helps you know if a certain insurer is trustworthy or not. A favorable ratio indicates that the insurer is right for you.
2. Gives assurance about your dependent’s financial future
Checking the term plan claim settlement ratio is important to ensure the financial security of your family. The last thing any family can endure after suddenly losing a family member is the rejection of an insurance claim. It is your job as a policyholder to make sure that your family does not have to go through that trouble. With the help of the settlement ratio, you can make the right
decision when buying a policy.
1. A claim settlement ratio of more than 85% is a good sign, making the insurer trustworthy. But insurance companies having a high CSR of more than 90-95% is a better option.
2. You should refer to the persistence ratio of an insurer to know how persistent policyholders have been in renewing their policies. This shows the policyholder’s trust in the long-term insurance products and the services offered.
Points to Remember
1. The claim settlement ratio not only contains term insurance but also other life insurance products. Hence, having a client base that purchases other types of insurance products, for returns rather than life cover, benefits the insurer.
2. Many insurance companies have to remove fraudulent cases which leads to a decrease in CSR. This cannot be blamed on the insurer as it is vital to eliminate such frauds.